Atom bank comments on ONS Private Rent and House Price data

16 October 2024

Richard Harrison, Head of Mortgages at Atom bank, comments:

“House prices have been pushed higher once more, off the back of a much more active housing market. Data from Rightmove shows that the number of agreed sales is up by 25% on this point last year, with plenty of buyers who may have put their plans on ice deciding to pull the trigger. Sellers are more confident too, with the number of new sellers up by 14% on last year, while estate agents have the highest stock levels since 2014. That’s a recipe for a much busier market in the final few months of the year, and most likely further house price growth.

“While there’s no base rate decision in October, the markets continue to expect at least one more cut before the end of the year. We saw activity pick up after the first base rate cut in four years, and a second cut will only further boost interest among buyers, as mortgage rates become more attractive.

“With the Budget on the horizon, there is a great opportunity for the Government to take real action in supporting the next generation of homebuyers. The ambition to deliver greater levels of housebuying is welcome, but it is unlikely to be enough on its own and lenders have a role to play too. Fresh thinking is needed in order to provide would-be buyers with a better chance of getting onto, or moving up, the housing ladder.”