Prime Minister Boris Johnson insists Britain will leave the EU on 31 October, even if a deal has not been struck with the EU. However, Parliament has passed a law blocking the UK leaving the EU without a deal.
Howard Archer, chief economic adviser to the EY Item group, warns that if the UK leaves the EU without a deal on 31 October house prices could quickly drop by around 5%.
However should the UK leave the EU with a deal at the end of October – or early in 2020 – we believe reduced uncertainty and gradually improving economic activity as the year progresses could see house prices rise by around 2% over 2020.
Housing market activity – and possibly to a lesser extent prices – could be given a lift in 2020 if the government cuts Stamp Duty significantly in the Budget later this year.
UK house price growth is at its lowest since January as buyers and sellers remain cautious amid Brexit uncertainty.
House prices rose just 0.2% in September, according to data from the Nationwide House Price Index, the tenth month in a row in which annual price growth has been below 1%.
On a monthly basis, house price growth fell by 0.2%, taking the average UK house price to £215,352.
Expats have a selection of both new and re-mortgage products to choose from. Interest rates remain at present reasonable especially compared to a few years ago. Deals including tracker and fixed are readily available from a number of lenders.
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