The votes are in and Brexit is in favour with a marginal win of 51.9 percent.
After a hotly debated referendum that has gripped all corners of the world, the UK is to leave the European Union. Supporters of Brexit shared a number of reasons for the UK to go alone, and cited differing opinions on the economy, employment, immigration policies and consumer affairs than supporters in the remain camp. Brexit supporters believe that relieving themselves from the EU will free them of burdening regulations, help control immigration and ultimately create more jobs.
There have already been immediate effects of Brexit including the plummeting of the pound, the lowest it has been since 1985, along with the decline in the FTSE. Plus the recent stepping down of Prime Minister David Cameron has shocked the world.
In the midst of this historic whirlwind taking place, we can’t help but question what will happen to the property market – specifically for South East Asia.
Director of Cornerstone International Properties, Virata Thaivasigamony, commented that Brexit could be considered as a silver lining for overseas property investors, as a weak pound creates more opportunities in terms of currency exchange rates. Not to mention parents who send their children to the UK for university will also save on tuition fees. Nevertheless, British property will remain attractive to high-net-worth buyers, a sentiment that is echoed by property firms Knight Frank, Savills and Jones Lang LaSalle.
Questions continue to arise and changes, if any, for the property market are expected to be slow. Whilst it is remains that investors wanting to enter the UK market should carry out their due diligence, it cannot be ignored the opportunity to invest in UK property is at a historically low rate.
