The property market stalled in May as fewer people moved home, the latest research from Connells Survey & Valuation has revealed.
Valuations from home sellers have fallen from 45% of the market in May 2010 to just 27% in May 2017 as homeowners lack incentive to move.
Remortgaging now represents 23% of all valuations. This represents a 2% month-on-month 2% increase and a record for May.
John Bagshaw, corporate services director at Connells Survey & Valuation, said: “Many potential movers have adopted a near constant wait and see attitude.
“The long-term increase in property values over the past seven years has reduced the financial incentive to move, with more homes slipping into the higher stamp duty bands.
“This means potential sellers could face a larger tax bill should they chose to move up the ladder when buying their next home.”
Remortgage valuations have risen by seven points when compared to the five year average for May.
Bagshaw added: “While rising long-term property values and political uncertainty have made moving home less attractive, they’ve driven up demand for remortgaging.
“With homes worth more than they were five years ago and low interest rates on offer from lenders, many have taken the opportunity to refinance for a better deal.”