“There are two reasons why the pick-up in activity this spring may not turn out to be strong. Firstly, many first-time buyers continue to be priced out of the market.”
“House prices tend to move seasonally, driven up by higher demand and activity in the warmer months and falling off towards Christmas. Just as the trading period over Christmas is crucial for the retail sector, the spring and summer are crucial for the housing market.”
“The continued rise of our three-month average since October 2005 still shows strength in the market and, significantly, this discouraged the MPC from cutting interest rates in February.”
