7
Jun
Confidence is key
The political arena is now undergoing a long overdue reformation
and as a consequence the very core of our financial stability and
the economic dynamics in the UK will be transformed. Despite the
serious nature of our opening sentence this is an exciting and
opportunistic time, we cannot go back and change the position in
which we now find ourselves therefore we must, in fact we are
compelled to play the hand that we are dealt and get on with it. A
confident and positive mental attitude is the order of the day in
these post recessionary times, and this is a good time to reflect
on the old line ‘if you believe you can or you believe you
can’t you are right!! At Penyards we commit wholeheartedly to
the belief that you either wait for things to happen, watch things
happen or make them happen and there will of course be but one that
delivers a successful outcome.
Now let us address the future of the property market, the
general picture being one of improvement. The money markets are
once again sponsoring more active and assertive financing with a
sensible and pragmatic view to safe lending. Property values,
despite great regional variations and variations from the bottom to
the top of the housing ladder, are slowly but surely finding their
correct level. Much of this is as a result of a better balance
between supply and demand. Interest rates remain low and are likely
to continue to do so for a while and even when they inevitably,
eventually rise they are unlikely to be at pre recession levels for
several years.
Overall the money markets have not reacted too badly to our new
coalition government and if the euro zone had been a little less
unstable the markets would have probably given Mr Cameron the
benefit of the doubt. There will be tinkering around the edges with
policy rather than wholesale change, but central to a strong and
sustained recovery lies the property market. Growth in housing
gives rise to an increase in consumer spending on the ancillary
activities which are borne out of this very singular sector of our
economy. The banking crises evolved as a direct result of reckless
funding to underpin the property market, get this right and the
market will emerge with vengeance. The appetite to buy and sell
property in the UK is undiminished, since September 2009, virtually
without interruption, we have seen trading in the Country house
market on a run yet again and providing that the view is for the
medium to long term property will still be a safe investment. Our
forecast is that we expect to see values rise around 35% over the
intended term of this Parliament. That isn’t to say that it
will not be without a few hiccups, but in truth through the most
prolonged period of boom, particularly 2002 and 2005, there were
still times of uncertainty and volatility.
Confidence is key, if we could have a pound of gold or a pound
of confidence it would be the latter time after time, quitters
never win and winners never quit, know your business and serve it
in a distinct, creative and positive way. For Penyards we believe
that out proposition to our clients and customers is perfectly
balanced with the shared values of price, selection, convenience,
performance and quality. The future neither looks bright or bleak,
the future is the future …just get on with it.
Article: Graham Evans 7th June 2010