Brexit – to Buy or Not to Buy? Every Challenge
We are all indeterminate as to which way the property market will steer, particularly with the uncertainty of Brexit.
Over the years we have encountered the property market to increase with the few unexpected falls which has only affected a minority. As the property prices rose, we experienced lenders becoming more reluctant in lending and implementing stringent policies, for instance, requesting various source of funds for deposits, to the extent that even calculating a potential mortgagee outgoing including; how much they spent on grocery shopping. However, in today’s unstable market such punitive measures are ignored and waived.
Similarly, modern-day research reveals older home owners are now facing relaxed lending requirements by banks, who are willing to lift restrictions and limitations and are introducing to lend to older borrowers, exceeding a mortgagees’ 80th Birthday. This is fantastic news for those who fall within the bracket of “older home owners”, moreover, these accommodating mortgagors includes some of the main high street banks. Unquestionably, this opens a flood gate of older home owners with the potential increase and growth in first time buyers who are in their late 50s or early 60s and are considering of acquiring their own property, which once was impossible.
On the face of it, it would appear that a fall or halt in the property market will only affect sellers and lenders , however this is inaccurate as there are various other parties in the loop who will suffer such as Estate Agents, Mortgage Brokers and Solicitors. Inevitably, the Brexit will impact everyone in the chain and can seriously knock confident of all types of buyers most importantly first-time buyers. Therefore, every potential buyer is seeking information and facts prior to purchasing, equally awaiting the right moment to grab a property whilst the prices are their lowest. No doubt, this will be influenced and centred by one’s employment status, lenders interest rates and of course the property price itself.
It is imperative that prospective buyers meticulously scrutinise and outweigh all the pros and cons of buying in a undecisive and unstable market and not miss the boat to miss a purchase resulting in making your dream come true. Despite the uncertainty, it can be argued that first time buyers who have the means of acquiring a property should utilise this opportunity and seize a property before the prices upsurge. Robert Gardner, Nationwide’s chief economist states “the economic outlook remains unusually uncertain. However, if the economy continues to grow at a modest pace, with the unemployment rate and borrowing costs remaining close to current levels, we would expect UK house prices to rise at a low single digit pace in 2019”.
It may appear rather apprehensive and dreading to purchase a property in an uneven market, however recent reports suggest that we may see more motivated sellers in 2019 which should uptick the activity of buying and selling homes. This might be the best time to buy, particularly for those who would like to acquire their first property.
We would like all those property opportunist, particularly, first time buyers to find the means of acquiring their first property and to seize their dream property whilst the property prices are the lowest.
For more information on buying or selling on different types of property transaction, including right to buy, leasehold extension, transfer of equity and copious other types of conveyancing transactions, contact firstname.lastname@example.org
T: (0)20 8866 6464
The Sethi Partnership Solicitors I The Barn House I 38 Meadow Way I Eastcote I Ruislip I Middlesex I HA4 8TB
“This document is for informational purposes only and does not constitute legal advice. It is recommended that specific professional advice is sought before acting on any of the information given.”