The latest house price figures show that property demand remains strong . But where is the cash coming from that is driving the market? A few key factors are in play: higher mortgage lending across the board; the huge build-up of savings in people’s bank accounts; and support from parents for many first-time buyers, allowing them to stay in a rising market. It also seems the top end of the market is being boosted by strong employment and wage growth in some of the highly paid high-tech and financial sectors.
Against a backdrop of constrained supply, these various sources of demand have sent prices higher.