Housing market to revive just in time for the election

While last week’s GDP figures confirmed that the recovery lost momentum at the tail end of 2014, we expect it to regain pace soon. One helpful development in that respect should be an end to the mini-downturn in housing market activity that unfolded over the course of last year.

Indeed, recent falls in mortgage rates, stamp duty reforms and a pick-up in real earnings should all revive the housing market and boost the economic recovery by stimulating house-building. And with now under 100 days to go until the general election, a housing market revival could also not be better timed for the coalition parties.