Housebuilders Bellway and Crest Nicholson and online property platform OnTheMarket all reported progress in results today and said that housing market demand remains strong.
The builders suggested build cost inflation remains acute but is being offset by rising house prices.
Shares in both rose on the back of results.
House prices been accelerating since the start of the pandemic, as fewer houses were coming onto the market.
In its results, OnTheMarket chief executive Jason Tebb noted a “slight recent rebalancing” in the market as the level of new instructions increased.
However, Tebb reported that the residential property market remains “very active” and that “demand for properties significantly outweighing supply”, giving it a positive start to its new financial year.
The economics of supply and demand suggest that, if supply increases housing price growth will moderate.
Tebb noted that the lack of housing stock means that “values should hold”.
“While there may be further challenges to come, for now our data shows strong confidence from both buyers and sellers, which is continuing to fuel the UK housing market.
“There are many reasons why people need to move and there are plenty looking to do so. The challenges of the past two years have ingrained a sense of positivity in the housing market which shows no signs of slowing.”