Higher interest rates dampen investment The results of the Q2 2023 RICS UK Commercial Property Monitor point to a renewed setback for the commercial property market, with an upward shift in interest rate expectations weighing on investor demand and placing downward pressure on capital values. The survey shows a clear majority of respondents (68%) are … Continue reading “Commercial Property Market Review – August 2023”
Economic Review – July 2023
UK inflation rate declines Data released by the Office for National Statistics (ONS) showed the UK inflation rate fell by more than expected in June, leading analysts to predict that interest rates are now likely to rise less sharply than previously feared. The latest inflation statistics revealed that the Consumer Prices Index (CPI) 12-month rate … Continue reading “Economic Review – July 2023”
Residential Property Review – July 2023
RICS survey shows demand falling Activity in the residential sales market deteriorated in June, according to the latest UK Residential Survey by the Royal Institution of Chartered Surveyors (RICS), with negative net balance readings returned across many indicators. New buyer enquiries fell to a net balance of -45%, compared to -20% recorded in May, the … Continue reading “Residential Property Review – July 2023”
Commercial Property Market Review – July 2023
Pricing uncertainty weighs on the market Savills recent ‘Market in Minutes’ review of the UK commercial property market has highlighted that pricing uncertainty has intensified due to a combination of fewer assets coming to market and transactions taking longer than usual, in what they describe as ‘a relatively volatile market environment.’ With interest rates elevated, … Continue reading “Commercial Property Market Review – July 2023”
Economic Review – June 2023
Inflation persistence forces rates higher The Bank of England (BoE) has sanctioned another hike in its benchmark interest rate after citing ‘significant upside news’ which suggests inflation is likely to take longer to fall back to the Bank’s target level. Following its latest meeting, which concluded on 21 June, the BoE’s nine-member Monetary Policy Committee … Continue reading “Economic Review – June 2023”
Residential Property Review – June 2023
Mixed signals in mortgage and housing markets Inflation hasn’t been falling as quickly as anticipated, resulting in the Bank of England coming under pressure to raise Bank Rate again in May. While lenders had priced in some interest rate rises in advance, the market reaction to inflation data released in May suggests that tolerance had … Continue reading “Residential Property Review – June 2023”
Commercial Property Market Review – June 2023
Firms office space intentions over the next three years A recent survey conducted by property consultant Knight Frank and Cresa, a commercial real estate firm, has highlighted that over the next three years, half of the biggest international employers (those with more than 50,000 employees) are anticipating reducing their global office space by between 10% … Continue reading “Commercial Property Market Review – June 2023”
Economic Review – May 2023
UK growth forecasts upgraded Revised projections released last month by both the Bank of England (BoE) and International Monetary Fund (IMF) suggest the UK economy is now set to avoid recession this year. The BoE’s latest forecast predicts the economy will grow by 0.25% across the whole of 2023, a significant upgrade from February’s prediction … Continue reading “Economic Review – May 2023”
