With or without an election, "the people" control the market
The best response to the news that a general election will be held in June was spontaneously provided by Brenda from Bristol who stole the headlines when she said to the interviewer on television 'you are joking - not another one'. I had to agree, but then my natural reaction was to think about the property market and how it would be affected. And it will be affected, but not necessarily in a bad way. It depends entirely on your outlook. If you think about it rationally, what could happen to the property market that isn't going to happen anyway? Most political parties want to build more homes, they want to help first time buyers and prices rise and fall in tune with economic activity worldwide.
The property market, which is largely based on supply and demand, is bigger than any political party or any government for that matter. They can tweak the legislation, alter taxes, interest rates might go up, but they may remain low to allow for that demand to expand. When the public is happy with their property, there is a feel good factor and governments know that. We are a nation of home owners and aspire to more bedrooms, larger gardens, better locations, bigger houses and that is unlikely to change.
Sure, there are more 'renters' now, but most want to own their home and house building is on the rise. In a very long career in the property profession, no government I have experienced, whatever the colour, has radically changed the market or the natural will of the people.
For those who are currently in the midst of selling their homes or are hoping to buy, this may seem to be a period of uncertainty, but why? The market sometimes and often irrationally dips before an event like this, whether it's a referendum, an election, a far away war or even a big sporting event.
It is easy to take your eye off the ball and delay, but there are weeks to go and you could miss that fabulous new home or perfect buyer if you let the opportunity slip. Ask yourself, is there any logical reason why I should not buy or sell now? After all, what's the worst that can happen; a change of government, but to what and to whom we don't know yet? Whichever is the case, the property market will cope.
No doubt all political parties will put housing front and centre of their Election manifestos. The country has been experiencing a chronic shortage of housing for some time so something should be done and it needs more than just building more homes, but selling or buying before the magic date of 8th June is going to make little difference to the average homebuyer or seller. My advice is not to sit on your hands, but be positive and carry on.
Why not arrange that FREE valuation now and find out exactly where you stand. Call 01993 779020 and speak to our valuation team.