There was a very interesting article on the RLA (Residential Landlord’s Association) website this week regarding the effect that the upcoming election is likely to have on the property market. They were not talking about the possible effect of a new government or an old one with a new mandate either. They were simply discussing the effect of the actual election itself. Something, I admit I had not considered.
According to article the lead up to the election is likely to have a decelerating effect on the market as people sit back and wait to see what is going to occur. Many will want to see a new government formed and settled before they speculate on a huge investment.
It is not unusual for this kind of uncertainty to cause a downturn apparently and given the difficulty of the times it is probably inevitable. The specter of a hung parliament will do nothing to convince people to leap into spending money on their portfolio either. The good news is that figures show that after the election there is nearly always a decent upswing to even things out.
In other words patterns show that things come out fairly equal in the end. No comfort, I suppose, if you were hoping to get you property on the market for a quick sale but from an economic point of view unlikely to make any huge differences.
