What Does The General Election Mean For The Property Market
Theresa May has called a snap General Election. Only 2 Years on from the last conservative victory. 2020 was the expected date for the next general election. However, the election can be held earlier, provided that two-thirds of MPs back the move under the Fixed Term Parliaments Act. May, announced there would be a ‘snap’ general election, which will be held on the 8th June.A general election will help the UK make a success of Brexit and provide long-term certainty, Theresa May says, but what Does The General Election Mean For The Property Market Historically, a General Election leads to uncertainty. Which has a detrimental impact on the UK property market because more buyers are wanting to hold off until the result, and often many sellers looking to do the same.
What Does The General Election Mean For The Property Market? Let’s see what the experts think.
Looking back at historic trends. History shows that the lead up to a General election, correlate with a subdued activity in the property market. With decreased transaction volumes in the lead-up. Alison Platt, chief executive at estate agent Countrywide said, “Analysis of sales transactions over the course of the last nine general elections indicates there will be a dip in activity pre-election.” But she continued: “What’s different here is that we don’t have the same long run-up to the election – it’s around seven weeks between the calling of the election and the ballot date, compared to the usual six months… The short timescale between now and the election also means that any consumer hesitancy pre-election will have less of an impact on transactions overall.” The short run-up to the calling of the election and the ballot will lessen impact on the property market. The general anticipation will be a mild slowdown, with a steady bounce back after the election.
However, things are likely to pick up after the vote.
“Post-election there will be a bounce back in the number of sales in the market. The highest levels are typically in the three months immediately following the election of a new government; where you’re looking at around 13 per cent higher than the average expected levels. Ed Heaton, the founder of property search agency Heaton & Partners, agreed with this view and regards the move as a positive one for the overall health of the property market. “I see the decision to hold a General Election in June as a positive for the property market, particularly as the snap nature of the announcement; means that there has been no long build up with buyers and sellers wanting to hold off.” An election victory for the Conservatives party is likely; due to the lack of strength in the opposition. If the Tories lose, this could cause further uncertainty, which could be problematic. The Conservative rule for the next 5 Years will provide continuity. Regarded as a real positive by many. Click Here to view our latest Property Opportunities
What Does The General Election Mean For The Property Market
Theresa May has called a snap General Election. Only 2 Years on from the last conservative victory. 2020 was the expected date for the next general election. However, the election can be held earlier, provided that two-thirds of MPs back the move under the Fixed Term Parliaments Act. May, announced there would be a ‘snap’ general election, which will be held on the 8th June.A general election will help the UK make a success of Brexit and provide long-term certainty, Theresa May says, but what Does The General Election Mean For The Property Market Historically, a General Election leads to uncertainty. Which has a detrimental impact on the UK property market because more buyers are wanting to hold off until the result, and often many sellers looking to do the same.
What Does The General Election Mean For The Property Market? Let’s see what the experts think.
Looking back at historic trends. History shows that the lead up to a General election, correlate with a subdued activity in the property market. With decreased transaction volumes in the lead-up. Alison Platt, chief executive at estate agent Countrywide said, “Analysis of sales transactions over the course of the last nine general elections indicates there will be a dip in activity pre-election.” But she continued: “What’s different here is that we don’t have the same long run-up to the election – it’s around seven weeks between the calling of the election and the ballot date, compared to the usual six months… The short timescale between now and the election also means that any consumer hesitancy pre-election will have less of an impact on transactions overall.” The short run-up to the calling of the election and the ballot will lessen impact on the property market. The general anticipation will be a mild slowdown, with a steady bounce back after the election.
However, things are likely to pick up after the vote.
“Post-election there will be a bounce back in the number of sales in the market. The highest levels are typically in the three months immediately following the election of a new government; where you’re looking at around 13 per cent higher than the average expected levels. Ed Heaton, the founder of property search agency Heaton & Partners, agreed with this view and regards the move as a positive one for the overall health of the property market. “I see the decision to hold a General Election in June as a positive for the property market, particularly as the snap nature of the announcement; means that there has been no long build up with buyers and sellers wanting to hold off.” An election victory for the Conservatives party is likely; due to the lack of strength in the opposition. If the Tories lose, this could cause further uncertainty, which could be problematic. The Conservative rule for the next 5 Years will provide continuity. Regarded as a real positive by many. Click Here to view our latest Property Opportunities
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