Riding on the heels of an extremely successful year within the UK housing market, this year is starting with a slight whimper compared with the end of last year. The last quarter of last year saw thriving house sales, house price growth, and extremely high levels of remortgage activity. So far, this year has proved to see only one of those three success stories continue. Remortgage activity continues to be strong, whilst the remaining two seem questionable during the coming months.

January posted lackluster house sales (mainly blamed on the housing shortage), and a fall in the level of house price growth. Remortgage however, is still going strong and is expected to remain strong at least until louder whispers of a hike in interest rates comes along.

Many UK house owners are now enjoying a lower monthly mortgage payment thanks to lower interest rates and a high amount of lender competition. Activity for remortgage applications started in early autumn of last year and is still at a healthy clip.

Strong activity within the housing market overall however is starting to falter. January posted lower figures for house price growth and housing sales.

Jonathan Hopper, managing director of Garrington Property Finders, commented on the latest figures from the first month of January, saying: “January’s icy weather was mirrored by a chill in the housing market. But though the national average price of a home fell by a few hundred Pounds, momentum remains.

“The annual rate of price inflation is virtually the same as it was at this time last year, and six months on from the Brexit earthquake, the market has settled into its familiar pattern of steady growth.”

Hopper added: “But the days of double-digit price rises are gone, and while the market fundamentals are strong enough to drive further growth this year, progress will be sedate rather than stellar.”