As we start to enter 2017 many people are wondering what will happen to house prices during 2017. With Brexit’s effect on the UK economy still making waves and forecasts of a possible British export boom in 2017 there is a good chance we will see house prices surge during this year.
Daniel Morgan, Chief Executive from Property Cash Buyers, said that there had been very positive signs as they started 2017. Their enquiries from both buyers and sellers has increased 150% year on year with the numbers expecting to grow over the next few months.
Mr Morgan also said that he expected to see a drop in the average waiting times to sell a piece of property stock within the UK. In 2016 the average waiting time for a sale to complete was 13 weeks and the online estate agency expect to see this reduce to 11 weeks after entering the first quarter of 2017.
However, it is also noted that there are dangers and possible bumps in the road ahead for the UK housing market. There is the possibility that the UK’s Brexit negotiations could hamper property sales in prime locations such as London due to more caution from the foreign investor sector. That being said with a current 20% drop in the value in the pound against other major currencies it could also be argued this is a great time to look at buying in the UK.
Another potential headwind in UK house prices during 2017 might come in the shape of government policy changes aimed at curbing over speculation in the property sector by investors. After the effects of 2008’s over speculation on new build property the government have started to tighten lending criteria and recently changed the way investment property is taxed.
Overall with the recent change in the economic forecasts and a big uptick in consumer enquires via websites such as property cash buyers we think a rise in house prices is a real possibility as we enter the new year.