An exit vote could spike international investment in UK property.
An exit vote could spike international investment in UK property Overseas property investors primarily from the Middle East and Asia, are readying to flood into the UK property market if the UK public vote to leave the UK. It is anticipated that the international property buyers will be looking for property for sale across the country including London and the regional markets of the ‘Northern Powerhouse’ cities Manchester Liverpool. Strength in the Brexit campaign is growing, with phone and online surveys reporting a six-point lead, according to a pair of Guardian/ICM polls. The reason for the boosted levels of activity from the international investors will be that if the UK leaves the EU, it is widely predicted that there will be a sharp fall in the value of the Pound, which will make property in the UK far cheaper than pre-Brexit. Meaning opportunistic value investors will enter quickly, aiming to lock in a profit once the Pound correct.
An exit vote could spike international investment in UK property.
We could also see a fall in the average house price in the UK, if the UK exit the EU, there has been an expectation that property values could fall as much as, Treasury analysis estimates property prices will be worth between 10 and 18 percent less by 2018 if Britain leaves than if it stays in the EU. This coupled with the increased purchasing power from the overseas property buyers would lead to less owner occupiers and a continuing rise in the number of young professionals forced to rent. Consultancy firm JLL conducted a client poll, which showed nearly 80% of property investors wanted to remain in the EU. Savvy investors are poised for to capitalise on the property market’s upside potential will, be looking for in relative terms cheap property for sale in London for capital growth and in the Northern Powerhouse cities such as Manchester and Liverpool for higher yeilds. (Read More – Why invest in Manchester?) | (Read More – Why invest in Liverpool?) This is echoed by RICS, the (Royal Institute of Chartered Surveyors) also showed that 80pc of their members felt that the uncertainty regarding the outcome of the Referendum, has temporarily restricted capital investment. The notion is that this has created a backlog of potential property investors eagerly awaiting to re-enter the market and exacerbate the under supply and high demand of the UK property market. With this anticipated drove of buyers poised to react to a lower priced property market. “Uncertainty leads to volatility which equals opportunity. There is a huge amount of capital waiting,” said Craig Hughes, head of real estate at the accountants PwC. An exit vote could spike international investment in UK property. The Luxury residential market has also seen a large slowdown in investor activity, the number of sales in the Mayfair and West End housing market fell 50pc in the first quarter compared to the first three months of 2014.This is due to increased stamp duty, high pricing and referendum uncertainty. Read More – Stamp Duty reforms 2016 However it is anticipated the sector will see a Brexit bounce if we see sterling fall London property will become good value for money international buyers. It could lead to an increase in buyers from the Gulf, Asia, and other regions searching for London property for sale. Read More: How will Brexit affect the UK housing market?
An exit vote could spike international investment in UK property.
An exit vote could spike international investment in UK property Overseas property investors primarily from the Middle East and Asia, are readying to flood into the UK property market if the UK public vote to leave the UK. It is anticipated that the international property buyers will be looking for property for sale across the country including London and the regional markets of the ‘Northern Powerhouse’ cities Manchester Liverpool. Strength in the Brexit campaign is growing, with phone and online surveys reporting a six-point lead, according to a pair of Guardian/ICM polls. The reason for the boosted levels of activity from the international investors will be that if the UK leaves the EU, it is widely predicted that there will be a sharp fall in the value of the Pound, which will make property in the UK far cheaper than pre-Brexit. Meaning opportunistic value investors will enter quickly, aiming to lock in a profit once the Pound correct.
An exit vote could spike international investment in UK property.
We could also see a fall in the average house price in the UK, if the UK exit the EU, there has been an expectation that property values could fall as much as, Treasury analysis estimates property prices will be worth between 10 and 18 percent less by 2018 if Britain leaves than if it stays in the EU. This coupled with the increased purchasing power from the overseas property buyers would lead to less owner occupiers and a continuing rise in the number of young professionals forced to rent. Consultancy firm JLL conducted a client poll, which showed nearly 80% of property investors wanted to remain in the EU. Savvy investors are poised for to capitalise on the property market’s upside potential will, be looking for in relative terms cheap property for sale in London for capital growth and in the Northern Powerhouse cities such as Manchester and Liverpool for higher yeilds. (Read More – Why invest in Manchester?) | (Read More – Why invest in Liverpool?) This is echoed by RICS, the (Royal Institute of Chartered Surveyors) also showed that 80pc of their members felt that the uncertainty regarding the outcome of the Referendum, has temporarily restricted capital investment. The notion is that this has created a backlog of potential property investors eagerly awaiting to re-enter the market and exacerbate the under supply and high demand of the UK property market. With this anticipated drove of buyers poised to react to a lower priced property market. “Uncertainty leads to volatility which equals opportunity. There is a huge amount of capital waiting,” said Craig Hughes, head of real estate at the accountants PwC. An exit vote could spike international investment in UK property. The Luxury residential market has also seen a large slowdown in investor activity, the number of sales in the Mayfair and West End housing market fell 50pc in the first quarter compared to the first three months of 2014.This is due to increased stamp duty, high pricing and referendum uncertainty. Read More – Stamp Duty reforms 2016 However it is anticipated the sector will see a Brexit bounce if we see sterling fall London property will become good value for money international buyers. It could lead to an increase in buyers from the Gulf, Asia, and other regions searching for London property for sale. Read More: How will Brexit affect the UK housing market?
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