The official data on the housing market in June was released by the Office for National Statistics (ONS) and revealed that the average house price across the UK increased 3% in the year to June. However, it is down from the 3.5% increase that occurred in May. The average price of a home was calculated at £228,000, which is close to £6,000 higher than the average house price in June of last year.

The annual rate of growth for the average UK house price was the lowest in five years. The blame is put upon the falling prices of homes in London where the fastest annual rate decline in eight years occurred according to data from the ONS.

Experts are divided on the factors impacting London house prices, yet the top reasons are being cited as a natural correction of already too high prices, Brexit’s impact, and the lack of interest by investors due to higher taxes on costlier property. It could also be that the housing market stock in commute distance areas outside of London offer a greater attraction than what is available in the capital.

Hopeful home buyers are expected to show up in the coming months to the housing market due to the expectation that higher rates are due to hit after the Bank of England’s Monetary Policy Committee (MPC) increased the standard base rate in early August. Some lenders have held back passing along the increase to borrowers, but that might not be the case for much longer. Rather than take the risk of facing higher mortgage interest rates, home buyers are likely to seek out the lower deals now and look for assertive sellers on the market.

Homeowners, too, are expected to take advantage of current low interest rates attached to remortgages. There are still very attractive deals to be found for now, and rather than losing out on the opportunity it is expected that a rush to remortgage will occur as the summer season closes out.