Market confidence in UK property sees a slight fall but remains strong

Market confidence in UK property sees a slight fall but remains strong

There has been a slight fall in the overall level of confidence seen in the UK property market, it has been reported, although the market remains strong and confidence is still relatively high at the current time. 

According to the latest report from Halifax, the headline House Price Outlook balance, which shows the difference between the number of people who expect house prices to rise and the number who are predicting a fall, sat at +58 in April. 

Although this is still a very positive figure, it represents a small drop from the +64 reading that was recorded in March of this year. This could be skewed a little however, with people being wary about the future of the market in April as they awaited the general election result and the potential for changes this could have brought to the property market. 

While overall confidence over prices was falling slightly, however, there still existed a real confidence about buying in April. The index for people who thought it was a good idea to buy in the next six months against the number who thought it would not be the time to purchase sat at +26 in April. 

This was up from the level of +21 that was witnessed in March, and showed that there is still a real desire to buy among Brits, even at a time when they could not be 100 per cent sure of what the immediate future would hold for property. 

"With inflation now at its lowest level since records began, unemployment falling, and the economy still growing, the fundamentals for the housing market remain positive. Going forward the key factor in how consumers adjust to any changes in rates will be the way in which they manage their disposable income," said Craig McKinlay, Halifax mortgages director.