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103307
Mortgage market remains cautious
September 16, 2010
By Liz Parks

Many consumers are still not confident in the mortgage market despite access to property purchases improving, new figures have suggested.

According to the BSA Property Tracker Survey conducted by the Building Society Association, 26 per cent of people do not believe now is a good time to buy a home – an increase of five per cent since the last time the survey was carried out.

Some 56 per cent of respondents said ongoing unemployment was keeping them from making such a purchase, while another 56 per cent said they could not afford the deposit.

Paul Broadhead, head of mortgage policy at the BSA, said the recession was still having a significant influence on the mortgage market.

"It is clear that concerns about future falls in property prices are having a significant impact on consumer confidence," he said.

However, the study indicated that consumers are finding it slightly easier to access mortgages now than in March, but Mr Broadhead noted that job security is likely to remain a barrier to property purchases until there is a significant improvement in the economy.

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