Somewhat predictably the house price hike said to have been caused by buyers avoiding the stamp duty hike is now set to fall as those buy to let buyers have (temporarily) deserted the market.
The economic uncertainty surrounding possible Brexit is also being blamed.
I am not really sure why we are so obsessed with home ownership in this country (other than because we are told by politicians that that is what we should be aspiring to). However since the commercial market often follows the residential we will all have to watch this space.
Buy-to-let investors who rushed to purchase ahead of this month’s tax changes helped to drive house prices to a record high. However, experts are warning that over-ambitious sellers will be punished in coming months because buyers are “sitting on their hands” as the uncertainty cast by Brexit continues to loom over the housing market. Henry Pryor, a buying agent and market commentator, said that the government’s promise to provide more affordable housing combined with the impending EU referendum could make buyers reluctant to part with their cash. “With the EU referendum just a couple of months away, buyers have no reason to rush and many will sit on their hands until the outcome is clear. Those who have to sell in the meantime will need to price competitively.”