This time last year, lenders were desperately pushing volumes ahead of the incoming Mortgage Market Review, so year-on-year figures this year look unusually poor.
Compared to November 2013, the number of loans increased 9% and the value of these loans went up 14%, according to CML figures.
However on a monthly basis, there were 17,700 buy-to-let loans in November, representing lending of £2.4bn. This was a decrease on the previous month with loan volumes down 10% and the value of these loans down 11%.
All other November lending showed a decline with first-time buyer loans down 11% since October, with home movers down 13% on the previous month and remortgaging down 8%.
Gross mortgage lending reached £16.5bn in November, or 11% lower than October at £18.6bn and 3% lower than November last year.
Paul Smee, director general of the CML, said: “Our forecasts are for gross lending to continue to grow over the next two years and this reflects our belief that there are more stable conditions in the market than a year ago.”
Mark Harris, chief executive of mortgage broker SPF Private Clients, said: “With buy-to-let falling outside the remit of the mortgage market review, it is clear to see why lenders might be keen to attract more business in this area, seeing it as a way of boosting lending volumes.”
“Of course, the resurgence of buy-to-let does have an impact on first-time buyers, with many competing for the same entry-level properties. However, with an increase in the number of high loan-to-value deals available at competitive rates, the number of first-time buyers is unlikely to fall dramatically,” he added.
