"Next Few Years Will Be Tough" For UK Lenders

The Guardian highlights a study done on the home lending prospects in England. "Mortgage lending in the UK will decline 10% by 2007 as the property market stalls." That according to Datamonitor.

"Lenders will need to devise cost effective strategies in the light of increasingly wafer thin margins..Datamonitor said the outlook for the next few years will be tough for mortgage lenders."

With the rising use of adjustable rate mortgages and the like, one wonders if the US market is ready for a multi-year down cycle.