Graph of real house prices in the United Kingdom, adjusted for changes in the ONS’s Retail Price Index. (Photo credit: Wikipedia)
BBC News reports that activity in the UK housing market has “settled down” after a Brexit surprise, citing RICS, with sales and prices expected to rise in the coming months.
Source: UK housing market settles down post-Brexit, says Rics – BBC News
Yesterday we saw Nobel economist Paul Krugman write in the NYT that short-term Brexit fears had been overplayed and not supported by sound economics.
However, Krugman stressed that the long-term post Brexit outlook for the UK was a 2-3% annual reduction in national output in perpetuity. This is equivalent to a massive reduction in national wealth and house prices will be impacted.
Thoughts?
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