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Property and holiday accommodation with wheelchair access

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The price of property in the UK has been rising for so many years that it seems almost impossible to think that it will do anything else. If one examines a graph of house prices, we see that the average cost of a home in 1996 was around £55,000, before a dramatic ascent in prices through the economic prosperity of the early noughties. The market came crashing down during the turmoil of 2008, dropping from an average of £180,000 to around the £150,000. However, by 2014 prices had risen back to their previous high.

According to the government House Price Index (HPI) for July 2016, the average cost of a detached property in England was just under £350,000, a rise of nearly £30,000 in a year. Similar rises can be found for semi-detached homes, terraced properties and flats/maisonettes. Overall, the average property is worth £216,750, representing a rise of nearly half a per cent in a month.

We can look back at 2016 and guess that if we’re to see a reverse in 2017, we’ll probably be relying on Brexit or increased financial pressures on landlords to help us. With new taxation measures in place to hit those who intend to rent out one or more properties, there’s a chance that not so many people will choose to invest in housing, which might open up the market towards the lower end. That therefore drives down prices because there will be a lower demand.

It all sounds perfect, but how many initiatives have been attempted by past governments, in the last 15 years, to attempt the same? Help to Buy, part ownership, and many more schemes have surfaced – and yet we’re still in the grip of a housing crisis where properties are almost seven times people’s incomes, and more families are renting from private landlords than ever before.



As for Brexit, who can tell what the effects will be? Will we see a mass exodus of businesses and relocation? It’s been said by at least one expert that London will ‘bear the brunt’ of any housing slowdown, although it’s still too early to assess the true impact of the UK’s decision to leave the EU.

Most experts believe we won’t be seeing any reduction in price rise yet, although it may slow. In a piece for This Is Money, economics gurus predicted rises of 3%, 2%, ‘small gains’, or flatlining. However, economist Howard Archer of HIS Global Insight said: “We suspect that house prices will come under increasing pressure as 2017 progresses and will likely be only flat over the year. Indeed, we would not rule out a marginal drop.”

Therefore, if one were to predict a trend for 2017, the safest bet is a rise of 2-3%. Since Brexit will surely dominate the agenda this year we probably won’t know too much more until Article 50 is triggered, and decisions are made about our participation in the single market. These changes might see people and companies leaving or moving into the UK in large numbers, or maybe the advantages and disadvantages of Brexit will therefore cancel each other out. We’ll have more of an idea soon, but what 2018 and beyond will bring is anyone’s guess.

 House price predictions: what can you expect from 2017?

The price of property in the UK has been rising for so many years that it seems almost impossible to think that it will do anything else. If one examines a graph of house prices, we see that the average cost of a home in 1996 was around £55,000, before a dramatic ascent in prices through the economic prosperity of the early noughties. The market came crashing down during the turmoil of 2008, dropping from an average of £180,000 to around the £150,000. However, by 2014 prices had risen back to their previous high.

According to the government House Price Index (HPI) for July 2016, the average cost of a detached property in England was just under £350,000, a rise of nearly £30,000 in a year. Similar rises can be found for semi-detached homes, terraced properties and flats/maisonettes. Overall, the average property is worth £216,750, representing a rise of nearly half a per cent in a month.

Look back at house pricesand guess that if we’re to see a reverse in 2017, we’ll probably be relying on Brexit or increased financial pressures on landlords to help us. With new taxation measures in place to hit those who intend to rent out one or more properties, there’s a chance that not so many people will choose to invest in housing, which might open up the market towards the lower end. That therefore drives down prices because there will be a lower demand.

It all sounds perfect, but how many initiatives have been attempted by past governments, in the last 15 years, to attempt the same? Help to Buy, part ownership, and many more schemes have surfaced – and yet we’re still in the grip of a housing crisis where properties are almost seven times people’s incomes, and more families are renting from private landlords than ever before.

As for Brexit, who can tell what the effects will be? Will we see a mass exodus of businesses and relocation? It’s been said by at least one expert that London will ‘bear the brunt’ of any housing slowdown, although it’s still too early to assess the true impact of the UK’s decision to leave the EU.

Most experts believe we won’t be seeing any reduction in price rise yet, although it may slow. In a piece for This Is Money, economics gurus predicted rises of 3%, 2%, ‘small gains’, or flatlining. However, economist Howard Archer of HIS Global Insight said: “We suspect that house prices will come under increasing pressure as 2017 progresses and will likely be only flat over the year. Indeed, we would not rule out a marginal drop.”

Therefore, if one were to predict a trend for 2017, the safest bet is a rise of 2-3%. Since Brexit will surely dominate the agenda this year we probably won’t know too much more until Article 50 is triggered, and decisions are made about our participation in the single market. These changes might see people and companies leaving or moving into the UK in large numbers, or maybe the advantages and disadvantages of Brexit will therefore cancel each other out. We’ll have more of an idea soon, but what 2018 and beyond will bring is anyone’s guess.

 

Edited