Why will Brexit affect house prices?

6th March 2019

Brexit is looming and negotiations are still in progress. There’s lots of talk about how it will affect the property market - but not much explanation as to why. In this blog, Maslen Estate Agents will explain why and how Brexit could affect property prices.

When is Brexit?

Theresa May triggered Article 50 on the 29th of March 2017, which means the UK is scheduled to leave at 11pm UK time Friday, 29th of March 2019.

How has it affected the property market so far?

As negotiations are still in progress, it’s unclear what deal the government will actually get, and how it will affect the property market. This uncertainty is causing people to panic because it’s unclear what the outcome will be.

Following the Brexit referendum in June 2016, house prices stagnated. However, this could also be due to the usual pattern of prices growing in spring and plateauing in summer, which also happened in 2017.

However, house prices suffered a bigger post-summer dip than usual in 2018. The latest ONS House Price Index shows that they raised slightly in December, putting the current UK average house price at £230,776.

How will it affect property prices in the future?

The governor of the Bank of England, Mark Carney, has warned the cabinet that the impact of a no-deal Brexit could be as catastrophic as the financial crisis that previously crippled the UK economy. The statistics are often scaremongering - stating that house prices could fall by as much as 25 - 30%.

Although base rates have increased recently, they are still at a record low - just 0.75%. Back in the late 1980s, the base rate was as high as 15%! You can find out more about borrowing money for property on our blog.

The changes to housing prices is still dependant on where you live. For example, while house prices might have dropped in London, they have risen in Scotland. In Brighton, there will always be a demand for housing as it’s an incredibly desirable area. This means that if prices continue to lower, they are more than likely to bounce back at the same speed they dropped, as we have seen in previous recessions.

What’s your advice on selling and buying with Brexit coming up?

Mortgage prices are near historic lows, so for first-time buyers, now is still a great time to buy. Borrowing money is still affordable, and fixed-rate mortgages would mean if rates increase after Brexit, you won’t be affected. Second steppers who are looking to move up the property ladder can also benefit from lower property prices and mortgage rates.

If you are a seller who is waiting before selling in the hope that house prices rise, we would advise that the key to selling is being realistic with your asking price.

Selling your home for less than you’d like might seem like a bad thing, but really it means the new property you buy will also be much cheaper. This means you can get a lot more for your budget.

If you’d like advice from our property experts, get in touch.

Testimonials

  • A very positive experience - I had most contact with the Fiveways office and they were so friendly and helpful.

    Ms A King Balfour Road

  • All very professional, kept updated throughout. Very pleased - Would recommend. 

    Mrs Hammond Hove

  • In February 2016 I was looking to buy and sell very rapidly. Competition among buyers at the time was very high. Sharon @ the Woodingdean branch sh...

    Ms Helen Lyons Woodingdean

  • Ben and Paula were calm and reassuring throughout a very difficult process!

    Ms Easterbrook Bear Road

  • Sharon, Harvey and James were all excellent - very professional. Totally opposite to what I have experienced with other agents. Maslen have restore...

    Ms Lyons Woodingdean

  • Exceptional service throughout the process - should we decide to sell in the future we wouldn't hesitate to use your agency. You're a cut above the...

    Ms Windels & Mr Barham Fiveways

  • Thanks David, all very professional.

    Mrs Flowers Foxdown Road

  • Paula's role was brilliant. Having someone office based and available was so appreciated and her promptness an impressive service - every Estate Agent...

    Ms Wynn-Jones Baxter Street

  • I found the service to be courteous, friendly and efficient.

    Mr Upton Buller Road

  • Sharon was amazing! She kept us up to date the whole way through the process. We cannot fault Sharon or the rest of her team. 

    Mr & Mrs Ashley Woodingdean

  • Very good service and communication. Paula was excellent.

    Mr & Mrs Scarboro 1 Pevensey Road

  • An efficient, professional and friendly service. Helpful and a pleasure to do business with.

    Mr Beddington Brading Road

  • Excellent communication and advice throughout. It felt very reassuring to be in good hands.

    Mrs Brooker Buller Road

  • The sale was dealt with swiftly, professionally and successfully. Thank you Maslen!

    Mrs Lincoln Hove

  • We were very impressed with the Nick from start to finish. 

    Mr & Mrs Smith Lewes Road

  • It was a long, drawn out process that the people at Maslen helped me through, without the impression that it was a chore. So extremely professional...

