
Many predicted before the EU referendum that a vote to leave would have a negative effect on the property market. Now that Brexit is set to become a reality, that has transferred into worry amongst many with a stake in property, which in turn could make the predicted negativity become a self-fulfilling prophecy. But is Brexit really a cause for concern for those who have money invested in property, or is there actually nothing to worry about?
Reports in the media suggest that those who sold property before the referendum result are glad that they did, as they’ve seen prices take a hit since the referendum. However, if you’re someone who wants to reinvest your money in property, the uncertainty in the market may be putting you off doing so.
However, a survey by the Bank of England shows that, whilst the housing market experienced a dip in its activity after 23rd June, transactions have gone against expectations and proven to be resilient. However, a report from the Royal Institute of Chartered Surveyors has revealed that both investor demand and confidence have dropped significantly since the referendum, which has had a negative impact on commercial property. Whilst the average UK house price increased by 8.1% in the year to May 2016, there is currently no ONS data on average house price movements since the referendum as this will not be released until September.