Even though the remortgage sector is slipping back due to the lack of expectation of a near base rate hike, buy to let remortgage applications increased 6% during the month of May.  Other remortgage application figures dropped for the third month in a row.  Overall, remortgages comprise almost a quarter of the total mortgage applications during the month of May.

Housing market figures are still running slightly lower than those of last year.  Buyer enquiries went up 7% during the month of May.  Viewings increased slightly also by 3% - both enquiries and viewings are running lower than last year’s levels.

Rental property remains to be in high demand as mortgage lending continues to have a tight lid on it, as an industry.  The total number of new tenants registering for accommodation surged by 20% in May versus the month of April.  The number of new tenants registering was also almost 30% higher than in the same month of 2010.

The head of Countrywide, Grenville Turner, commented on the behavior of today’s buyers and sellers, saying: “Rather than seeing the traditional uplift in sales activity we tend to see in the summer months, we appear to be in the middle of a standoff between buyers and sellers.

“Those sellers with realistic house price expectations that want to sell are selling. Those with a more speculative view of the market are not.”

He adds that the appetite from buyers for residential property remains relatively constant, but the difficulty of raising mortgage finance continues to be a barrier.

Turner says: “A boost in consumer confidence is critical as the continuing uncertainty over the economic outlook remains as important as the availability of mortgage finance in depressing demand.”