HMRC figures for seasonally adjusted residential transactions in June 2024 showed a marginal month-on-month decrease for the first time since December 2023, falling by less than 1% from 91,880 in May 2024 to 91,370 in June 2024.

Non-seasonally adjusted residential transactions fell by 2% in June 2024 relative to May 2024.

Seasonally adjusted non-residential transactions in June decreased by 3% relative to May. Non-seasonally adjusted non-residential transactions decreased by 9% relative to May. Seasonally adjusted non-residential transactions are 2% lower than in June 2023.

Commenting on the figures, Nathan Emerson, CEO of Propertymark, said: “As the political landscape simmers back down following the general election, we should start to see new housing plans become more defined. 

“In real terms, once consumers have an opportunity to fully understand government plans moving forward, we should see confidence in the housing market move up a gear.

“Propertymark remains keen to see a dip in interest rates when the Bank of England feels confident this course of action is sensible and workable. In addition, it is also a case of all eyes on government regarding potential support for first-time buyers, where again there needs to be targeted ideas that allow home ownership to be a realistic proposition.”

More reaction:

‘Small dip’

Terry Woodley, MD of development finance at Shawbrook, said: 

“The property market continues to remain stable with just a small dip in activity compared to last month. Confidence will likely be reinforced by recent government announcements promising increased support for building projects through housebuilding targets and the Planning and Infrastructure Bill, and optimism is likely to be further bolstered by speculation of a potential base rate reduction, which could sustain the upward trajectory of transactions moving forward.

“Although it’s still early days, the news that the new Labour government is swiftly taking firm action on planning has reassured developers. Our research highlighted planning reform as a key issue for developers, with a third (33%) wanting to see this from the new government.

“Other popular requests from developers included scrapping stamp duty for first-time buyers (29%) and introducing a successor to the Help-to-Buy scheme. While it remains to be seen whether these changes will be implemented, the initial steps taken by the government have already made many feel more optimistic about the future.”

‘Buyers undeterred’

Kevin Roberts, managing director, Legal and General Mortgage Services, said:

“The market remained steady in June and July with buyers largely undeterred by the general election speculation. All eyes are now on the Bank of England’s interest rate decision tomorrow, but the truth is that the market is already enjoying strong competition on rates, with many lenders now offering fixes below 4% for the first time since April. Product choice and buyer confidence are both high, feeding into a positive market outlook.”

‘Slight lull’

Ben Waugh, managing director at More2life, said:

“A slight lull in property transactions doesn’t mean that the market has lost the momentum that has been building this year. A price war among major mainstream mortgage lenders has resulted in a string of rate reductions and the gradual return of more competitive products. 

“The data is likely a momentary pause before we see a flurry of activity again. With a cut to the Bank of England’s central rate potentially arriving, more borrowers might be convinced that the time has come to transact as we move into late summer and beyond.”