Affordability is much better in Scotland than in the UK as a whole, the CML claims.
Despite this, Scotland has the lowest proportion of homeownership in the UK – although it is rising rapidly. These are some of the findings of a review of the Scottish housing market contained in the CML's National Markets Review 2002/2003.
Scotland has more than 1.1 million mortgage borrowers, with mortgage lending of £47.5bn. 10% of all mortgages in the UK are in Scotland, but their value accounts for only 8% of the UK total. This reflects the fact that prices are lower than the UK average. During the first half of this year, £5.7bn was lent on mortgage in Scotland, and this was 6% of all new mortgage lending in the UK.
David Chalmers, chairman of CML Scotland, says: “Homeownership has been rising faster in Scotland than in the other parts of the UK. With 63% of Scottish households now owning their homes, we have not yet reached the UK average of 69% and there is still significant pent-up demand. This means that mortgage lending in Scotland looks set to remain a growth area for the foreseeable future.”