HMRC’s provisional non-seasonally adjusted estimate of the number of residential transactions in December 2022 is 108,960, 1% lower than December 2021 and 3% lower than November 2022.
Its seasonally adjusted estimate is 101,920, 1% higher than 12 months before and 3% lower than November 2022.
The provisional non-seasonally adjusted estimate of non-residential transactions is 10,810, 5% lower than December 2021 and 9% higher than November 2022.
Clare Beardmore, director of Legal & General Mortgage Club, said: “We may have to wait a little longer to see the full impact of last year’s market volatility, and the subsequent slowdown in mortgage applications late last year, trickle through to the property completion data. Despite this, today’s figures show transaction levels are still healthy, though they are below some of the very high levels we’ve seen in the last 12 months.
“Our market is not without its challenges, however, there are plenty of reasons to be positive for the year ahead. Average mortgage rates have begun to fall again and lenders are keen to add to their loan books in a competitive lending market, which is all good news for consumers and represents a big opportunity for advisers to show their value. Beyond new transactions, 2023 is also predicted to be a big year for remortgage activity, which should keep the mortgage market busy. With uncertainty and economic worries dominating the headlines, first-time buyers and homeowners can both benefit greatly from the experience, reassurance, and knowledge that advisers have to offer.”
Simon Webb, managing director of capital markets and finance at LiveMore, added: “Housing transactions dipped in December from the previous month but 2022 saw a relatively strong housing market with an estimated 1,258,090 homes being bought.
“The December housing transactions will be completions from buyers putting offers in at least three months ago, in most cases, before the mini-Budget last September caused some panic in the housing and mortgage markets.
“But transactions are now starting to slow and I expect for the early months of 2023 numbers will be lower as people were putting buying and selling plans on hold in the last quarter of 2022. A combination of potential recession, high inflation and cost of living plus higher mortgage rates, although they have been coming down, brings uncertainty into people’s minds.”
