Housing Boom Ahead of Brexit

According online property search service, Rightmove, July saw 6.1% more properties with agreed sales than the same month last year.  A housing market boom ahead of Brexit?

Miles Shipside Rightmove’s property expert commented: “More buyers have realized that it is a good time to buy as there is less competition from other buyers and sellers are accepting lower offers”.

The number of properties going through the sold subject to contract and having delays in the legal process is at its highest level since June 2014.

House sales have increased with the North East, East of England and Yorkshire and the Humber with rises of 10% of more.

The increase in buyers has led to only a marginal fall in house prices in July, down slightly by 1% compared with 2.3% the same time last year.  The annual rate of property activity increases being 1.2%, its highest increase rate since September 2018.

Comment

A combination of falling prices and higher activity in summer generally has no doubt contributed to the increased activity.  Brexit 'safe haven' investing could also be a contributory factor if investors are looking for tangible assets with real rental income potential rather than volatile stock markets with the risk of economic slowdown, trade war and Brexit itself.