Photo by The UK’s property market is bracing itself for a period of uncertainty as the general election approaches. For landlords and prime London homebuyers, the outcome of the election could have significant implications for their investments.
The UK’s property market is bracing itself for a period of uncertainty as the general election approaches.
According to Savills, landlords may be the biggest losers in the property market after the election. The Renter’s Reform Bill, which aimed to abolish Section 21 ’no fault’ evictions, tighten rules around landlord repossessions, and improve housing conditions, was scrapped at the end of the last parliament. However, Labour has pledged to bring back many of these changes if it wins the election.
“The bill ran out of time, but Labour has pledged to bring back many of these changes if it wins the 4 July poll.”
Buy-to-let investors will have to “wait and see” what happens to tenant’s rights under a new government. This uncertainty is likely to have a significant impact on the private rented sector.
Buy-to-let investors will have to “wait and see” what happens to tenant’s rights under a new government.
In addition to the changes to the private rented sector, certain buyers in central London will need to navigate the implications of changes to non-dom taxation. The phasing out of the non-dom tax regime is likely to have significant implications for foreign investors in the UK property market.
Certain buyers in central London will need to navigate the implications of changes to non-dom taxation.
However, it’s not all doom and gloom for the property market. The rest of the market will be paying closer attention to when the Bank of England will begin to cut the base rate, rather than the course of the election. The European Central Bank’s recent decision to cut interest rates by 0.25% has led to expectations that the Bank of England will follow suit.
The rest of the market will be paying closer attention to when the Bank of England will begin to cut the base rate, rather than the course of the election.
According to Lucian Cook, the path of interest rates is likely to play a much bigger role in determining price movements and activity levels over the remainder of the year. Many landlords will be watching the path of interest rates and the political rhetoric around the future of the private rented sector very closely.
The path of interest rates is likely to play a much bigger role in determining price movements and activity levels over the remainder of the year.
As the election approaches, it’s clear that the property market is in for a period of uncertainty. However, with interest rates likely to fall and the private rented sector set for significant changes, it’s an exciting time for investors and homeowners alike.
As the election approaches, it’s clear that the property market is in for a period of uncertainty.
