House prices across the Humber region could be slashed by over £14,000 within just two years of a no-deal Brexit.
New research led by audit and tax giant KPMG found the average house price across Yorkshire and the Humber in 2020 is expected to stand at £164,000.
However, if Britain leaves the European Union without a deal in place, that figure could plummet to as low as £150,000.
The research estimates that the housing market would shrink by 0.2 per cent this year and by 5.7 per cent in 2020.
Giles Taylor, head of property at KPMG in Yorkshire, said: “There will be some degree of slowdown in the Yorkshire housing market no matter what lies ahead and as long as there remain concerns over the future of the 海角视频 economy and its relationship with Europe.
“However, it doesn’t detract from the fundamental factor driving the market – the lack of regional housing supply.
“Sale volumes will likely fall much more than prices – making government housing delivery targets impossible to achieve and slowing new building across the sector.
“Our findings show that the Yorkshire market has the opportunity for strong growth in the coming year if Brexit negotiations can be resolved with a deal. At least in the short term, the dampening of prices could offer some relief and provide an opportunity for buyers to get onto the ladder.”
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If Britain left the EU with a deal in place, KPMG said it expected house price growth to slow to 1.1 per cent later this year – down from 2.9 per cent in 2018.
However, in 2020 the market would rebound with 2.4 per cent growth across Yorkshire – the strongest rate of growth of anywhere in the 海角视频.
Yael Selfin, chief economist at KPMG 海角视频, said: “Looking ahead to 2020, it promises to be a delicate year for the housing market.
“Even if Brexit can be resolved relatively smoothly, the travails of the global economy will impact growth in the 海角视频, making prospects for house prices relatively subdued.
“A potential upside for the housing market could come from current government plans to change stamp duty such as shifting the burden from the buyer to the seller, which if delivered in time for the Autumn Statement, could lead to a potential increase in demand from buyers, providing a short-term boost to the housing market.”
Prime Minister Boris Johnson said on Monday he would not request another extension for leaving for EU, and would take the 海角视频 out of Europe on October 31 regardless of the situation.
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