Although waters have calmed a bit within the UK housing market, there are stark new reports of a lack of growth of house prices over the next several months, according to the latest released market data. Figures forecasted from Countrywide suggest house prices will drastically fall from the 5% growth which took place last year down to an estimated 1.5% for the total of this year. Many house owners have benefitted from soaring house price growth during the last few years, at the same time first time house buyers have seen increasing difficult affording their first property.

As house price growth slows, the remortgage market continues to bully its way to successful month after successful month. Even though the selling season is coming to an end, remortgage activity remains high. This is due mainly to low interest rates and the push to obtain a remortgage from market professionals. The increase in the rate of inflation has also affected those looking for some relief to monthly outgoings.

Remortgage is expected to continue its strong run through the end of the year, although many housing experts believe an interest rate hike could take place before then. If that is true, a change in the demand for the mortgage lending tool can be expected.

Countrywide chief economist Fionnuala Earley commented on the latest data released, saying: “Economic conditions for households will remain challenging over the next year as inflation eats into [household] budgets and interest rates begin to rise.”

House price growth has been dictated lately by political issues which have tended to affect optimism and feelings about the coming months with Brexit.