The property market has had some big changes over the last few years. We have seen a slow down in sales at times and difficulties in the number of mortgages approved at times. There has been so much political turmoil in the last decade following the 2008 financial crash that it is important to look at what is happening and what the trends are in the property market. Here is a little look at what we may expect in the 2nd half of 2019.
Prices Are Rising – At A Slow Rate
Prices have been rising throughout the first half of the year. This is a trend we have been seeing for the last little while and it looks certain to continue, for the near future at the very least. Although this is not the news many investors would ideally be hoping for, given the nature of recent years trends a bit of stability and growth of any kind cannot be a terrible thing.
Age Of First Time Buyers Still Increasing
Given the range and scope of people hit by the financial crash last decade we are seeing a slew of older first time buyers who under normal circumstances would have been getting on the property ladder much earlier. It is likely as the economy recovers further that this is a trend that is not going to let up in the short term.
Buy To Let Mortgages
Buy to let is at an interesting place in the property market at the minute. There are changes going on within the industry that are going to affect landlords as the new changes include more emphasis on landlord’s to check potential renters right to live in the UK and also that renters have more rights to take owners to court over dangerous and substandard living conditions. Although this is a negative buy to let mortgages are as easy to get as they ever were.
Millennials Are Biggest Group
Millennials are now making up the largest single group who are buying up residential property in 2019. This is not surprising and should not come as a great surprise as they are hitting the right property buying age and the risk of getting into mortgages is easing since the availability of decent mortgages is on the rise at the minute meaning more of them are feeling confident in a way that wasn’t the case a few years ago
The one thing that could turn all of the above on its head! We don’t know who the next Prime Minister will be at the time of writing, we also have no idea if that means a no deal Brexit, a referendum or another general election. So this could mean changes in legislation, changes in interest rates etc. we’ll just need to wait and see. Brexit could really end up with us seeing a continuing drop in property prices being good for buyers and not so good for sellers, especially when on variable rate mortgages or those who have stretched to make an investment, this is most likely going to show an increase in more cautious investing.