Why the UK is leaving the EU
The UK has joined the bloc but the rest of the EU is still reeling from the shock of the Brexit vote, according to property consultants.
Martin Property consultants say the UK’s decision to leave has caused major disruption to its businesses and is likely to have a significant impact on property prices.
A number of properties are at risk of being bought up by foreign investors in the UK, said the report, which was compiled by a group of property professionals and academics.
It said the UK had already seen a rise in the number of overseas buyers buying properties in recent years.
The consultants’ report said the number is expected to continue rising, driven by an influx of foreign money, a fall in the value of sterling and the increase in the proportion of the UK population living abroad.
The consultants say many of the properties they have studied are being bought by people who would not otherwise live in the country and they have a higher risk of falling into the property bubble.
Martin Property said it had no plans to increase its sales staff or to increase the price of properties in the wake of the decision.
“The number of international buyers in the United Kingdom has been rising for some time, driven mainly by the rising value of the pound and by the increased number of non-British nationals living and working in the area,” the report said.
Foreign investors are taking a much larger share of the market than before the referendum, said David Jones, director of Martin Property.
Mr Jones said the increase of foreign buyers was likely to be the main reason why prices in the housing market are rising.
A spokesperson for the Department for Business, Innovation and Skills said: “It is a matter for the UK Government to assess the impact of Brexit on our businesses and on the UK economy.”