Latest Property News From the NHBC, one of our respected partners. Take a look at its latest report on the UK property market.
So far in fiscal year 2015-16, PSNB is £7.3 billion below the previous year. During July, CPI inflation crept up to 0.1%, from zero in June. Core inflation rose sharply from 0.8% to 1.2%, further allaying any fears of sustained deflation. At its August meeting, the MPC kept the Bank Rate on hold at 0.5%.
In the three months to the end of January, NHBC housing starts were down 3.8% annually for the private sector and down 26% for affordable housing. Completions were up 13% in the private sector and up 16% for affordable housing.
There appears to have been a strong post-election bounce in demand for new homes and the Help-to-Buy Equity Loan continues to perform strongly. The industry continued to achieve price increases in July, as prices rose in each of the first seven months of 2015. Sales in 2015 are expected to be above 2014.
Despite some disparity in the month-on-month data, the smoother moving three-months HPI data shows that UK house prices remain on an upward trajectory. RICS’ surveyors report house price increases still driven primarily by a chronic excess of demand over limited supply. Consumer confidence fell slightly in July.
Activity levels in the housing market look set to continue to increase over the second half of 2015. CML data showed a sharp increase in mortgage advances for buy-to-let purchases in Q2 2015. Q2 2015 saw a further reduction in the level of mortgage arrears and repossessions.