Market volatility beneficial for property market
The highs and lows seen in the financial markets this week may be good for the property market, according to Andy Cuthbert, managing director of Dot financial services.
Over the past week, the FTSE 100 fell to its lowest level since June 2006 only to subsequently record its best daily performance in five years. This week also saw the US Federal Reserve drop US interest rates from 4.25% to 3.50% , as well as French bank Societe Genereale being hit by a €4.9bn loss as a result of a rogue trader.
Cuthbert said: “I believe that for us in the property market, this volatility in the financial markets can be good news as there will be a number of people looking to minimise their exposure to risk by investing in bricks and mortar.”
He added: “And, with interest rates seeming more and more likely to fall when the Bank of England meets next week, the property market will seem even more attractive for those looking to invest their money.”