The British Bankers' Association (BBA) report that new mortgage approvals fell in August to 31,767 during the month, a 16 month low.
Gross mortgage lending fell to £8.1BN, 7.6% lower than August 2009.
The BBA are of the view that lower demand for mortgages is the reason for the decline. That in itself may be the case. However, they may care to consider why demand is falling.
Could it be that the terms/conditions that the banks are attaching to mortgage offers are simply not attractive/viable for potential borrowers?