Market analysts are predicting a revival in the housing market, as a result of latest statistics that showed that an increasing number of new mortgages were taken out in August.

Advisers were encouraged by the number of new mortgages, which rose by 6% from the previous month, and increased by nearly nine percent since August 2004, according to statistics released by the British Bankers Association. Not only were there more mortgages, but also the total value of loans increased by 26% over the last 12 months, to a figure of over nine billion pounds.

Another interesting trend was the decrease in credit card borrowing over the same period. Consumers appear to be choosing to save their money and invest in property rather than spend on the High Street – and retailers are feeling the pinch.

"The recent quarter point cut in interest rates has had a significant impact on where consumers are spending their hard earned cash," says Stephen Goddard of A120 Lettings, who aim to take the hassle out of letting and renting quality properties for Stansted airport and the A120 corridor. "Although sales my not pick up as fast as the rental market in the short term, the housing market will benefit from increased consumer confidence, and this is an encouraging sign." he added.