At first glance, the latest housing market figures from HMRC seem to paint a picture of rapid decline.

"The number of residential property transactions in the UK dropped by 22.5 per cent between March and April," says the BBC, from 107,090 in March to 83,010.

There was also a dramatic 15 per cent drop in the number of mortgages issued, according to credit reporting agency Equifax Touchstone.

Director John Driscoll said: "Mortgage figures have nosedived following a strong first quarter, with every single region experiencing a notable slump in sales."

However, scratch beneath the surface and the numbers actually reflect a market that is making "steady progress", says London estate agent Jeremy Leaf.

Big tax changes aimed at buy-to-let landlords, which has brought a glut of transactions forward, has skewed the market for two years in a row.

"In April 2016, landlords became liable for a higher rate of stamp duty. And since last month, they have been able to claim less in tax relief on mortgage interest payments," says the BBC.

"The effect of the changes was to boost sales in March 2016 and March 2017."

Mortgage Strategy says property transactions in April were up 20.3 per cent year-on-year on a seasonally-adjusted basis.

That accords with data published by Rightmove and the Mortgage Advice Bureau last week and tallies with the wider view that an imbalance of demand for housing versus supply is propping up house prices.

According to Rightmove, asking prices in England and Wales hit another all-time record of £317,281 this month.

Legal & General Mortgage Club director Jeremy Duncombe said: "For the most part, property transactions have remained flat in recent times, as a lack of suitable housing stifles the market and pushes up… prices."

www.theweek.co.uk