    Mr McLagan Lewes Road

  • We were very pleased with services provided by the Fiveways office.

    Mr & Mrs Sawyer Shaftesbury Road

  • A good team at Woodingdean helped us through a stressful time.

    Mr & Mrs Penton Sycamore Close

  • I was new to the area and viewed a lot of properties with a lot of different agents. Maslens were by far the best I came in contact with, so when i...

    Mr & Mrs Heer Lewes Road

  • From start to finish the sale was dealt with in a thoroughly professional manner.  

    Mr Gibbs Lewes Road

  • Very pleased with the excellent service throughout. Professional, friendly, efficient and no hard sell. Achieved above asking price. Thank you!

    Mr Witten Lewes Road

  • Very impressed with the efficient and friendly service, the staff were a pleasure to deal with. 

    Mr & Mrs Gill Lewes Road

  • Thank you for everything!

    Ms Tucker Willow Close

  • Very thorough & very informative.

    Mr Michnowicz Waldegrave Road

  • Maslens as a whole were really friendly and professional. I have to thank and congratulate Paula Carter for being superb at her job and exceeding m...

    Ms Warren Hove

  • The Woodingdean team were very friendly and approachable.

    Mrs Palmer Pitt Gardens

  • First class service. Friendly and professional.

    Mr Thorne The Avenue

  • Best Estate Agents ever experienced - professional, approachable, competent and exemplary. 

    Mr & Mrs Guest Riley Road

  • Compared to your rivals, your service was excellent

    Ms McGrigor Milner Road

  • Ben was particularly enthusiastic and helpful. Martin, Paula, Sam and Will are all hard workers.

    Ms Goodey Franklin Road

  • Our local office manager, Sharon Wareham was warm and friendly and kept us up to date at all times.

    Mr Hope The Brow

  • Hugely impressed with Ben & his team.

    Mrs Mead Upper Lewes Road

  • Very impressed with all dealings with Maslen. Paula Carter was in particular very knowledgeable and helpful. 

    Mr McBlane Hove

  • The whole team were very committed from start to finish.

    Mr Pilgrim Lewes Road

  • Thank you. We found all the staff knowledgeable and really pleasant to deal with. 

    Ms Ansloos Lewes Road

  • Paula was fabulous and we felt really informed and supported. 

    Mr & Mrs Walker Lewes Road

  • Thanks for an excellent service. 

    Mr King Hove

  • I would recommend Maslen to anyone. 

    Mrs Tripp Woodingdean

  • Excellent Service from start to finish.

    Mr T Mole Cromwell Road

  • We were delighted with the service received from all the staff with whom we had contact,

    Dr Crichton The Ridgway

  • Please thank Paula at Lewes Road - Excellent service. 

    Mr & Mrs Nuthall Lewes Road

  • Excellent service as always

    Mr Field Ringmer Road

  • Great service, always polite and friendly. Excellent contact and info all the way.

    Mr Wells Bishops Road

  • I wish we had used you to sell our property! Nice to meet honest people, who are genuinely interested in helping. Very pleased.

    Mrs Porter Taunton Road

  • Graham Griffin provided us, and continues to provide us, will all-round excellent advice. We trust his knowledge and expertise.

    Mr Blackmore & Ms O'Sullivan Financial Services

  • Nick and Paula are total stars! They were incredibly supportive and present throughout. Thank you!

    Miss O'Haire Hove

  • A completely painless experience from start to finish. Thank you.

    Mr Woolven & Mrs Bessant-Woolven Lewes Road

  • Fantastic service. By far the best agents we have ever used, I cannot recommend you highly enough.

    Mr Field Mafeking Road

  • Brilliant. Well done to Sharon and the Woodingdean team.

    Ms Curtis The Ridgway

  • Already recommended you! Thank you.

    Mr Edwards The Ridgway

  • Extremely efficient. Nick and Paula are excellent. The weekly phone calls were much appreciated. 

    Ms Gray Lewes Road

  • Very professional service. Thank you!

    Miss New & Mr Jackson Buller Road

  • Many thanks to Nick. It was an easy process thanks to you! I'm extremely satisfied with how the sale went, great job.

    Ms Mayanobe Aymer Road

  • Thank you Maslens, you were all excellent!

    Miss Jasper Taunton Road

  • Best Agents in Brighton.

