As every property expert in the land prepares to unveil their predictions for the market in 2017, it seems there is some consensus as to the general shape of the next 12 months.
Nobody is predicting any great moves in prices for 2017, with a seeming period of quiet while the market waits to see how Brexit will affect the whole economy.
“While 2017 is set to be an uncomfortable year for the property market, I do not believe there are any major indications of a housing crash occurring,” said Will Herrmann, director of property developer West Eleven, told Estate Agent Today. “There are a number of significant headwinds in place within the industry to ensure that deals are slow, but nothing is big enough to completely pull the rug from under us.”
He added: “I do, however, expect 2017 to start much as 2016 is finishing: people trying to do business in the aftermath of the EU referendum. I think that the impact of Brexit will continue to be tempered by a stream of just enough bad news that people will hold back from making decisions on big capital outlays.”
Savills forecast that average UK house prices are expected to remain stagnant in 2017, before increasing by 2% in 2018 and 5.5% in 2019 to a total of 13% by the of 2021.
Knight Frank forecast that the slowdown in prices which has been evident in central London over the past 12 months will spread to the wider region, with Greater London prices down marginally in 2017.
Meanwhile, one region of London may well see fewer estate agents on its High Streets in future following moves to limit non-retail conversions for commercial premises. Westminster City Council has taken action to prevent its high streets from being overrun by non-retail businesses like estate agents.
The new planning rule aims to ensure that all conversion of shops to services such as estate agents, employment agencies and bureau de change on Westminster’s high streets require planning permission.
Between February 2015 and February 2016, the number of estate agents increased from 179 to 228.
Robert Davis MBE DL, deputy leader and cabinet member for the built environment, Westminster City Council, said the sudden increase “has put the character of some centres at risk”.
