Brexit has created an air of uncertainty which is undeniable within the UK housing market. This uncertainty has placed hesitation in the minds of many on decisions like placing a home on the market for sale, or making an offer on a home to purchase, and even making some question the idea of remortgaging or waiting for more solid ground. Whether in the market or on the fringes Brexit has not only created a careful approach to decisions, but also put many on simply hold status. New housing forecasts for this year however are painting quite the bullish picture.

According to the Intermediary Mortgage Lenders’ Association, mortgage lending is expected to reach the highest level since the economic struggle back in 2007. This activity is forecasted to be led by the intense amount of activity within the remortgage sector.

The IMLA is estimating gross mortgage lending will be over the top and total £265bn for the year 2018 with a net of £47bn. The association expects remortgage lending will almost reach the £100bn mark which accounts for 36% of total mortgage lending. This would be an increase of almost 5% over the level reached in 2017.

As optimistic as the forecast has been set, it is not present without a cautionary side note to the housing market itself. The IMLA has commented the market is facing structural changes in regard to factors such as housing turnover, supply, and overall affordability.

The executive director of IMLA Kate Davies commented on the latest figures, saying: “Whiles the mortgage market currently appears resilient it is clear that a number of structural factors have been changing our perceptions of what ‘normal’ looks like.”

Davies added: “We are witnessing a step-change in the market as the shifting demographics of homeownership and the housing supply shortage create a structural break with what has been the norm.”