They say an "Englishman's home is his castle", and there would appear to be almost nothing an Englishman will not do to get on to the housing ladder.

This proverb originates from the quote by English jurist Sir Edward Coke (1552-1634), that "...one's home is the safest refuge of all..." For those lucky enough to be on the housing ladder, it is the false sense of security this saying implies, which is causing me concern.

Recent figures released by the Council of Mortgage Lenders (CML), highlight just how an Englishman's fidelity for property is matched only by his willingness to plunge himself up to the eyeballs in debt to get onto the housing ladder, even if the greater part of the property actually belongs to the building society.

Some mortgage lenders have been accused of fuelling demand for property, and pushing house prices even higher, by relaxing their lending criteria, to help first-time buyers and those on lower incomes get a foothold on the property ladder.

The CML figures support this argument, highlighting the average loan offered by lenders in February was 3.13 times the income of the borrower - well above the average of the 1980s and 1990s of closer to 2.25 times. Some lenders are even offering home loans of up to six times annual income.

Two of the North-East's largest stock market-quoted companies are continuing to benefit from a booming housing market. Bellway, the Newcastle house builder, recently reported it has already secured 80 per cent of its sales target during the first six months of its financial year.

In the past few days, Northern Rock has also reported that demand for its mortgage products, particularly re-mortgaging, are still very strong, with net lending rising 34 per cent on a year earlier.

Whatever your views on the housing market, many studies and historical statistics do indicate that the market is becoming, if not already, over inflated. However, will the bubble go pop any time soon? Not likely, if the latest figures from the British Retail Consortium (BRC) are to be believed. Although first-time buyers and those on low incomes may be struggling, it is the complacency or over- confidence of those already on the property ladder which is continuing to drive the economy and fuel the current property boom.

Even though interest rates have been rising and the general cost of living increasing, UK consumers still appear to have plenty of spending fire power left.

Most spending it still, of course, on credit, with people continuing to offset debts against the value of equity in their homes. There is also an increasingly willingness to unlock equity in their property through release schemes or re-mortgaging.

The 6.2 per cent rise in total retail sales for last month, reported by the BRC, is testament to the Englishman's current sense of economic well-being, and consumers continuing spending spree will almost certainly see the Bank of England raise interest rates to 5.5 per cent next month.

Maybe you should step back and ask yourself what would happen if house prices were to fall, which, believe it or not, they do from time to time, particularly during times of economic slowdown and periods of rising employment.

Both of these factors are starting to occur. If you can no longer afford the mortgage repayments or have no equity left in your home, your home may not be the safest refuge after all.

* Mark McMullan is an Investment Manager in the Teesside office of Wise Speke, and can be contacted on 01642-608855. Views expressed are the author's own and are not necessarily held throughout the Brewin Dolphin Group. Wise Speke is a division of Brewin Dolphin Securities Ltd, a member of the London Stock Exchange, authorised and regulated by the Financial Services Authority.