Despite house prices falling  ‘another rate cut is looking likely’which will see market ‘momentum will continue’

Nationwide new figures shows that house prices fell by -0.6% between March and April of this year.

On an annual basis, the average house price increased by 3.4% although this rate of growth had slowed from 3.9% the previous month.

As a result, the average UK house price now sits at £270,752.

Chief Sales Office for Foxtons, Jean Jameson, said, “We’ve seen a strong start to the year already and the first quarter was one of heightened activity on all fronts, with more buyer enquiries being made, more homes being listed and more offers accepted.

It certainly appears as though the second quarter is set to bring more of the same with today’s figures showing that house prices have continued to climb on an annual basis, despite a marginal monthly decline following the stamp duty deadline.

With the anticipation of further rate cuts and mortgage provider competition, we expect to see the market accelerate through the gears over the remainder of the year.”

Director of Benham and Reeves, Marc von Grundherr, said, “A marginal decline in the rate of house price growth was to be expected given the recent stamp duty deadline, however, this is nothing more than a momentary pause for breath following a heightened sense of urgency to complete on the side of the nation’s homebuyers prior to 1st April.

Now that the dust has settled, we expect to see an increase in market activity over the coming months, as many buyers and sellers look to press on with their plans for the year.

This will help to further cultivate a property market that has stood very firm, despite the wider economic headwinds that have blown fiercely in recent months.”

CEO of Yopa, Verona Frankish, added, “Stability has been key to the returning health of the UK property market and, whilst we may have seen a brief period of respite following the March stamp duty deadline, buyers continue to re-enter the market, spurred by reductions to interest rates and a more settled mortgage landscape.

With another base rate cut looking likely this month we expect market momentum will continue to build and any stagnation in the rate of house price growth will be short lived.”