According to the latest figures from Royal Institution of Chartered Surveyors (RICS), the UK housing market for May showed a sharp deterioration, and The New Buyer Enquiries balance is at its lowest ebb since the financial crisis.
The increases in stamp duty and a tougher tax treatment of buy-to-let investment have had a large impact on the housing market, visible in the surge in housing transactions ahead of the new rules, according to Greetham.
However, RLAM suspects the upcoming EU referendum is having a large negative impact on sentiment here and elsewhere too, as the economic uncertainty deters would-be-buyers.
“If the outcome of the vote is Remain, as we expect, then business and housing market confidence should recover into the year end, raising the prospect of the Bank of England following the US Federal Reserve in hiking rates,” said Greetham.
