Should You Buy a Real Estate Property Now in the UK?
The real estate property market of the United Kingdom has been experiencing a boom but experts say it may soon come to an end. As earlier covered here on Realty Today, house prices across the country have declined except in London and the East. Would it be the best time to purchase a home in the U.K.?
Business Insider said you have until June 23 to buy a property that you've always wanted for a cheaper price. That is before the U.K. votes on whether to stay or leave its European Union membership. Brexit fear is what reports say as one of the major driving factors for the declining house prices and the slowdown in the market.
According to the publication, data from the Office for National Statistics showed the average house price in Britain at £291,504. The huge gaps between the earnings and house prices and the supply and demand are pushing prices up. And with the pending EU referendum, buyers get a chance to acquire a property at a reduced cost as the demand is going to fade a bit and sellers may cut their prices.
The rush to beat the stamp duty deadline also contributed to the decline in prices. Business Insider quoted Robert Gardner, Nationwide's Chief Economist, saying through a statement, "House purchase activity is likely to fall in the months ahead given the number of purchasers that brought forward transactions. The recovery thereafter may also be fairly gradual, especially in the BTL sector, where a wealth of other policy changes, such as the reduction in tax relief for landlords from 2017 are likely to exert an ongoing drag."
If you're not one of the buyers or investors afraid of the possible EU exit of the U.K., this is a chance you can take to own a property at a lower price than under normal conditions.