The housing shortage looks to continue in the UK, creating an ongoing state of pressure being applied to housing prices. This is an excellent position for house sellers, but those looking to step onto the first step of the property ladder are facing a major challenge. First time house buyers and those looking to move home alike are both in similar binds. As a shortage of housing highlights the market, those house owners looking to remortgage are running out of time to find an attractive deal.

A shortage of homes is enabling those setting the prices to ask for what they want, instead of what they think they can get. There is no indication so far this trend will not continue at least until more supply reaches the market.

Late last month, the Bank of England announced a probable increase in the amount of the base rate coming soon. The central bank estimated it would take place by the first months of 2016, but likely not before. This puts further pressure on those looking to purchase a house. Along with remortgaging, mortgage lending products are now costing more due to a higher interest rate being offered by major lenders ahead of the BoE increase.

Overall, the UK housing market is leaning towards growth as opposed to stagnation for the short term, especially. And until the market sees greater amounts of supply the price growth for houses will continue to increase. Those in the market to make a decision to move home or remortgage their current residence will likely see more advantages to a remortgage than picking up and seeking another house.

Attractive remortgage deals are now in shorter supply than a few weeks ago, but acceptable deals are still on the table for those who are looking to lower their monthly mortgage payment and free up valuable cash.