"There was a sense of the market regaining some equilibrium in May, following the stamp duty driven spike in March and the subsequent dip in April."
However figures remain 30% higher compared to a year ago and are now at levels similar to those in the first three months of the year.
Remortgage loans totalled 30,900 - down 12% month-on-month but up 25% compared to a year ago.
However other lending sectors saw a stronger month. Home-owners borrowed £9.4bn for house purchase, up 15% month-on-month and 8% year-on-year, while first-time buyers borrowed £4.3bn, up 10% on April and 23% on May last year.
The CML added that gross buy-to-let lending "continues to be lower than usual as expected after the surge in activity to beat the stamp duty changes".
Landlords borrowed £2.6bn, up 4% month-on-month but down 4% year-on-year. Buy-to-let house purchase lending is under half what it was in the months leading up to the stamp duty changes, whereas buy-to-let remortgage is by value 10% lower than levels seen in January and February before the surge in activity in March.
Paul Smee, director general of the CML, commented: “There was a sense of the market regaining some equilibrium in May, following the stamp duty driven spike in March and the subsequent dip in April. For the second month running, first-time buyers borrowed more than home movers, the first time in 20 years that this has been the case. Buy-to-let continues at lower levels as expected, after the change to stamp duty.
“Brexit, and its likely effect on the market, is a question to which the answer will not immediately be forthcoming. Lenders will continue to be open for business as usual, but lending volumes may be affected by uncertain consumer sentiment.”
