The fall in house prices is beginning to slow and that has led to more optimism within the housing market.  Almost 30% of postcodes saw a decrease in house prices during the last two months.  That has turned around during the month of January.  This month only saw around 16% of postcodes experience a downturn in prices.  London, which typically sees increases each month, saw a modest 0.3% increase.

Banks are beginning to behave slightly different heading into the New Year as well.  According to many estate agents, lending is easing slightly which is creating more opportunities for prospective home buyers. 

Hometrack commented on the current state of the housing market, saying: "The housing market looks to be in slightly better shape than at the start of the previous two years.”

They added: "Agents are reporting sellers seeking valuations but waiting until the outlook becomes clearer before putting their home on the market.

"Five years into the downturn and with sales of homes still running at less than one million a year, there is a steady accumulation of pent-up demand to move. The spring housing market will be a key test of whether UK households are willing to act upon a slowly improving sense of optimism.”

Remortgages are believed to increase in activity as the spring season approaches.  While many homeowners are still aware of a remortgage, few fully understand the ultimate benefits of such a transaction.  Not only can a remortgage possibly lower a monthly mortgage payment amount, but can also assist in paying off some old debt.