The UK property industry is making something of a comeback with the brightest market conditions in six years, a new report has suggested.
Hometrack, the property analyst, said that a 0.4 per cent increase in the cost of homes in the summer, coupled with significant improvements across every available key indicator, has led to the industry being in its most impressive position since the credit crunch hit.
The market was unaffected by the downturn in August, which is something of a tradition, with the cost of homes growing at 1.8 per cent annually. This is the largest year-on-year increase since 2010.
The numbers were revealed in the midst of speculation that the country may be on the way to a new property boom. Recently, Nationwide revealed a 3.5 per cent year-on-year increase in August prices, with the Bank of England reporting that approvals for mortgages were also up.
Hometrack’s Research Director, Richard Donnell, said:
“All the key market indicators, such as time on market and the proportion of the asking price achieved, show underlying housing market conditions are at levels not seen for six years.”
The conditions, which have been boosted by government schemes such as Help to Buy and Funding for Lending, did lead to a warning from Mark Carney. The governor of the Bank of England said that there is the potential of a housing bubble and that the bank would take caution in mortgage lending should it be required.
No doubt the news will be celebrated by joiners and builders on the Wirral and across the country, as the demand for home improvements looks set to grow.