Cleary says the market has turned a corner in the last four weeks, with private equity markets showing a revived interest in mortgage assets.
He says: “Sentiment has changed over the last month. We have reached the bottom of the market, as shown by Santander’s bid for Alliance & Leicester. Now is the time to buy. I think there will be a wave of buying activity now.”
Cleary says Edeus still remains open for offers but will not comment on whether it has had any recent approaches.
He says: “There is a lot more activity going on, especially given that there was no activity before. There is lots of fresh capital coming from banks through rights issues and acquisitions. Hopefully, we will start to see Libor coming down.”
Cleary says by the second quarter of next year, the UK mortgage market will see some really good signs of movement.