As it becomes increasingly certain that the Conservative party will manage to achieve an overall majority in the UK national elections, the property market reacts positively.
- Berkeley Group the clear outperformer, up 9.1%, on course for biggest one-day rise since Dec 2013 with Labour’s “mansion tax” having been a particular cause for concern for London house builders.
- Estate agents Savills & Countrywide third & fourth-top UK midcap risers, both up 8%.
- Gains seen across the sector, with the Thomson Reuters UK Homebuilding index up 6.3% at a record high & on course for its biggest one-day rise in about 2 yrs. The Index had fallen some 5% from a mid-April peak until Thursday’s close.
- Foxtons shares rise 9% on today’s news. Last week the Company reported a drop in Q1 earning quoting election related investor uncertainty.
