UK housing market sees rise in demand

Demand for property in the UK is rising, despite mortgage lenders continuing to place restrictions on the availability of finance.

That is the suggestion of the National Association of Estate Agents (NAEA), which found that the number of prospective buyers is on the up.

For June, an average of 279 house hunters registered with an estate agent branch, compared to 265 in May.

One factor thought to be contributing to the trend is the increase in the stamp duty threshold, with the new level of £250,000 meaning that more people may feel they can afford to move.

NAEA president Michael Jones called for banks to relax restrictions on mortgage funding, in order to ensure that sales figures can match the growth in demand.

Recent research by Defaqto indicated that the availability of discount mortgages has been in decline, with 72% fewer products on the market now than was the case three years ago.