The number of UK residential transactions in April rose by 10% to 90,430 from a year ago, HMRC data shows, up 5% on the previous month.
This is the fourth month in a row provisional seasonally adjusted home sales were higher, lifting industry hopes about a strong start to the year.
Legal and General Mortgage Services Managing Director Kevin Roberts says: “A fourth consecutive month-on-month increase in sales is music to our ears, and gives us further confidence that this will be a much brighter year than 2023.
“The discussion around a summer base rate cut is possibly helping to fuel consumer confidence, and the market and many lenders have already priced in a reduction.
“Product availability also remains strong, with over 6,500 products on the market this month, up from 6,300 in April and 5,200 in May last year.
“Affordability does however remain stretched, so it is great to see the availability of 90% loan-to-value products rise for a third consecutive month to the highest point in over 16 years.”
Propertymark chief executive Nathan Emerson adds: “Year-on-year, it’s extremely encouraging to see an increased confidence within the housing market.
“However, with a general election now only a matter of weeks away, there is the potential to see a summer slowdown, as people hold back to better understand what policies and support they may be promised by various political parties.
“First-time buyers will be a key group eagerly awaiting clarification on what support may be offered to them moving forward, especially as we have now seen a welcome dip regarding the rate of inflation, which we hope will also soon progress into a drop in interest rates too.”
More2life managing director Ben Waugh points out: “Inflation is levelling out, hovering at 2.3%, and rates have settled into a more regular groove as a result.
“This more stable market climate is encouraging borrowers to seize their opportunity to get a foothold on the housing ladder – for aspiring FTBs and homeowners weighing up their remortgage options, there is reason for optimism.
“The mortgage market may have turned a corner into calmer waters, but we must be mindful of the horizon.”
