Brexit property boom..? A week on from artice 50 and what do we know?
Over a week has passed since Article 50 has been triggered and confidence in the UK property sector seems to have been reaffirmed.
Investment is continuing to come in from overseas buyers, especially an influx of enquiries from the Middle East and the Far East, and furthermore, news that house prices in the UK are expected to rise by at least 25% over the next four years has enforced confidence in the UK property market.
This week the Finance Minister for Qatar, Ali Shareef al Emadi , announced plans to invest £5bn in UK property, transport and digital technology, further bolstering the sector. Its clear to NPP that UK and overseas investors are undeterred by Brexit and continue to seek investment opportunities in the UK property market and recognising it as one of the safest asset classes.
This increased demand for property has seen a steady incline in house prices around the UK, with Manchester showing the biggest year-on-year change. Last year nearly a 9% increase was reported, far outstripping the capital where unsustainably high house prices and changes to the stamp duty regulations have put pressure on people’s ability to buy.
New research announced by the Centre for Economics and Business Research has this week claimed that as a whole, house prices across the UK are set to rise by 25% over the next four years.
So whilst there are some uncertainties around how exactly we’ll leave the EU and what deals we will strike with the bloc, we know for sure that confidence remains in the UK property market and the development and growth looks set to continue.