Halifax Price Index June 2018

Brian Murphy, Head of Lending for Mortgage Advice Bureau comments:

“The report released by the Halifax this morning indicates that house price growth appears to have steadied in May, following a somewhat lacklustre set of figures last month. With modest year on year and month on month increases of less than two percent, one might be forgiven for thinking there’s little to write home about. However, what should be remembered is that at the beginning of the year, expectations for the market were subdued, with minimal average growth forecast for 2018. In that context then, this morning’s figures suggest that the UK housing market is currently performing within expectations.

Of course, it’s going to take more than one month’s worth of a slightly more positive reading to constitute a shift in market dynamic. Whilst demand is still in evidence in many areas, the lack of available homes for sale is stymieing buyers due to lack of choice, and it’s a rare seller who is listing their home at the moment ‘just to see’ as even if they are lucky enough to achieve an offer, there’s little else to purchase. Of course, it only takes a couple of months of new seller activity to reverse the picture, so hopes over the next few weeks will be pinned on the ‘family mover’ market and those who want, or indeed need, to complete their transaction during the upcoming school holidays prior to the new term in September, in order to inject some new life into what is otherwise a stagnating picture.”