With demand continuing to outpace supply and a falling pound creating value for international investors, interest in the UK property market has risen since the referendum.
- Despite initial predictions that the UK property market would suffer after Brexit, interest has increased by up to 20%
- Any slowing in the market is believed to be related to the stamp duty increase in April rather than the result of the EU referendum
- Work within the construction sector has continued at pace following the vote for Brexit
The UK property market has not suffered since the EU referendum, with some construction companies registering a 20% increase in interest.
Buyers’ appetite for property hasn’t lessened following the vote for Brexit, with housebuilder Persimmon reporting a 17% increase in reservations over the past seven weeks, compared with the same period a year ago.
The number of prospective buyers visiting sites is up 20%, indicating that homebuyers have not been entirely put off making big purchases. The fundamental lack of supply in the UK property market remains and it is continuing to appeal to investors.
With the pound falling by 11% against the dollar, international investors have been attracted to UK property as it became increasingly more affordable.
A total of 94,550 homes were sold in July, according to HM Revenue and Customs. This figure may be down 8.3% on July 2015, but the drop appears to have been caused by April’s stamp duty rise, rather than Brexit. When investors rushed to buy properties in March before the extra tax came into force sales became distorted and this made the market appear to slow in subsequent months.