The number of residential property sales recorded by HM Revenue & Customs and the Land Registry plummeted by 49.6 per cent to 48,450 in May compared to the same month last year.

However, May’s provisional seasonally adjusted figure was 16 per cent higher than the 46,440 sales recorded in April.

The monthly transactions data includes all property sales over £40,000 that are reported to the Land Registry.

Non-residential property transactions were down by 42.2 per cent year on year to 5,880 in May.

North London estate agent and former Royal Institution of Chartered Surveyors residential chairman Jeremy Leaf says: “As always, it is property transactions rather than the more volatile prices which prove to be a better barometer of market strength and these are no exception. 

“Although, of course, the numbers represent activity initiated several months ago, so are historically disappointing, they do show as well a welcome enthusiasm to pick up on transactions which were stalled and engage in new deals, which is exactly what we are finding on the ground. 

“Looking forward, listings are increasing which is encouraging and likely to bring more balance. 

“But on the other hand, we have concerns that most of the demand is for smaller family houses rather than smaller flats as aspiring first-time buyers remain concerned over future employment prospects post-furlough.”

Selina Finance co-founder Andrea Olivari adds: “On the whole, there are gradual signs that the property market is moving, with the latest industry figures revealing an average house price increase of 1.9 per cent. 

So the [month-on-month] rise in property transactions is reassuring, particularly given the figures are taken from May and the market wasn’t officially re-opened until mid-way through the month.

“It will be interesting to see if this trend continues throughout June or whether these figures are down to a release of pent up demand from the lockdown period.

“Whether the increase continues in the long term is dependent on an array of factors, particularly the new normal of homeworking post-Covid and how this influences homebuying decisions.”