Brexit a double-edged sword for rural property
Published 29/06/2016 | 02:30
UNCERTAINTY over the Brexit move has had an immediate impact on land purchases by UK customers throughout the country, according to auctioneers.
"I had UK buyers for three different properties and about a month ago the three put matters on hold until they saw the result of Brexit," John Hodnett from Clonakilty, Co Cork told the Farming Independent.
"On Friday morning, two out of the three withdrew from their transactions and I am waiting to hear from the third," he said.
The four key issues identified by many auctioneers as potentially impacting on Irish rural property sales are: the drop in the value of sterling; a possible fall in incomes in the UK; a potential drop in farm incomes in Ireland; and concerns over a loss of free movement between Ireland and the UK.
Henry Kee from Ballybofey, Co Donegal said it is too early to tell what the impact will be. His company has a steady number of UK customers coming to purchase in the South based on the strength of sterling, but he expects this could change.
"Up to now people have been coming across to buy based on value for money but now the customers from the UK may be driven by a need to have a base in the EU."
Pat O'Hagan of Savills maintained that this was a possible silver lining in what appeared to be very dark clouds.