Residential property transactions and Stamp Duty receipts "further evidence of the pent-up demand in the UK's housing market"

The main takeaway here is that Stamp Duty receipts and property transactions are both up on the same periods last year, which shows the market hasn't ground to a halt. In fact, it's very much firing and a base rate cut this week or in September could really set it off. The increase in Stamp Duty receipts during the second quarter compared to the first may reflect transactions coming through from the mortgage rate war that was raging at the tail end of December and into January.

It's no surprise that transaction levels in June were up relative to the same month last year, as the bar was fairly low. Last year was one of the lowest years for annual transaction volumes, at around 1 million. The average per year is normally around 1.25 million and the height after Covid was 1.4 million. We have seen growth far in excess of 10% and continue to do so across new enquiries and completions. With interest rates relatively high, the average debt ratio at 10 times income and house prices near all time highs sustaining a strong market, my fear is that prices and volumes will only continue to go up as the base rate reduces.

This is further evidence of the pent-up demand in the UK's housing market starting to unleash itself. Our experience of enquiries and applications mirrors these figures and should be seen as a great confidence boost to the housing sector for the second half of the year. With help from the Monetary Policy Committee over the coming months, giving us a much needed base rate drop, these numbers should increase much further.

This data showed what we have all felt on the ground, that this year is a much better market than last year, as confidence has returned to borrowers and rates are starting to ease. The final quarter of the year should press on further and set up a booming market in 2025.