Property market ‘unsettled’ by Brexit and stamp duty surcharge

Belvoir has issued a warning Picture: Yui Mok/PA Wire

Belvoir has issued a warning Picture: Yui Mok/PA Wire - Credit: PA

Estate agency group Belvoir has said that the property market has been 'unsettled' by the EU referendum and the introduction of the stamp duty surcharge in the first half of the year.

The firm said growth in the sales and lettings markets had been 'tempered', although it added that 'underlying demand for property continues'.

In a statement, Belvoir said: 'Both the sales and the lettings markets have been unsettled during H1 due to the changes to the tax regime and stamp duty for buy-to-let landlords and the uncertainty leading up to the EU referendum.

'Although organic growth has been tempered during the period, opportunities for the group to grow through acquisitions and consolidation of the marketplace continues to accelerate.'

Belvoir, which operates a network of more than 300 franchised estate agents, made the announcement alongside half year results.

The company saw revenue rise 60% to £4.3m in the period, with pre-tax profit shooting up 69% to £1.3m.

Boss Mike Goddard added: 'Belvoir has had a very successful six month period during which much positive progress was achieved.

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'Growth has been further supported organically by the entrepreneurial drive which continues across Belvoir's enlarged network of franchisees.'

The property sector showed signs of resilience in the months leading up to Britain's decision to leave the European Union and Nationwide said last week that while buyer demand has softened, the number of new homes coming to market has also been low. This has kept the balance of demand and supply tight, which in turn has supported prices.