We are still awaiting the impact of the UK’s decision to leave the European Union, however, we cannot simply sit on our laurels and wait to see what happens.
The UK is experiencing a housing crisis where there is too much demand and too little supply, meaning that house prices are soaring to unattainable levels.
Adding to this, we are still unsure whether immigration will be curbed in the UK following a Brexit. However, if there are fewer people allowed to work in the UK’s construction industry, it will exacerbate the already acute skills shortage.
As a recent article in the Telegraph highlighted, roughly 12% of construction workers across the country are from abroad and in London, this rises to 23%.
Worryingly, the article goes on to suggest how construction costs could jump 12% as a result of the vote to leave, leaving developers eager to hear how the industry will progress.
Considering the above, it is unlikely that the UK’s housing supply-demand imbalance will be solved over the next few years as the Government are way off their target of building 200,000 homes per year.
Investment in the industry has slightly stalled and until that same momentum of building is achieved, house prices will continue to grow regardless of a Brexit.
Therefore, whether buyers wish to purchase new-build apartments, similar to what we build, or character-filled country homes, we strongly suggest pre-planning financial options and looking to buy sooner rather than later as house prices are only predicted to rise.
Backing this belief, Adam Challis from JLL says that the opportunity to pick up cheaper property may be short lived. He goes on to say that “even the more negative commentators are not talking about the downside of Brexit lasting beyond two years”.
To find out more about our properties or to simply receive regular real estate industry updates, please contact our team on 0208 688 6552