Agent sells £53m of property within hours of General Election result

An estate agent in London claims he did £53m of property deals within hours of the Conservative victory in the General Election.

Trevor Abrahmsohn, who runs upmarket agency Glentree Estates in north London, is reported to have secured purchases from buyers in Asia and Eastern Europe worth £53m. 

The buyers had been awaiting political clarity before going ahead with the deals; rapid purchases like these will also avoid the expected three per cent stamp duty surcharge which the Conservatives last month pledged to impose on overseas non-resident buyers should it win the election.

And another London agent - Gary Horsham of Beauchamp Estates - sold a single property valued at £65m on Friday, with the buyers signing off on the home as a result of the Tory victory.

Friday's confirmed election result also spurred a surge in agency and property-related share prices during that day's trading.

Purplebricks share price was up over nine per cent at the end of the day; Countrywide was up seven per cent and Foxtons was up five per cent; LSL Property Services’ price rose a more modest three per cent; both OnTheMarket and Rightmove portals’ share prices were up around four per cent. 

Savills - which has a more substantial commercial property division and major international property exposure - was up a stronger 13 per cent.

Shares in UK housebuilders rose following the election result - Taylor Wimpey, Berkeley, Barratt and Persimmon were all up over 10 per cent at points during the day. 

City analysts at Peel Hunt declared: "It's difficult not to see the election result as a healthy boost for the whole UK building sector. Stalled commercial projects should now get going, while more clarity on Brexit should give consumers a bit more confidence to be more active in the housing market, as well as get going on some renovation projects. 

“We suspect the new housing market will be the first to see the benefits, with a pick-up in volumes and house prices as the traditional spring season gets off to an early start. Tax and spend changes in the likely February budget should provide some further good news for the sector."

Meanwhile speculation over the weekend suggests there will be few changes to the government’s senior positions in today’s reshuffle with strong expectations that the Housing Secretary and Housing Minister will remain in place.

Robert Jenrick was appointed as Secretary of State for Housing, Communities and Local Government by Boris Johnson in the summer when he first became Prime Minister; at the same time, Esther McVey was appointed as Housing Minister.

Political speculation over the weekend is that these, and most other appointees from the earlier administration, will stay in place in what has been described as today’s ‘mini-reshuffle’.