The Council of Mortgage Lenders (CML) believes that the mortgage market could pick up in 2008.

According to the organisation, "we should not assume without question that recent trends will continue" throughout the year.

The CML has published its market commentary, which highlighted the fact that, overall, 2007 was an extremely successful year.

Gross mortgage lending reached a record high and net lending also increased considerably.

However, there is no getting away from the fact that the market slowed towards the end of the year, largely down to the collapse of the US sub-prime market and the global credit crunch that followed.

A number of commentators are predicting a difficult year ahead for the market but the CML is not so sure.

"There are one or two glimmers of light. Although levels of buyer enquiries remain depressed, the monthly Rics survey shows a change in momentum in the last few months," read a statement from the organisation.

"First-time buyers are accounting for a larger share of recent enquiries. Stable to slightly softer prices, and improved prospects of finding a bargain, might help to put a floor under the interest of those looking to enter the market, particularly as supply remains tight in many areas

"Another reason not to overdo the pessimism is that interest rates are falling… The wider risks to the economy mean that the trend in rates will almost certainly be down this year, and this is priced into market rates," it continued.