Post-election scenario of realty sector in the UK

Well, the results of the elections have been declared, and the situation seems to be further difficult because of coalition chaos. However, real estate experts feel that there has been a clear-cut correlation between the general elections and transactions happening in the real estate market.

Just before the elections, there is always a dip as people postpone the buying decisions hoping for something better by the next government. It is a consistent phenomenon from last so many elections.

Though the elections this time were different from the earlier ones, the impact was relatively low. Since the duration between the announcement of the elections and the ballot date was pretty short, real estate market saw a dip for a short time.

Therefore, the impact on the property market overall was not that severe.

Post-election in UK

There will be a bounce back according to the experts!

Similar to the historical trends, the market seems to show a surge in demand after the elections. Yes, there has always been bounce back in demand after every election.

In spite of the mid-term elections and unexpected results, it seems that the next quarter will book ore transactions as compared to the average levels. Those who suspended their buying decisions just before the elections will resume it post election.

In short, it is a positive thing for the property market in the country. Since it was a snap announcement, there was no long build up of sellers or buyers who wanted to hold it off.

Moreover, this was the third consecutive year when people stood in queues for polling. First, it was general elections, then Brexit polls and now again General elections. Very clearly, there was instability, insecurity, and chaos in the minds of people (homeowners, property dealers and buyers) across the country.

Everyone was concerned about it because there was a direct impact on the value of their property. Since the announcement of elections was a big surprise, the implications on property market were clearly visible.

Clear-cut majority would have impacted differently

It is a fact that there is a disappointment after the results as people wanted a strong and united government. In the current scenario, it will be very difficult for the prime minister to take tough decisions. The government will always be in an instable state because of coalition scenario.

There was a hope that post-election there will be an end to the constant political turmoil but the situation is quite different after the results. Hence, the market will not show a great boom, but it will certainly recover from the dip.

Since the amendments to the regulations regarding rental market have made the situation difficult, people prefer buying property instead of renting it. Since a large percentage of the property dealing is contributed by this segment, the surge in demand is certain.

Hopefully, the political turmoil will get settled soon, and there will be further stability in the political scenario. It will take the market graph to new heights.