For the last two years there has been one major story dominating the news in the United Kingdom. Brexit. Our decision to leave the EU, made in 2017, has led to a high amount of uncertainty across all sectors in the UK with some sectors pre-emptively making more adjustments than others. With the deadline for Article 50 fast approaching and with uncertainty and confusion still the most overwhelming of emotions being felt by the UK population, what does the future hold for conveyancing after Brexit?
Predicting the Housing and Conveyancing Market Post Brexit is Very Difficult
Since the Brexit vote in 2017 property prices have not continued the strong growth that was observed after the worst of the recession was over. The Royal Institution of Chartered Surveyors (RICS) surveyed its members who stated that growth seemed the weakest they had seen since October 2012. London, the South-East and East Anglia were the worst affected regions of the UK. Prices are expected to fall or remain stagnant until there is certainty over the type of deal the UK is to receive from Brexit. The worst case scenario that has been mooted was by Mark Carney, head of the Bank of England, who suggested that house prices could drop by a third if the outcome is a no deal Brexit. However, most other commentators have been more conservative with their predictions. Many believe that the stability of the UK as a whole will still mean that properties in big cities will still be attractive to overseas buyers stopping property prices from falling too far. The ultimate answer is that, the housing market is difficult to predict in perfect economic conditions (if such a thing exists) and the scenario the UK finds itself in currently makes predicting the housing market all the more difficult.
Brexit - The effects on Conveyancers in the UK
So what is the effect on Conveyancers? With all the uncertainty surrounding the future of the UK the population of the UK is equally uncertain with making major life decisions. With threats of Brexit making house prices tumble, and perhaps affecting people’s livelihoods, people are less likely to want to progress with moving house until there is more clarity surrounding the UK’s situation. This could, however, cause a build up of people wanting to move house but waiting until Brexit is finalised. This pent-up demand could be released if the UK exits in a stable way or the UK remains in the EU. This could cause a rapid increase in house prices.
The market has slowed from previous highs although continues to tick along as some people, seemingly unconcerned by the result of Brexit, continue with their house purchases. If you are in need of a high quality conveyancing solicitor then use our tool to compare conveyancing quotes and get accurate conveyancing costs from a range of local solicitors.