Figures released from the Bank of England show the number of mortgage approvals has increased in June.

Office of National Statistics (ONS) data shows house price inflation reached 10.5% in May the highest level for four years.

Lenders have increased the cost of fixed rate mortgages after the Bank of England signal the end of cheap borrowing.

As the demand for low deposit loans increases George Osborne gives the bank of England power to cap risky mortgage lending.

The OECD has warned that UK house prices were rising at an alarming rate when compared to rents and household income.

The regulators are introducing tougher tests for home buyers based on affordability to prevent mistakes leading to the financial crisis.

The Office for National Statistics (ONS) have reported UK house prices are up 9.1% in the last year to February 2014.

The British Bankers’ Association (BBA) has said mortgage approvals are up 57% on the previous year and the highest since September 2007.

Rightmove, stated that record numbers of houses are being put on the market for sale with near-frenzied buying sending asking prices to record levels.

The mortgage industry expects to see further demand for mortgages among consumers in 2014 and that demand remains healthy rather than excessive.

The construction activity index rose more than expected helped by a surge in house building in the UK.

As fears of a house price bubble loom, Governor Mark Carney stops mortgage lending offered by the Funding for Lending scheme.