Loans taken out for house purchase declined 2% by volume to 48,200 and declined 5% by value to £7.1bn compared to August but September 2011 figures were up 3% by number and value compared to September 2010.
There were 34,200 remortgage loans advanced worth £4.3bn, a 25% increase by volume and 26% increase by value on a year ago.
The third quarter of 2011 saw 144,200 loans worth £21.6bn for house purchase up 16% by volume and 21% by value from the second quarter. However this was 6% lower than the activity levels in the same period last year.
In contrast remortgaging from July to September saw both quarterly and annual growth with 100,300 remortgage loans worth £12.6bn representing a 23% rise in volume compared to the third quarter of 2010.
The decline in house purchase lending in September was driven entirely by a drop in home mover activity, says the CML.
There were 30,100 loans to home movers in September worth £4.9bn, down from 31,400 worth £5.3bn in August.
In contrast, first-time buyer numbers rose in September. The 18,200 loans worth £2.2bn taken out by first-time buyers represented an increase from 18,000 with no change in value from August.
Paul Smee, director general of the CML, said: “Although both house purchase and remortgage loans experienced a small drop in September the overall market to date shows a stable picture. However the backdrop of global and domestic instability makes the future more difficult to call.
“A wider public debate is beginning to open up about how to help the housing market act as an engine of growth for our stuttering economy. The CML looks forward to helping to shape and drive this objective.”
