Brexit is finally here with us and one of the biggest concerns that arise is the prices of properties and the impending changes. These concerns are not to be brushed off because they will greatly affect both first time home buyers and homeowners too. It is either the house prices that will skyrocket making it difficult for first-time buyers to get the best deals or homeowners see the value of their homes plummet with diminishing equity. The finalisation of the Brexit deal leaves a lot of questions surrounding its impact on home buyers or sellers.
This is how properties are currently performing in different parts of the UK after Brexit.
Midlands or the North
Some recent estimates indicate that houses in these areas are expected to rise by margins as high as 15% in the coming half-decade. Therefore, you are looking to invest in any one of these areas, it would be prudent to move with haste. Note that this increase could even be higher in the individual cities in the area.
Birmingham
There is always a high demand for properties in and around Birmingham, it being the second city of the UK. The property prices have been soaring steadily since 2016, mostly attributed to the rapid growth in population in the past decade. It is projected that the house prices in Birmingham will rise by about 4.2%, considering the ongoing construction of such infrastructures as the 2022 commonwealth-games village. The city, regardless of the Brexit vote, has always been a hub for both local and international investors.
London or South East
Things are seemingly not urgent in the South East and London environs. Estimates indicate that the increase in prices in areas like Oxford, London and Cambridge is a bit modest, indicated to be lower than 2% as of 2019. There is all likelihood that isn’t going to be any sudden hikes in prices even after Brexit, Nonetheless, the prices in these surroundings remain the highest in the UK. The best option for those looking to settle here would be low-interest rate mortgages.
Nottingham
2019 saw the house prices soar to approximately 5.2% above the national average, a trend that does not correlate with Brexit. The trend is set to continue through 2020. There have been some house price-savvy individuals that are already on the ground taking advantage of the affordable units in cities and areas that were not considerably obvious in the last few years. The trends are quite similar to those witnessed in such areas as Sheffield and Leeds in the same year. 20119 recorded the highest buyer demand in the UK’s history.
Manchester
It is arguably one of the most vibrant cities in the whole of the UK. It is a hub for young professionals and career opportunities but at the same time provides affordable housing options to families across the UK. These career opportunities pull in people from all over and that is why it is one of the most exciting cities to live and it is set to benefit the most after Brexit with all indications the prices are going to increase.
Edinburgh
The highest growth in property prices was witnessed in Edinburgh with rates up to highs of 6.1% above the 3.9% national average rate. Edinburgh house rates are also not influenced by Brexit. This trend is likely to continue in 2020 and beyond. However, the city is experiencing something of a housing fizz that was last experienced 15 years ago in London. The demand exceedingly surpasses the supply, majorly because it is largely a metropolitan city and the housing stock is dwindling. That is why the housing price rates are significantly above the national average rates.
Milton Keynes
It is estimated that the population of Milton Keynes will double by 2050, mostly because it is the home to the third-highest numbers in terms of start-up businesses. It is largely accessible and in close proximity to thriving cities like Cambridge and London. The Brexit vote does not seemingly have a huge bearing on the house prices because the prices have steadily increased by over 21% over the last half-decade. All indications show that the trend will continue, making Milton Keynes a city to look out for.
Bottom-line
Just like many other sectors of the UK’s economy, the property market has been facing uncertainty because of the 2016 Brexit vote. It is clear that some areas continue portraying slower growth rates than others whereas others are rapidly growing since the Brexit vote. Buyers and sellers cannot have a definite answer on what to expect in 2020 because it all depends on the location of the individual property in the UK.
