Brexit's Latest Impact on London Housing: The Brexit Clause

    Mar 18, 2019 @ 02:00 AM / by Zach Rossignol

    Passengers waiting in London

    London Housing Market

    London has registered eight consecutive down quarters in real estate sales. Though the decline is not entirely due to Brexit, the continued uncertainty surrounding Brexit has shaken the confidence of many potential investors and home-buyers. Conversely, the lettings market remains stable, if not competitive, with demand above the available housing supply on the market.

    'Brexit Clause' for Lease Agreements

    I conducted our recent London survey in November of 2018 and one of the most interesting items that our real estate sources discussed is the prevalence of a “Brexit Clause” in leases. These clauses allow tenants to move out early with no penalty if their residency is suddenly drawn into question due to an immigration issue raised by whatever Brexit deal is signed.

    All real estate sources I spoke with agreed that whether it’s a soft or hard Brexit, everything has the potential to change. Most projections indicate that regardless of how it is executed, Brexit will undoubtedly weigh on economic growth and the real estate market, both sales and rentals.

      


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    Effective Employee Relocation Planning for Brexit and Beyond

    AIRINC will continue to closely monitor all Brexit developments and will be on-site next in May of 2019. If you’d like to learn more about our latest thoughts on Brexit and international business, please download our White Paper, Effective Employee Relocation Planning for Brexit and Beyond:

    Download!

     


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    On-site Insight and AIRLinc

    This post is taken from On-site Insight, AIRINC’s in-house global mobility blog. On-site Insight provides AIRLinc subscribers with an exclusive “behind-the-surveys” insight into new and existing expatriate locations based on commentary and photos from our global research team. Included is information on general living conditions as well as changing costs for both goods and services and housing and utilities, along with much, much more! To find out more, click here. 

     


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    Topics: Housing, On-site Insight, BREXIT, United Kingdom, Insights and Experience, London, International Housing Guide, Housing Assessment Tool

    Zach Rossignol

    Written by Zach Rossignol

    Zach joined AIRINC in the summer of 2013 as a surveyor and analyst conducting international pricing and housing surveys around the globe. He’s since been promoted to Senior Housing Analyst and is responsible for training new hires in housing methodology, client inquiry responses, social media management, and directing the quarterly release of housing and utility data for thousands of locations worldwide. He received his B.A. in History from High Point University and is based in Cambridge, MA.