As Brexit Approaches, the UK Property Market Remains Slow but Stable
Posted by: Liam Robson, Director UK Account Management
Are you relocating to London soon? Or managing a UK-based relocation programme? Our latest issue of UK MarketWatch provides you with an insight into the current rental and sales market landscape, including average prices, popular London neighbourhoods, and property-types. Here’s just a flavour of the trends we’ve identified in our latest UK MarketWatch issue…
A leader in terms of commerce, education and entertainment, London offers visitors and residents some of the world’s top restaurants, cafes, museums, and art galleries. And for those worried about living in the hubbub of the city, London is actually a rather ‘green’ city by global standards, with large parks and open spaces in nearly all boroughs.
In the London property market, rental price growth has slowed somewhat in recent months. That’s not to say however that the market does not remain competitive, as tenants still outnumber available rental properties, so we recommend that relocating employees continue to act fast once they find a property that they like.
Renting: London vs. the UK
Affordability for most tenants across the UK is relatively unchanged in recent years, as average rents continue to rise broadly in line with the rate of inflation. This does not apply to London however, where rents have increased above inflation and average wage growth.
If we take a look at the UK’s average rental rate, it currently stands at £928 per month. However, if London’s average rent (£1,619) is removed, this figure drops to £768. So this really does show just how much the capital inflates national figures. (HomeLet, October Rental Index)
UK Residential Sales Market
AT Cartus, we’re finding that properties are taking a little longer to sell than they perhaps were a couple of years ago, but there remains a marked regional difference across the country. For relocating employees selling a property, they’ll need to set a realistic asking price and follow the advice of their local estate agent, who will know how to navigate the local market trends and challenges.
Although previous concerns that Brexit would lead to a housing price crash have not come to fruition, both the UK rental and sales markets are experiencing a slowdown. Current political and economic uncertainty surrounding Brexit may have an impact on the future UK housing market, but the extent of that impact will not be clear until the UK officially leaves the EU on 29 March 2019.
At Cartus, we pride ourselves on forging and maintaining strong relationships with estate agents in London and other regions of the UK. And these long term relationships are key to ensuring that relocating employees and their families feel completely supported through out their house move, regardless of the potential market uncertainties that Brexit may present.
Find Out More!
For a more detailed review of the UK sales and rental markets, read the Cartus UK MarketWatch.