Following the uncertainty that clouded the property market in the lead up to the EU referendum, confidence is now returning. Since the outcome of the referendum was revealed, we have already begun to see the tide turn, as we are seeing sales begin to pick up once more as opportunist buyers take advantage of the situation by snapping up bargains caused by the uncertainty. Our most recent data also shows that valuations have risen since the Brexit vote, up 10% the weekend after the referendum compared to the final week in June a year previously, as vendors look to get a professional opinion on the value of their home and understand what the effect of the referendum has been.
However, this is not the case everywhere, as London house prices drop 1.3% on the month. UK transactions also continue to fall, down by 28.6% on the month and 25.1% on the year in June. Once more we have seen a dramatic drop in the number of new buyers, down 7% on the month. However, we have already seen a turn around on this later in the month when the referendum result was revealed, and haart saw the same number of buyers registering with branches in the last weekend of June this year as last year.
Although it is not yet clear what the long term impact of Brexit will be, I don’t believe the impact to be as long trend as the ‘remain’ camp had anticipated, with sales already picking up, and lenders showing us that it is ‘business as usual’. However uncertainty is still ongoing, but with greater stability in Government and the Bank of England cuts to interest rates, all signs signal a market that is slowly recovering.