UK housing market house prices are heating up just as the summer draws to a close, according to the latest public data. Mortgage lending activity as well as remortgage activity has created quite a buzz within the market as growth is surpassing that seen back in the year 2008. Currently, the fastest house price growth is taking place within the capital city of London.

As the country braces for an increase in the cost of anything associated with interest rates, the UK housing market is showing signs of a mighty surge to complete the year. Lenders are still holding steady with many attractive mortgage and remortgage deals, so the time to take advantage of timing is now.

According to the latest data from the Council of Mortgage Lenders, gross mortgage lending is on the hot track currently, as it has grown more than 10% year on year, totaling £20bn last month.

Tim Moore of Markit commented on the latest data, saying: “The index is still consistent with sustained house price growth across all UK regions.”

Bob Pannell, CML chief economist, commented on the current housing market climate, saying: “Mortgage lending is currently enjoying its best spell since 2008, on the back of a pick-up in house purchase and remortgage activity over the summer months.

“We expect further modest growth for the rest of the year, although affordability pressures are likely to limit gains for first-time buyers and home movers.”

Many close to the market are expecting house prices to increase by at least 6% for the year and a figure close to 6% next year as well.