I've had a fantastic question in from one of my mentoring clients asking me what I think the property market will look like in the autumn when the stamp duty holiday ends and when furlough ends.
Here’s what he asked:

Hi Peter

I hope you are well.

Just a quick note to see what your current thoughts are on the state of the housing market. Prices are “CRAZY”, I have been constantly viewing since our meeting last August and have luckily enough purchased 6 (well 3 complete and 3 on the way to be complete). However, I have made the decision to stop viewing at present as it is manic out there and the competition is ferocious......

Surely, this mad feeding frenzy on property has to stop.....? Do you believe that competition for property will reduce in Autumn when the artificial economy boosters (Furlough & stamp duty) have stopped. I hope so, as the numbers are not stacking up at the minute and it is quite frustrating to be fair as I am chomping at the bit to expand my portfolio.

What are your thoughts on the current market conditions and what they may look like in 6 months? I would be very keen to get your opinion. Have you been viewing?

Thanks Peter, all the best

Now let me say from the very beginning that I do have an opinion but that doesn't make me right! Predicting the future is a mug’s game and most people who try it get it wrong!

Interestingly I was watching a video by a fellow YouTuber , a person for whom I have a lot of respect, and he was answering exactly the same question.

And his opinion is that the property market will crash in the autumn.

But I don't agree.

Or at least I agree that it could, but I also think that it might not.

And the reason why I say that is this.

What we're seeing in the economy and the property market at the moment is not part of a normal economic cycle.

The current property boom is artificial and has been created by the government, as the property market is one of the few parts of the economy they can encourage and which can operate relatively safely.

Now I have to say that I very much doubt that the government would create a boom and stimulate the economy, and then be happy to see it reverse and crash in the autumn. They still need as miusch of the economy as possible firing on all cylinders in the autumn.

If and when furlough ends, and unemployment rises, they’ll need it firing all the more.

So to me it doesn't make any sense at all that they’ll allow the property market to grind to a halt, in other words “crash”.

So I suspect that we could see tweaks and changes in the autumn budget that allow the property market to continue to rise, even if they reduce the pace at which it grows.

Anyway, I go into this in my video, which is about 10 minutes long, so please grab a cuppa and enjoy.

Here's to Successful Property Investing.

Peter
Peter Jones
(ex) Chartered Surveyor, author and property investor
https://www.ThePropertyTeacher.co.uk

PS. By the way, I've rewritten and updated my best-selling e-book, The Successful Property Investor's Strategy Workshop, which is an account of how I put together my multi-property portfolio, starting from scratch and with no money of my own, and how you can do the same.

For more details please go to:
https://www.ThePropertyTeacher.co.uk/...