While UK housing prices reached a new record high in March, reaching a nationwide average of £227,871, when looking at the quarterly data, a different story was reveals. According to Halifax, During the first three months of 2018 prices were actually down by 0.1% compared to the previous quarter – the second consecutive quarterly decline.
In general, it was recorded that compared to 2017, housing price growth has slowed. Although the rate of growth has increased to 2.7% from February’s 1.8%, the rate of growth is significantly lower than March 2017’s figure of 3.8%. Predictions show rate of growth continuing to stay around 3% in 2018.
Based upon these figures Halifax believes their will not be a slowing of the property market. Property prices are still increasing, just at a much slower “healthier” rate. While month-to-month price remain volatile, because the long-term rate growth continues to increase and stabilise around 3%, Halifax believes the property market to remain strong.
How does this concern property investors?
These predictions indicate that buy-to-let investors should not shy away from the market at this time. Although Brexit uncertainty has deterred some from acquiring new property, the property market continues to be strong. Due to slow rate of growth in property prices, 2018 may just be the perfect time to look for new property, especially in UK cities where property prices have actually decreased.
If you’re an investor ready to broaden your property portfolio, let a property management company help free up your time so you can focus on the things that really matter. For more information on how to choose your property management company, check out our blogs, 2 Questions all Letting Newcomers Should Ask Property Management Companies or All About Pricing - What to expect from your Airbnb Property Management Company, or alternatively talk to one of our host advisors at +44 20 8050 2818.