The UK housing market crisis is faced by anyone in search of property today and moving forward. There is a vast undersupply facing those seeking residences now and into the future and by the year 2020, many could potentially have no place to call home. The crisis of shortage of supply is a problem many have been aware of for years. Although much is being done to find a viable solution, the giant hurdle remains. London mayor Sadiq Khan is moving to fix the problem and exhausting all resources to do so.

Rising house prices have been a staple for the UK housing market for years and the first two-thirds of this year has been as well. Month after month, house prices have continued to rise and make it more difficult for first time house buyers to even consider purchasing anything on the market. The trend of rising prices has now slowed. According to many economists, the recent hike in interest rates is to blame.

Ever since the Bank of England increased the base interest rate a few weeks ago, many house owners have continued to storm local lenders in search of a cost saving remortgage. Although the rush to remortgage took place before the rise in interest rates, there are still attractive deals to take advantage of for home owners with all types of financial situations. Lenders have remained competitive and are still offering low interest deals with affordable admin costs.

In the days following Brexit, the UK housing market has experienced the best and worst of several worlds. Some sectors have seen more activity, whilst others are seeing less. House prices have surged to new heights and then slowed down. Inflation is starting to cool off as well following the increase in base interest rate last month. Remortgage activity has also made its way through months of little activity and months of extreme activity.

The month of October proved to be one of exceeding activity within the UK housing market with remortgage leading the way. Approvals reached a nine year high and boosted overall mortgage lending to quite a successful level, especially when comparing it to last month. House purchase approvals totaled 64,575 in the month of October which is a drop from the month prior which totaled 66,111.

There is a wide range of opinions on how to solve the crisis now facing the UK housing market. Affordability is not the only problem. A massive shortage in available housing is causing potential buyers to either remain under the roof of mum and dad or search out optional housing in the form of rental property. All this adds up to severe issues by the year 2020 with no predominant solutions. Add to the problem the ratio of housing cost to salaries and the problems only compound.