House prices are expected to grow throughout the year according to experts. This could very well push the average UK house price near the 2007 peak value level. The latest data from the Land Registry for April revealed that the average UK house price had risen 1% to £179,817. This is only £1,200 down from the 2007 high.

The information that the UK housing market could be experiencing another boom is causing some experts to pace the floor with worry, while others are sitting back and yawning. Depending on whether they see the boom as a good thing for the economy or bad will determine their position as the market begins to reveal itself over the next few months.

Overall the average house price has risen 5.1% in the last 12 months and in the months ahead it will likely stay on an upward trend as the summer is a strong buying season for hopeful homeowners and home movers. Should there be another housing boom, homeowners could see a welcome increase in their property equity levels making it a great time to remortgage. Not only would they be able to release cash from their equity, but they will find some of the best remortgage interest rates in decades. The opportunity to substantially save with a low interest rate would be something many would hate to miss.

There are experts that are worried about a housing boom, as rising house prices will mean more people will be shut out from being able to climb onto the property ladder. However, there are programmes in place that are set to bring first time buyers back to the market. How efficient it is and whether the assistance with a deposit is enough is yet to be seen.

The Bank of England’s Monetary Policy Committee (MPC) is due to meet this week and make a decision as to whether they should leave the current standard base interest rate steady. With the UK experiencing deflation, it is not expected there will be any change to the rate this month. However, lenders are not reliant on the MPC’s decision to keep their offers the same. With more demand for mortgage lending, homeowners and home buyers should be ready to see the cheapest offers begin to disappear.