Demand for properties has been cut by half as the high mortgage rates are coming to bite those coming onto the property ladder. As a result, construction companies are pulling away from new projects which is putting the government target for housing at risk for not being met. This is being classed as a “transitional period” as the property market is adjusting to higher borrowing costs. If property prices fall and there are higher rates for raw material, there will be major employment cuts and hence, people unemployed. All factors pointing towards a recession. This is the reason people are being tolt to conserve cash and preserve assets.
When is the right time to invest in properties and will they remain an asset?