Residential demand returns to London

While the UK has seen house prices boom over the past year, central London has not joined in as increased remote working led buyers to shun the capital for more space in the suburbs and further afield. But indicators of demand show that it is far too early to call time on city living, with demand now returning to the purchase and rental market despite prices remaining far higher relative to earnings than in other regions.
Andrew Wishart Property Economist
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UK Housing Market Data Response

Nationwide House Prices (Nov.)

House prices recorded another above-consensus gain in November as strong buyer demand bid prices up further. There is little sign of that dynamic changing anytime soon, so we expect the consensus forecast for 2022 to continue to be revised up closer to our own view.

1 December 2021

UK Housing Market Data Response

Mortgage Lending (Oct.)

Mortgage approvals remained robust in October after the end of the stamp duty holiday, only easing back into line with their pre-pandemic average. With demand strong, we suspect that mortgage approvals will move back above pre-virus levels in 2022, although limited inventory could be a constraint.

29 November 2021

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29 November 2021

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UK Housing Market Data Response

Credit Conditions Survey (Q3 2021)

An ongoing improvement in credit availability may offset the increase in Bank Rate we expect in 2022. That offers support to our forecast that mortgage rates will remain low.

14 October 2021

UK Housing Market Data Response

RICS Residential Market Survey (Sep.)

The RICS survey suggests that the housing market has shrugged off the deterioration in sentiment about the broader economy so far. Demand stabilised at a high level in September while stock remained limited, so strong competition between buyers appears set to bid up house prices further in the near term.

14 October 2021

UK Housing Market Data Response

Halifax House Prices (Sep.)

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7 October 2021
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