Source: City A.M
Property prices are being tipped to soar over the next decade, even if they continue to increase at the sluggish rate experienced since Brexit.
House prices have risen by 0.37 per cent each month since the referendum – compared with 0.67 a month during the preceeding year. If the current rate of growth were to continue over the next 10 years the average UK house would be worth £347,757 – an increase of 56 per cent, Emoov estimates.
Given the extent to which the slowdown has affected London, the capital would see one of the lower rates of growth based on this measure, although properties would still be worth on average 24 per cent more by 2027.
This will result in prices being dwarfed by those in Oxford, where Emoov estimates average property values will jump 115 per cent to £888.542 – compared with a London average of £597,544.
Nottingham is tipped for the highest rate of growth across the UK. Since Brexit, house prices have grown 0.8 per cent. On eMoov’s calculations, this means prices could grow 160 per cent to an average of £346,592 by 2027. Glasgow is the second highest, with an estimated 131 per cent increase to an average of £285,487.
Those at the bottom end of the scale are Newcastle, where house prices will grow just nine per cent, Norwich (15 per cent) and London.
Emoov chief executive Russell Quirk said: “With latest industry figures indicating an end to the post-Brexit market slowdown that has seemingly plagued the market over the last 18 months, many UK homeowners will be breathing a sigh of relief, despite having still enjoyed a notable annual increase in their property’s value.
“Although these recent slower rates of price growth are unlikely to persist, and we are by no means predicting they will, this research demonstrates that the outlook would still be rather positive and far from the apocalyptic prophecy’s many have talked the market down with since the Brexit vote.”