The usual economic measures have reacted to the official end to almost all Covid-19 restrictions by slipping slightly this morning, including the stock markets down to a two-month low, and the strength of sterling. The pound fell against the euro and dropped to a near five-month low against the US dollar.
Against both, the swing over the past week was more than 1% (indeed closer to 2% against the dollar), as the markets ponder the – hopefully – post-pandemic future of the country.
This morning analysts will be listening closely to the words of Mr Haskel, a Bank of England Monetary Policy Committee member, after the pound was boosted last week by “hawkish” comments from another member of the committee on monetary policy.
While many will be rejoicing at the re-opening of nightclubs after 16 months, I suspect the property buying demographic will be more interested in new international travel rules. The currency markets are not the only ones worried about the potential rise in Covid cases, and the government pulled the rug from under property buyers in France this weekend with a new quarantine rule.
Rules are changing so quickly that it’s very hard to keep up. Do check out the webinars that we are sponsoring for Your Overseas Home.
For property buyers heading off to view homes on the Continent – a real opportunity, I would suggest this summer with far fewer tourists in the resorts – do call your trader first on 020 8108 5163. That way you’ll have a better idea of your property buying budget, as well as being in the best position to make an offer and pay a deposit.
Most importantly of all, as soon as you agree a price, lock in that rate with a forward contract to avoid a sudden drop in the pound meaning you have to find thousands more pounds at the last minute to complete. Trust me, it happens!
