Figuring out when to invest in the housing market can be an intimidating thing, especially with prices going up and political uncertainty. You might be less confident about buying in 2018. We’ve seen approximately three years of inconsistent property prices and considerable unsustainable levels of price appreciation. That said, there is hope yet!
Reasons to Buy or Invest in 2018
With many predictions for 2018 leading to more moderate gains in home prices and volumes of sales. This means that more buyers are confident in purchasing in 2018 due to the finances, lower unemployment rates, and consumer satisfaction. Depending on where you are looking, it can vary, however, around the Chelsea and Kensington Area we are focused; these following factors affect the whole of the UK.
Interest rates are set to stay low, another 0.25% growth is expected in the second quarter. Mortgages will appear to remain low to current homeowners and the already weakened market isn’t predicted to see any more increases throughout the year.
As predicted, housing prices are beginning to climb. Before Brexit, the UK average house price soared especially with investors from abroad buying homes in London’s luxurious areas. Once the vote was cast for us to leave the EU we have seen nothing but driven down housing prices as people struggle to sell. Following this lackluster year, we may well see a steady rise of 1% according to experts, however, this is a good kick start for the year.
With consumer confidence picking up and the gradual growth of housing prices, this in hand will bring a gentle increase of inventory. This may possibly occur towards the end of 2018, however, it will lead nicely into 2019 for the prospective buyer giving them more choice in a housing investment. Following this, new developments are being finished to keep up with demand in the capital; 184,000 homes were completed in England in 2016/17 and this is expected to rise in 2018.