The concern and scare tactics of the Brexit palaver has officially started to wear off. This month UK property prices began to edge up again. House buyers decided they have waited long enough for a clear understanding of the impact of Brexit. They are not waiting any longer.
The April Boost to UK House Prices
Last month the average property asking price increased by roughly £3,500. This is the biggest uplift we have seen in well over a year. This figure totals a 1.1 per cent increase for the month of April. At the beginning of the year, we experienced a drop in property prices. While some began to worry, experts expected that it would only be temporary. Many property experts say that April does typically experience rises. As the start of the year was rocky for some, it is much more noticeable this year.
How Do UK Property Prices Compare To Previous Years?
This April’s price increase is the biggest rise for the month since 2016. However, the UK’s average asking price of £305,449 remains 0.1 per cent lower than this time last year. Despite that, the UK property market is a lot stronger than some people thought it would be. It is starting to gain momentum and April’s price rise marks the beginning of change. Of course, some regions of the country are experiencing a very high demand by buyers with estate agents decrying the shortage of out for properties.
How Has Brexit Affected UK Property Prices?
When talks of a deal first began many people across the UK held off from buying property until such a time when implications were clearer. Since Brexit, a high number of property investments were made by foreign investors as Brits were too uncertain about making a move. Now, Brexit has been dragged on yet again, and people are fed up with holding off any longer. People are coming across fantastic investment opportunities and now feel that Brexit will not impact them as much as they initially thought.
Lower Market Prices Remain
Properties that are just coming on to the market are being advertised at a lower value than they were last year, which is great news for active buyers. Currently, the property market is fairly price-sensitive, causing people to search for properties that have an extra level of quality. First-time homeowners have been relatively unfazed by the whole Brexit ordeal, and in searching for property, most of them have snagged a good deal. By the time these new homeowners may decide to sell up and get a larger property the Brexit issue should be well and truly over (fingers crossed).
At this point, the country is seeing a large demand for new build houses. Those who are searching for them though are quite underwhelmed by the availability and choice. As the population’s patience over Brexit wears very thin, the market is beginning to strengthen. The most significant presence is currently coming from families that are growing and needing to relocate, either for upsizing purposes or work commitments.