The latest research from quickmovenow.com has suggested that, despite the threat of a ‘no-deal’ Brexit, the majority of the British public remain upbeat about the future of the UK property market.
According to the figures, only 23% of the public said they felt Brexit would have a negative impact on property prices, with the remaining respondents saying they believed property prices would remain steady (33%) or rise (42%) as a result of the United Kingdom leaving the European Union.
When asked about property price predictions for the next 12 months, 36% said they thought property prices would remain stable and 41% percent said they expected further price rises over the next year. When respondent were asked to consider the next five years, the number of people expecting to see a rise in property prices increased to 52%, demonstrating long-term optimism amongst the British public.
The research questioned members of the public in a wide range of housing circumstances, both homeowners and those renting. Those who currently own their first property, whether mortgaged or owned outright, were the least positive about market growth, with 68%(owned outright) and 70% (mortgaged) believing that Brexit will result in steady or rising property prices. Those renting, but with a desire to own, came next with 72% predicting stable or rising property prices, followed by those who own a mortgaged property that is not their first property (75%), those who are renting with no current desire to own (80%), those who own a property outright that is not their first property (80%) and those who are currently living with parents (86%).
Market optimism was also fairly consistent across all age ranges, though those aged 25 to 34 were the most reserved with their predictions of market strength.
Danny Luke, Quick Move Now’s managing director, commented: “The British public appear to be feeling really quite positive about the impact of Brexit on the UK property market. I hope the public are right, however there are several indicators that I think we need to pay attention to. The recent interest rate increase, a report from Rightmove suggesting that property asking prices are falling, national statistics showing an eight percent reduction in the number of property transactions, and predictions from the Royal Institution of Chartered Surveyors (RICS) all suggest that the British public may be a little overly optimistic.
A much more likely outcome appears to be a subduing of the UK property market. Although I hope it is not the case, should there be any more ‘bad news’ from Brexit, or elsewhere, I fear we may see a much less positive public, and a real impact on UK property prices.”