Healey & Baker's deputy senior partner and head of investment Andrew Gulliford said: 'Conditions in the market are far from easy and uncertainty is the enemy. Current trends are a continuation of the slowdown evident earlier in the year and, to date at least, it is business as usual for most of the market.'
Gulliford said many buyers--especially private investors--were now looking at property as a safe haven,. 'Private investors in particular remain very active and we have seen no downturn in demand for auction product ahead of the autumn season,' he said. He also forecast in increase in activity among overseas buyers, with German funds once again expressing an interest in UK property.
Average yields on UK property have continued to rise and are now at their highest since 1993. But the yield on bonds has moved in the opposite direction, increasing the relative attractiveness of property and making many property acquisitions self-financing, the report said.
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