DAVY VIEW

This morning’s UK Rightmove asking price data show another enormous 2.1% rise in May to £367,500 with annual inflation at 10.2%. However, Rightmove did warn that UK house price inflation will slow in H2 2022 as cost-of-living issues and higher interest rates bite. On that point, Mortgage Strategy reported that the average 2-year fixed rate across all mortgage products had increased to 3.17% in mid-May as the market incorporates Bank of England rate hikes.