With Halifax releasing its monthly report on the UK property market, it’s time to review the results and attempt - however in vain it may be – to predict what’s in store next.
The first key point to take note of from the report is that August has seen the fastest annual rate rise since November 2017 – what does this mean? In short, not much. In the three months to August, prices climbed by 3.7% from a year earlier, up from 3.3% annual growth in July. Month on month however, prices increased by only 0.1%. It’s a tough market…. or so we’re led to believe. With housing stock still far below demand and unemployment currently sitting at one of the lowest points in history, the market is maybe more buoyant than it should be!
Another key point to note is that this is a report by Halifax. Nationwide, the other major UK mortgage provider, released a report which suggests prices fell by 0.5% month on month – this is considered a much more volatile measure but is alarming when you are comparing and considering predictions moving forward.
What about things closer to home? ‘Londoners are moving away from The City at the fastest ever rate’. ‘Property prices are falling in every part of London’. ‘Brexit means there is a 1 in 3 chance of a major crash in the property market’. Grim reading eh? Or maybe, like most reports you read, you should take them with a pinch of salt… at the end of the day, they are opinions. The property market in London has always seen far more peaks and troughs than when you compare it with the rest of the country and one thing I can guarantee is, it will continue to do so. What goes up, must come down… but have no doubt that when it starts going back up, it will do so quicker than the rest of the country.
In summary, whether you’re looking to sell or buy, there is only one person who can decide if it is the right time or not… you! If you’re looking to live and work in London and are planning on doing so for the next 5 years or more – buy. If you’re not sure whether the London life is for you – sell. If you’ve just arrived in The City and have no idea how long you’ll be here – rent. If you’re a landlord – just count your lucky stars that, for PG Estates anyway, we have queues of tenants waiting to move into your property!
Have a great weekend.