Housing picks up

The housing market has recovered ground in April after faltering during March, according to the latest figures from the House Builders Federation. The number of reservations for new homes rose in April after falling in March, and prices are firming up, according to the new figures in the HBF's May Housing Market Report.

The figures confirm the optimism shown by figures for April from the RICS released last week and will be a relief to housebuilders who feared a tax backlash on the housing market. This has not materialised despite signs of a 'blip' in the market in March.

The figures also show that new home sales are well ahead of estate agents business on other properties.

The strongest growth in reservations and site visits was in the North West, East Anglia, Greater London and the South East.

But every region reported increases on last year's figures.

HBF president Richard Adamson said: 'Clearly the anticipation of April's tax increase had more effect on the market than the reality of the increase and it is reassuring to see this reflected in the April figures.

'New home sales are leading the housing market as a whole.'