Prices of British houses have risen at their fastest pace in nearly three months, as the property market looks to stabilize following a turbulent few months.
The last three months have given some reassurance for the British people and British house prices, and a reflection in rising house prices may mean that some consumer confidence is being restored.
Since the December election, where Boris Johnson wiped the floor clean of the Labour party, there have been developments in British Politics and Brexit.
As I am writing now, my colleague to seats to the right of me is typing away updates on the cabinet reshuffle, as Boris Johnson looks to freshen his advisory committee in an attempt to restore British confidence in the government.
The Royal Institution of Chartered Surveyors (RICS) said that house price index surged to +17 in January, from the -2 figure in December.
“It remains to be seen how long this newfound market momentum is sustained for, and political uncertainty may resurface towards the end of the year. But at this point in time contributors are optimistic,” RICS chief economist, Simon Rubinsohn, said.
Notably, the January reading was the highest reading since May 2017 and beat the forecast from both analysts and the market.
Market traders and property experts praised the strong growth in London and South East, which had been previously facing troubles as Brexit took its weigh on the British property market.
More properties were being listed for sale, and a steady rate of purchases also led to house prices increasing across the United Kingdom, and on these two metrics showed the fastest rise since August 2013.
Halifax also reported a 4.1% rise in house prices annually, which was the biggest increase since February 2018. Notably, the Bank of England also said that lenders approved the most new portages since July 2017.
Certainly, the outcomes of the election and the formal severance of British ties with the European Union has given some stability on the property market.
There is still a long way to go and many clauses in Brexit will be unfolded, however this is a good sign that the property market has bounced back over the last few months.