London, UK – December 13, 2024 – As we approach 2025, the UK property market shows promising signs of recovery, with increased confidence in property lending. With interest rates expected to decline and consumer sentiment improving, 2025 could be an excellent year for buyers, investors, and lenders alike.
The Bank of England has indicated potential rate cuts, with inflation decreasing at a faster-than-expected pace. As interest rates are set to lower, affordability for borrowers is expected to improve, providing a much-needed boost to the housing market.
Our CEO, Islay Robinson, was invited to share his expertise on predictions for the UK property market in 2025 in The London Property News on December 13, 2024. Read the full article here.
Islay explains: “From our perspective, the broader outlook for UK property lending in 2025 is extremely encouraging. Interest rates are predicted to fall further by next autumn on both sides of the Atlantic, and we are already seeing a rebound in both consumer and investor confidence.”
A recent report by Halifax revealed that house prices are stabilising after months of decline, further contributing to buyer optimism.
Super-Prime Market Continues to Thrive
At the luxury end of the property spectrum, the super-prime market in London is seeing robust demand. Robinson predicts that London will soon return to peak levels in the coming year.
“Super-prime activity has been especially buoyant, and we expect London to return to peak levels in the year ahead,” said Robinson.
Government’s Housing Initiative Faces Challenges
The UK government’s pledge to build 1.5 million homes over the coming years aims to tackle the ongoing housing shortage. However, Robinson cautioned that the impact of this initiative will take time.
“The government’s ambitious plan will likely only significantly increase supply in future years. In the meantime, competition for existing properties remains high,” he said.
As we move into 2025, the UK property market is poised for a period of recovery, fuelled by improving consumer sentiment, declining interest rates, and resilience in the super-prime sector. While the government's housing initiative may take time to show significant results, the overall outlook remains positive for buyers, investors, and lenders.
For more insights from Islay Robinson on the future of UK property lending, you can read the full article on The London Property News.
