June housing market powered by remortgaging

Buy-to-let and remortgaging activity bolstered the housing market for June, according to ch­artered surveyors Connells Survey & Valuation.

Total property valuations climbed sharply in June, up 30 per cent for the month following a 3 per cent increase in May.

The spike brings total activity back to the same level as June 2013, following a sharp dip in activity in March and April likely caused by the Mortgage Market Review (MMR).

Remortgaging formed the backbone of the monthly recovery, up 61 per cent between May and June. It follows a drop of 40 per cent over March and April and a very gradual 4 per cent rise in remortgaging activity in May.

However this still leaves remortgaging activity 10 per cent higher than in June last year, making up 28 per cent of valuations last month.

Buy-to-let activity has also seen above-average growth, up 10 per cent since June last year. This follows 31 per cent growth between May and June in the number of buy-to-let valuations.

First time buyer activity has returned to the same level seen in June 2013, after a 17 per cent monthly increase in the number of valuations for new buyers between May and June.

The number of valuations for those moving home followed a similar trend to first time buyer activity. Home mover valuations for June were up 21 per cent from May, though still 11 per cent lower than in June last year.