Property Options

The Power of Successful Property Investment

  • info@property-options.co.uk
  • 0117 942 7505

  • Home
  • About Us
  • Testimonials
  • Investment
  • Consultancy / Mentoring
  • Courses
  • PIM
  • Blog
  • Get in Touch

The Property Options UK Market Overview – June 2017

Written June 15, 2017 By Property Options Leave a Comment

Here is the latest edition of the Property Options’ monthly update on the UK Buy To Let (BTL) market.

This update is by economist Chris Worthington, who was one of the speakers at our recent February PIM.

houses-june 2017 report

The latest  UK Economic Outlook published by PwC concluded that while economic growth held up better than expected following the EU referendum, there are now signs that growth is beginning to ease.

This trend is forecast to continue with growth of 1.6% in 2017 and 1.4% in 2018. The forecast for consumer spending growth is also a slow down to around 2% in 2017 and 1.7% in 2018.

In the Buy to Let (BTL) market a slowdown in economic growth combined with a slowdown in consumer spending and an increase in inflation from the higher costs of imports will exert downward pressure on rents, a trend that is already underway.

According to the latest figures published in the Homelet Rental Index average rents increased by only 1.1% in the past year. The estimate for rental growth forecast from Rightmove was more optimistic for BTL investors at 1.8%.

Should BTL investors therefore turn their attention to the forecasts of increase in house prices?

The current figures suggest that a slowdown in house price growth is also getting under way.

Halifax data showed that house prices were unchanged between February and March 2017 while Nationwide reported a 0.35% fall in house prices in March.

Rightmove found that month on month house prices in London fell by 2%, putting a drag on the average growth in house prices in the UK as a whole.

Martin Ellis, Halifax Housing Economist commented

“Housing demand appears to have been curbed in recent months due to the deterioration in housing affordability, caused by a sustained period of rapid house price growth, from 2014 to 2016.

The beginnings of a squeeze on households’ finances, as a result of increasing inflation, may also be constraining the demand for homes.”

However in the long term there is better news for BTL investors.

The Office for Budget Responsibility anticipates that average house prices will increase by 26% over the next five years.

BTL investors with a long term view should take into account the planned infrastructure developments.

Estate agents Martin and Co have recently published a report on the impact of completed major road infrastructure projects on house prices – with increases in house prices well into double figures.

BTL investors should therefore research the plans for improvements in local infrastructure, including transport links and also schools, retail and leisure facilities and amenities such as parks and cycle paths – the factors that contribute to a better lifestyle.

Find Out More

We will all be discussing the latest position on the property market both in Bristol and across the UK at our next PIM on Thursday 29 June 2017 at Holiday Inn, Bristol City Centre, 6-9 pm.

We hope you will join us then.

For more info and to reserve your place Click Below

Book Your PIM Tickets

 

 

Property Options Bristol

Facebooktwitterlinkedin

Filed Under: News Tagged With: buy to let, economic forecasts, House prices, Rents

Leave a Reply Cancel reply

Your email address will not be published.

Don’t Miss Our Next PIM

Book Your PIM Tickets


London property skyline

The Property Options UK Market Update – December 2020

The Property Options  Buy to Let Market Overview   Our regular Bristol and UK property … [Read More...] about The Property Options UK Market Update – December 2020

Bristol-suspension bridge

Property Options Bristol Buy To Let Update – December 2020

Our regular Bristol and UK property reports are written by economist Chris Worthington, who is a … [Read More...] about Property Options Bristol Buy To Let Update – December 2020

bristol millenium square

The Property Options UK Market Update – November 2020

The Property Options  Buy to Let Market Overview Our regular Bristol and UK property reports … [Read More...] about The Property Options UK Market Update – November 2020

London shard view

Property Options UK Market Update – October 2020

Our regular Bristol and UK property reports are written by economist Chris Worthington, who is a … [Read More...] about Property Options UK Market Update – October 2020

bristol harbourside

Property Options Bristol Buy To Let Update – October 2020

Our regular Bristol and UK property reports are written by economist Chris Worthington, who is a … [Read More...] about Property Options Bristol Buy To Let Update – October 2020

london architecture

Property Options UK Market Update – September 2020

  Our regular Bristol and UK property reports are written by economist Chris … [Read More...] about Property Options UK Market Update – September 2020

bristol-suspension bridge

Property Options Bristol Buy To Let Update – September 2020

Our regular Bristol and UK property reports are written by economist Chris Worthington, who is a … [Read More...] about Property Options Bristol Buy To Let Update – September 2020

London property

Property Options UK Market Update – August 2020

This month the focus of the market overview is on the impact of the economic recession on house … [Read More...] about Property Options UK Market Update – August 2020

Copyright © 2021 Property Options (Bristol) Ltd | Terms | Privacy | Cookies

| Website by Internet Power | Online Portal

About Cookies On This Site
We use cookies to give you the best online experience. By clicking ALLOW you agree to our use of cookies in accordance with our cookies policy.ALLOW Cookie policy
Cookies Policy

Privacy Overview

This website uses cookies to improve your experience while you navigate through the website. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may affect your browsing experience.
Necessary
Always Enabled

Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.

Non-necessary

Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.

MENU
  • Home
  • About Us
  • Testimonials
  • Investment
  • Consultancy / Mentoring
  • Courses
  • PIM
  • Blog
  • Get in Touch