The historic decision to leave the EU has, as expected, sparked the beginning of a period of exceptional volatility across the world's financial markets, while sterling sank to a 30 year low against the dollar overnight on 23 June.
The property market has been stifled by the uncertainty in the lead up to last week’s historic in-out referendum and we have seen investment volumes fall ever since the referendum was announced. In fact, UK commercial property investments since January are down some 39% on the same period last year. Furthermore, sterling has lost significant ground to major global currencies over the past six months.
The longer term implications are too early to assess, but we may start to see a change in London’s long stalled residential property market, with investors both exiting and entering the market as we progress through a period of demand volatility.