Last week we saw the biggest crash on Wall Street since 2008 and this week we’ve seen Flybe fall into administration with many pointing towards a global epidemic and a virus that is fastly spreading through the continents as one of the major reasons for market turbulence (excuse the pun).
There’s no doubt just the word ‘Coronavirus’ has had a negative effect on business throughout the world as it has closed down cities, schools, cruise liners, airports, stopped sporting matches from taking place and has made negative waves into the stock market too.
But can it or is it effecting the property market in the UK?
Recent research from lettings and sales agent Benham and Reeves has revealed that 83% of home buyers and sellers will not put a house purchase or sale on hold this year because of the current threat posed by the Coronavirus.
Just 9% of people stated that they were in the process of buying and selling but have now called it off and decided to wait, with just a further 9% of people originally planning to buy or sell this year but also now deciding to put it on hold.
But that 9% is only based on those asked about the situation right now? Give it a month, two and more if the situations worsen will the percentage increase through fear?
There’s no doubt the economy will suffer whether it be down to media scaremongering or actual ‘real’ concern but as properties go.. We need to remember bricks and mortar cannot catch illness!
A slow down in market activity can often lead to price falls which I always think is music to investors ears.
Nothing better than a global pandemic or outbreak of fear for those wanting to buy something at a good price from someone panicking to get out unscathed… Key is ‘when’ to buy and gauging if the time is right now or later?
No one can say for sure what will happen… But for investors purchasing the right property at the right price during the right time is often key. No matter what the global or local situation?
I say if you see the property you like and you want to go for it then why not? Let’s face it during a time of instability it might not be the best time to make a short term investment and flip but if you are looking at the bigger picture and fast forward five-ten years if you haven’t by that time caught coronavirus and died you might instead be sitting on a very profitable property investment instead.