The popular UK bank Halifax are reporting that a combination of economic growth, low interest rates and a big rise in mortgage approvals has really boosted the UK housing market.
This will come as welcome news to everyone involved in the property market especially first time buyers looking to get on the property ladder.
“Increasing demand is combining with very low supply to drive robust underlying house price growth. There is little reason to expect any fundamental shift in the key market drivers over the coming months,” said economist Martin Ellis.
Figures from the Bank of England suggest the housing market was given a boost by a rise in mortgage approvals, which increased for the third successive month in August. The volume of mortgage approvals for house purchases – the main indicator of completed house sales – rose 3pc in August to the highest level since January 2014.
Separate data from rival lender Nationwide indicated last week that prices rose 3.8pc in the year to September. Nationwide’s figures also revealed a growing gap in values between the north and south of England, with the difference hitting a record high of £150,000.
As always the property market remains a volatile place and many factors contribute to either growth or decline of the market. For now though it seems that the market is on the rise and that will be welcome to all involved for now.