    Mrs Field Tarner Road

  • Very impressive - professional and friendly, both Martin Timms and Paula Carter were excellent at keeping in contact with sensible advice based on...

    Mrs O'Connor Hove

  • As always, an excellent service. 

    Mr & Mrs Field Lewes Road

  • Very pleased with the service. Many thanks to Sharon and the boys!

    Mr Flynn Woodingdean

  • Service exceeded my expectations overall at all stages of the process - I wouldn't hesitate to recommend you. Thanks. 

    Ms Greene Lewes Road

  • Paul Wilkinson was extremely helpful and efficient. The only problem was the vendors solicitor and Paul warned me of this. A good transaction all r...

    Mr Lavender Fiveways

  • You were amazingly helpful throughout - a real pillar of strength with a very difficult sale.

    Mrs Parkin Fiveways

  • Sharon and her team could not have done more in what was a difficult sale. 

    Ms Daly Woodingdean

  • Harvey was helpful and easily reachable at the beginning of the process and Sharon kept us informed and was always happy to help.

    Ms Murch & Ms Mapa Ticehurst Road

  • Paul was absolutely brilliant. 

    Mrs Tasker Fiveways

  • Cannot express our appreciation enough of all the efforts made by the Woodingdean team - they were fantastic.

    Mr John Mogridge Woodingdean

  • It was an amazing experience, everyone involved were fantastic. 

    Mr & Mrs Knight Woodingdean

  • I have bought and sold 7 properties, and this was the best experience of an estate agents services I have found.

    Mrs Shepherd Hertford Road

  • Outstanding service from Sharon. James is an asset to Maslens & Harvey was so helpful and polite.

    Ms Cianchetta Selhurst Road

  • Very pleased with the experience. I would definitely recommend you and use you again.

    Ms D Edmonds Horton Road

  • Excellent customer service throughout. I will definitely recommend you, and use you again. Thank you.

    Ms Longley Kingsbury Street

  • Sold within 2 weeks for asking price "excellent!"

    Mr Grundy Bishops Road

  • Thank you Paul and Archie, you gave an excellent service, as well as Kelly. I look forward to working with you again. 

    Mr White Fiveways

  • Excellent service from the Lewes Road branch. Martin Timms secured a quick sale & at a good price & Paula Carter worked really hard to secure...

    Ms Schulte Bear Road

  • First class service from a first class team.

    Mr & Mrs English The Ridgway

  • Very happy with the service we got from you guys, everyone we dealt with was extremely friendly, professional and helpful. Thanks!

    Mr Brown Titian Road

  • The team worked very hard over a long period to ensure my sale went through - excellent service!

    Mr Patrick Gladstone Terrace

  • A really good experience.

    Mr Tibble Lewes Road

  • Superb service as usual, I would always recommend you.

    Ms S Hike Blackthorn Close

  • All agents at Maslen were extremely helpful and polite from the beginning to the completion of sale. 

    Mr Johnson Fiveways

  • Paula is amazing!

    Ms Aspnall Gladstone Place

  • Very, very happy we chose you, felt right from the start! Thank you!

    Miss Blackadder Coniston Court, Holland Road

  • Very helpful and patient team.

    Mrs Shea Selborne Place

  • Very comprehensive and professional. Nice people to work with and highly recommended. 

    Mr Alderton Ladysmith Road

  • Quality advice about when and how to sell, which was spot on. Thank you.

    Miss Coleman Buller Road

  • Sharon was excellent, she kept us informed at all stages and was a really calming objective influence in the process.

    Ms Frederick Channel View Road

  • All the staff I dealt with were excellent. Sharon worked really hard to complete the sale.

    Mrs Bent Falmer Gardens

  • Good team. Straightforward. No nonsense.

    Mr Standing Newmarket Road

  • Paula was absolutely amazing!

    Mr & Mrs MacKay Lewes Road

  • Very impressed with the service. Sharon Wareham works tirelessly, very professionally and is always there for advice. 

    Miss Matthews Kipling Avenue

  • The staff were very helpful, an excellent service. I would recommend you to others.

    Miss Hockly Fiveways

  • Sharon was excellent - kept us well informed, thank you so much!

    Ms Waters Cowley Drive

  • A very committed team who made the sale process very easy.

    Ms Rees Ticehurst Road

  • The whole team were excellent, each one of them felt like family. Sharon had a lot of sorting to do at times but coped very well, a true profession...

    Mr Vernon Woodingdean

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