Many have been surprised to discover that the property markets in Scotland and Northern Ireland are showing renewed signs of life. These markets have traditionally been overshadowed by London and the Southeast. Brexit has been the catalyst for change in the UK property market so far, but what else is at work?
A Royal Institute of Chartered Surveyors (RICS) survey spotlights ongoing price growth for properties in Scotland and Northern Ireland. While London and the Southeast remain uncertain, it appears that one may expect more improvements in Scotland and Northern Ireland.
Value for Money
When house prices rise, markets beyond London and the Southeast have traditionally been left behind but this trend appears to be changing. While some market watchers believe that this is only a temporary departure from the norm, it is hoped that the difference between North and South will grow smaller.
One recent problem has been over-emphasis on capital gains. The UK business hub effectively exists in London and the Southeast, so these regions attract more investment and employment opportunities. When post-Brexit uncertainty causes the economy to slow down, business is impacted. One effect of this sentiment change is a reduction in wage inflation although records suggest that unemployment in Britain is at an all-time low.