Our monthly property market review is intended to provide background to recent developments in the property markets as well as to give an indication of how some key issues could impact in the future.
Overview
GROWTH CONFINED TO THE INDUSTRIAL SECTOR
The latest UK Commercial Property Market Survey from the Royal Institution of Chartered Surveyors (RICS), reports 62% of respondents believe the commercial property market as a whole is in the downturn phase of the property cycle.
NORTHERN ENGLAND AND MIDLANDS SEEN AS BEST FOR COMMERCIAL LANDLORDS
According to new research by specialist finance company, Together, the North of England is set to become the hotspot of UK commercial property development.
The survey of developers found that almost two-thirds (65%) plan to increase their investment activity in the North substantially over the next two years. The research also found that the best performing sectors in the Midlands and North are likely to be office developments and flats.
INVESTMENT IN CITY OF LONDON COMMERCIAL MARKET INCREASES
Savills has reported transactions totalling 1.24bn over 10 deals in the City in October, which is up 73% on September and the second largest month by volume in 2019.
CAFES AND RESTAURANTS TOP THE UK COMMERCIAL PROPERTY MARKET
Analysis from Harness Property Intelligence, comparing price growth in the UK’s commercial market, shows that cafes and restaurants have outperformed offices and retail spaces.
MORTGAGE ACTIVITY
- Gross mortgage lending across the residential market in September 2019 was £22.3 billion
- 3.7% higher than September 2018
- There were 85,880 mortgages approved by the main high street banks in September 2019
HOUSE PRICES HEADLINE STATISTICS
- UK house prices grew by 1.3% in the year to September 2019, unchanged from August 2019
- House price growth was strongest in Northern Ireland where prices increased by 4.0% over the year to Quarter 3 (July to September) 2019
- The lowest annual growth was in London, where prices fell by 0.4% over the year to September 2019