Published: 06/11/2020Before you say anything, we know it sounds like a stretch to say that the Leeds housing market has anything to do with the US Presidential race. However, in the West, nations and their economies are now more interconnected than ever. When political tectonic plates move in the States, shockwaves reach far and wide. Local property markets in the UK are no exception.
It’s worth noting at this point that we’re writing this exactly two weeks before the election, so we don’t know the result yet. At this point Jo Biden is ahead in the polls, but no one is taking anything for granted given that Hillary Clinton was in a very similar position at this point in 2016. There’s still the chance that everything could change in late October, in the same way as it did last election.
So what has any of this got to do with Leeds? The answer is that any election result in the US has the potential to impact on the UK economy, and the state of our economy, in turn, affects the shape and energy of the property market. The UK is currently locking horns with the EU over future trading relations. The attitude of both parties to trade with the US will provide the underlying logic of how they deal with each other. The EU is the UK's biggest trading partner and a good deal for the UK will by definition boost the health of the UK economy.
The reverse is also true, but if we keep to the optimistic outcome, a buoyant UK economy will stimulate aggregate demand for housing. This, in summary, is the connection between the US election and the UK housing market.
You may quite rightly make the point that much of this economic growth and it’s housing-related benefits might be concentrated on London specifically. However, a desire at the highest levels to rebalance the country to make it less London-centric has taken hold over the last few years. This has been given fuel very recently from two sources. The first is the success of the Conservative party in the North by breaking down the so called ‘Red Wall’. The second is a trend for people to move further from their place of work as Covid forces people to work from home.
Whatever lies ahead, it’s a fantastic time to buy or sell your home, as long as you work with a local market expert. The Leeds market is absolutely awash with opportunities so please give us a call.
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