UK Housing Market Only EU Country To See Decline in Property Prices

UK Housing is likely to be the only country in the EU to see a decline in value according to new report released.

While the housing market in Germany will continue to boom and is tipped to see the biggest growth the UK will see house prices go the other way according to S&P Global Ratings.

Jean-Michel Six, chief economist for Europe, the Middle East, and Africa at S&P Global Ratings speaking about the report said;

“While uncertainties caused by the UK’s June 23 referendum decision to leave the EU could dent eurozone growth and, by extension, the housing market recovery over the next few years, we don’t expect that it will derail it.”

The UK housing market is the only country that has been highlighted in the report for which house price declines are forecast as a result of the Brexit vote.

It does however also points out that strong market gains in the first half of this year should keep full year house price rises at 5pc with the market only likely declining in 2017 by 2pc.

Ireland, despite its close economic links with the UK housing market is tipped to continue its recovery with the report predicting that house prices will increase by 6pc this year largely down to the shortage of housing supply.

Other countries like Holland who also have strong links to the UK are also tipped to maintain a steady growth in value at 5pc for the current calendar year.

While the UK housing market is bracing its self it will be the German’s who will see the biggest gains this year with report tipping that a 7pc increase in prices over the coming year.

The news will come as little surprise with UK property experts already predicting that the UK housing market is set to see prices fall for the first time in six years.