Homemovers unfazed by surprise hung Parliament result

A new survey of Jackson-Stops & Staff’s national network of 44 branches, has revealed that while the hung Parliament has injected an element of uncertainty into the housing market, activity remains buoyant.

The shock general election result has failed to deter buyers and sellers from entering the UK property market, according to a survey , two weeks on from the hung Parliament result.

While the hung Parliament has resulted in an element of uncertainty, a solid 55% of branches reported absolutely no change in the level of sales instructions in the two weeks after the result (12th – 26th June) compared to two weeks prior. Overall, sellers remain undeterred.

Some branches (7%) have actually seen an increase in the number of new instructions following the election result. Jackson-Stops & Staff’s London Residential Development team have even said that a hung Parliament could be more likely to result in a softer Brexit, which is considered by many as better for business than a harder Brexit.

Although some clients have discussed the election result in relation to the sale of their home with their branch, fewer than 30% of branches say a few sellers have held off marketing their property as a result, while a resounding 72% of branches say that buyers have shrugged their shoulders and are continuing with the process of buying.

The Winchester branch reported that for buyers with a long-term view, the election result was largely irrelevant. Chichester echoed this and found that clients are largely unfazed by the general election result. More branches say that the higher levels of stamp duty land tax on homes over £1 million is an inhibitor on their local market (82%) than political factors like Brexit and the election result.

Nick Leeming, Jackson-Stops & Staff’s Chairman, comments: “While the general election did not bring about the strong Government that either we or Mrs May had hoped for, our buyers and sellers have remained remarkably unfazed by this with most of our branches across the UK reporting that it’s business as usual.

Personal drivers such as the need for a larger home or a shift in lifestyle in a new location are driving decision making in the market – rather than political factors. Interestingly, stamp duty land tax on high value properties is a far greater threat to the property market, and we therefore hope that this is a key consideration for the new housing minister as he turns his attention to improving fluidity and the level of supply in the UK housing market.”

source http://blog.evolutionproperties.co.uk/2017/07/02/homemovers-unfazed-by-surprise-hung-parliament-result/