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If Corbyn becomes PM will the property market crash?

(109 Posts)
StuckRut1 Thu 29-Jun-17 15:46:06

Looking for guidance on this. I'm looking to buy a flat in zone 1 and when l mentioned to a colleague he was aghast. He said that l should wait till the New Year as there's a chance JC will be PM and if so the property market will crash big time. Is he talking rubbish?

plantsitter Thu 29-Jun-17 15:49:02

Why would it? When Brexit is complete and all the money moves out of London - then it might crash.

Cantseethewoods Thu 29-Jun-17 15:49:57

It's likely that a JC led government would prompt a correction but it won't be immediate or drastic IMO, at least not in London. Certainly you'll get less foreign money coming in and possibly some ptofit taking which knocks on all the way down, but really, where does that money go? There aren't tonnes of choices these days.

howabout Thu 29-Jun-17 15:53:32

I thought Zone 1 was already going backwards? Also rents there are currently below costs of ownership and no prospect of capital gains in the near term and interest rates are headed upwards. JC or no JC, Brexit or no Brexit I would be inclined to wait.

notangelinajolie Thu 29-Jun-17 15:53:59

Yes. But he wont win because there won't be another election.

StuckRut1 Thu 29-Jun-17 15:59:23

How long would you wait to buy?

aliceinwanderland Thu 29-Jun-17 15:59:47

If anything I would have thought the opposite. A jc led government will be more inclined to soft brexit. Prices are likely to come down on london anyway imo but that's because they are overpriced.

KarlosKKrinkelbeim Thu 29-Jun-17 16:00:26

I think there a number of factors exerting downward pressure on London property prices. The prospect that we might elect a total madman is probably not at this point the most significant.

Bunnyfuller Thu 29-Jun-17 16:04:20

It's very slow everywhere but London anywhere, due to May pissing about with hard brexit and looming European penalties

StuckRut1 Thu 29-Jun-17 16:15:12

I must be the only fool looking to buy at the moment. l've been saving for 3 years and got an unexpected bonus this year so it's like l've finally got some water after trawling through a desert. I don't know how much longer l can wait but then again the thought of losing all that hard earned cash....and the knowledge that maybe l could have bought something better....This is mental torture. BREXIT is going to take forever isn't it?

user1487175389 Thu 29-Jun-17 16:17:31

No, of course not. God knows what newspapers you read, OP!! (or work for)

TheRollingCrone Thu 29-Jun-17 16:18:56

Sheesh! Have you learnt nowt since 2007. Nothing is bigger than the market - too many vested interests in UK property market.

We're willing to pish state education away, under fund NHS, watch child poverty grow - but never can I see property prices falling.

TBH I think it would take a military coup and civil war/revolution , and I don't see that happening any time in the near future.

StuckRut1 Thu 29-Jun-17 16:19:49

Don't work for a newspaper. Flattered though. Genuine question.

m0therofdragons Thu 29-Jun-17 16:20:14

No one has a clue what will happen and you can't live your life holding off. Get a fixed mortgage for 5 years and buy somewhere you can afford/want to live for a while just in case you can't move.

People will always need houses and if you're in a good position then make a cheeky offer. It's not a seller's market at the moment.

SantasLittleMonkeyButler Thu 29-Jun-17 16:21:09

Why do people keep speculating about JC becoming PM anytime soon?

He didn't win the election (in the traditional sense) so how could it even happen?

Maybe next time we have a general election - yes. But not imminently.

TheRollingCrone Thu 29-Jun-17 16:25:35

Santa brilliant name grin !

NataliaOsipova Thu 29-Jun-17 16:28:03

When Brexit is complete and all the money moves out of London - then it might crash.

Markets predict events; they don't just wait for things to happen ...

Inflation is above target. Interest rates will potentially rise....that'll be a strong negative signal for the property market.

AdalindSchade Thu 29-Jun-17 16:30:35

If you can afford to buy a property that you would want to live in for 5-10 years, and you could afford interest rises then buy your flat.
If you would be stretching yourself to your limit or are relying on the flat increasing in value so you can move in the next couple of years then don't.

StuckRut1 Thu 29-Jun-17 16:30:52

He seemed to think the PM will be gone in October after a party conference or something. Anyhow l'll keep looking. Maybe cheeky offers is the way to go - thanks.

nameusername Thu 29-Jun-17 16:35:29

I don't think so. I've seen forums harping about house prices crashing from years ago and it's yet to happen. It's the opposite actually in both rental and selling price where I used to live so much so that I got to move 4 miles out sad

howabout Thu 29-Jun-17 16:43:05

Rollingcrone you clearly didn't live through 90s Central London. Price crash followed by decade of stagnation. I remember when house prices were cheap and eventually fundamentals drive markets - but then again in the long run ....

The article is worrying about the start of the current upturn in 2000. It has accelerated somewhat since then.

Atenco Thu 29-Jun-17 16:46:39

I would be more concerned about the financial markets that look set to crash again big time, with or without Brexit and Corbyn

StuckRut1 Thu 29-Jun-17 16:49:41

That BBC article was written in 2000 but the crash didn't happen for 7 years and in London it was a blip wasn't it? Imagine if you had waited in 2000 for a crash?

PickAChew Thu 29-Jun-17 16:52:18

Aye. There's mutterings about another major global recession on the way. That's a more real prospect than the possible result of something that might not even happen. And if TM is gone after October, it's more likely that she'll have been replaced in a leadership big than another GE, unless something really goes tits up with the DUP.

howabout Thu 29-Jun-17 16:57:34

No Stuck look at the graph. The crash happened 89/90 and prices took till 1997 to recover. It could happen again.

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