UK lenders have suggested that loans for homebuyers granted in June are up 23 per cent in comparison to May's figures.

Around 45,000 home loans were granted in June for house purchases, this is just six percent down from figures released last year in May explained the Council of Mortgage Lenders.

The group continued to say the mortgage market has stabilised but is nowhere near the levels reached during the recent housing boom.

"Low interest rates and realistic selling prices have helped generate a welcome increase in transactions.

Paul Samter, a CML economist, said: "But there is some way to go before we reach normal levels of activity.

"There are tentative signs that lending criteria are easing, but remortgaging demand is likely to remain subdued whilst interest rates stay at current levels."

It remains to be seen if the mortgage market will continue on its recovery, but many will be hopping that everyone has learnt there lesson from last time and avoid another housing market crash.