Brexit continues to hold housing market to ransom
As the war on Brexit rages on, there has seemingly been a knock-on effect on the housing market – according to industry experts.
The Royal Institution of Chartered Surveyors (RICS) surveyed the housing market surrounding Brexit and looked at trends relating to new buyer enquiries, sales and the number of homes that were put on the market. The UK Residential Market Survey, published by RICS on Thursday, gives valuable information from across the UK. It is used by government and the Bank of England to benchmark current and future conditions of the housing market.
In the most recent survey from February 2019, around 77% of RICS members surveyed said that Brexit was “the biggest challenge facing the housing market at present” and that it was the most significant force holding back activity for buyers and sellers.
It isn’t just buyer confidence that is keeping the market at a low ebb, but longer completion times and falling house prices are also keeping house movers at bay. The biggest impact, according to RICS, is in the South East and London, but it is broadly something that is common across the whole of the UK.
It is hoped that there is a brighter outlook on the horizon as Brexit settles down and perhaps 12 months from now we are painting a different picture. What’s more, thanks to the Chancellor’s recent pledge in his Spring Statement on Wednesday, much-needed funds towards building affordable housing could boost house prices once again. The OBR predict house prices in the UK will rise by 0.8% this year and 1.3% next year.
Full RICS survey can be read here.
If you would like any further information about your own property purchase, or are seeking advice about how Brexit may affect you, contact Downs Solicitors to see how we can help.