Emma Cox, MD of real estate at Shawbrook:

“A modest increase in house prices sees the market yet again defying expectations in the face of fluctuating rates, and a slowdown in activity.

“For real estate professionals, the current phase could be an opportune time to explore new possibilities.

 "With the property market overall less busy, a reduction in competition from owner occupiers will create a favourable environment for landlords to consider expanding portfolios.

“With a robust demand in the rental market, landlords might consider diversifying into higher-yield options like HMOs, which could in turn contribute to an increase in available properties for rent.”

Sam Norris, MD at Grand Union Finance:

“As much as the figures are obviously positive, I can’t see the BoE slowing down their plans to keep this downward trend but continuing the raise the base rate.

“5.75% by the end of this year is still highly likely, and this is looking like it will create a new ‘temporary normal’ in the mortgage world, which will not be good news for vendors and estate agents as this should keep demand for property low, and lead to a reduction in prices.

“However, we do look like we are on track for that sub-5% inflation figure by the end of the year that Rishi Sunak pledged, so I would like to think if this is achieved, base rate reductions could follow in Q2 2024.”

Craig Fish, director at Lodestone Mortgages & Protection:

“This news will hopefully act like a calming pill for mortgage lenders, but core inflation remains sticky and as a result, I expect the BoE to increase rates at their next meeting and for lenders to now hold steady.

“I strongly suspect that Rishi Sunak and Jeremy Hunt will be claiming that 'their plan' is working and hoping it bodes well at the next general election."