The Nationwide Mortgages House Price Index brings hope.
According to February's Nationwide Mortgages House Price Index, property prices increased during January. This adds to the view that the housing market finally appears to be gaining momentum as the result of increased activity.
The Nationwide Mortgages February Index recorded a 0.6 % rise on January's lending figures which confirms that home buying is starting to pick up. New figures released from the Bank of England reveal that January's mortgage approvals reached their highest level for two years.
Robert Gardner who is the chief economist at the Nationwide, has advised that the house price increase is the latest in a series of indicators which point to the UK economy not being as weak as it appeared towards the end of 2011.
However, some market analysts suggest housing activity and price increases simply reflect a rush by first-time buyers to make the most of the stamp duty holiday before it expires.
Mr Gardner has acknowledged that house price increases may be temporary and that prices may cool over the summer. However according to the Nationwide Mortgages House Price Index the news is currently positive.
Analysts are being negative predicting that lending figures may fall after the stamp duty holiday, however market predictions are just best guesses.
We at Deal Direct believe more should be made of positive mortgage market news as good deals are available and those looking for a home should still be able to get a competitive deal.
