A new set of economic data has surfaced regarding the short term growth prospects of the capital city. London is estimated to see a 0.5% fall in the average house price this year due to uncertainty with Brexit outcomes, according to the latest research found through a Reuters poll. More than 30 housing experts were polled regarding the short term effects caused by Brexit. Negative growth of property value is expected in London, and positive growth of an estimated 2.0% is expected across the country.

The London housing market has seen its share of skyrocketing property values, shortage of available flats for purchase, and unreachable prices for first time buyers during the last decade. Now, the market in the capital city has cooled off. First time buyers are looking at other locations for their first residence. Investment in property has slowed down. Sellers are even taking much less than asking price for property which had been in high demand just a few years ago. One thing which remains strong within the city market is remortgage.

The start of the UK housing market selling season is here. Amid talk of Brexit negotiations, inflation, and the slight rebound of the market in January, selling season begins. The capital city of London so far has shown us little to believe activity will suddenly surge. The rest of the country however is continuing to show signs of resilience and prowess in uncertain times. The selling season is here and it could be the perfect time to remortgage.

The property market in London has recently been removed from boom phase status, according to recent data from Rightmove. Housing market activity in the capital city lagged behind the rest of the UK last year and that trend is expected to continue in the opinion of those close to the market. Those owning property in London are holding their assets and not creating a wave of panic, however. Those looking to sell are being cautioned due to long wait times on the market which has now extended to 83 days before a sale takes place.

According to comments by the Bank of England, interest rates could be going up as soon as the month of May this year. This comes on the heels of a standard base rate hike which took place in the month of November of last year. At that time, the base rate was increased from 0.25% to 0.5%. This was intended to gain control of rapidly rising inflation. At this time however, inflation remains high, hence talk of another rate rise. Another rate rise means more challenges for an already struggling first time buyer group.

Recent heightened activity within the UK housing market has forced many to think the possibility of a rate rise is real and coming sooner compared with later. The Monetary Policy Committee of the Bank of England has made comment recently endorsing the idea of a rate rise coming this year. Inflation remains at a level above the goal level established by the central bank. The inflation goal is 2% and it currently sits at 3%, according to the latest released data.