The UK property market looked encouraging when the Bank of England held interest rates at their present level of 0.5%.
The Monetary Policy Committee (MPC) voted to hold rates, putting it in the position to gradually increase them if necessary to return inflation to target levels later on.
This is good news for those who are thinking about buying or remortgaging a property, as the static base rates keep mortgages at their presently competitive levels. Recent HMRC figures also suggest that there was an increase in the number of homes sold in May.
Last month 99,950 properties were sold, up from 98,820 in April. The number of properties sold since the beginning of 2018 is currently 492,350. However, this is lower than the same period in 2017, when total property sales reached 611,980.
Brian Murphy, Mortgage Advice Bureau’s Head of Lending said that so far this year, the overall transactions level appears to be steady. However, he warned that the report results appear to mask the fragmented market and two-tier activity levels currently being seen across the UK. Some areas are seeing house price growth and increased buyer activity while others are dealing with fewer buyers and lower prices.