As Article 50 is triggered, there is growing uncertainty within the UK housing market. Within the last few weeks inflation as well as other factors have led to fewer transactions occurring within the market, including property purchases, according to housing experts. Major purchases appear to be placed on hold by many concerned with what the short term future within the market looks like.

Purchasing power is losing ground to inflation and that has affected many budgets of many households. Mortgage approvals have fallen. House prices are also starting to erode in some areas of Britain.

According to Nationwide, half of the twelve regions under the microscope actually lost steam in regard to house price growth during the month of March.

The average price of a UK home fell 0.3% during the month of March, according to the latest housing market data.

Howard Archer of IHS commented on the latest central bank data, saying: “March’s softer Nationwide house price data following on from the Bank of England reporting a dip in mortgage approvals in February fuels our belief that the housing market is being increasingly affected by the increasing squeeze on consumers and their concerns over the outlook.”

Archer continued: “Markedly weakening consumer fundamentals, likely mounting caution over making major spending decisions, and elevated house price to earnings ratios are likely to weigh down on housing market activity and house prices. However, a shortage of supply is likely to put a floor under prices.”

Remortgage activity continues to be strong as many UK households are obtaining deals to save money each month on the cost of the monthly mortgage.