Economic Update and The Incoming Recession of 2023
A macroeconomic update from Mark in this quick but informative episode. KEY TAKEAWAYS Inflation has started to fall, it’s likely that inflation has already peaked. This doesn’t mean we won’t head into a recession. There’s the potential for us to enter a ‘shallow recession’ due to interest rates still increasing but things like gas prices decreasing. Medium-long-term inflation may need to increase to get interest rates back down to 2% levels Consumer spending is holding up reasonably well still. People are still booking holidays and buying things. What has potentially saved consumer spending is the amount of savings people had due to the pandemic. Property prices will still fall and affordability for both housing and things like cars will be impacted, this will take time for the country to adjust. BEST MOMENTS “Gas prices now are at a level well before Putin invaded Ukraine so electricity prices will start to fall” “Inflation is probably going to half” “Things aren’t turning around yet but you can see where this thing ends and you can see a trajectory out of this” “Property probably takes 18 months to reset and we’re seeing this” “The UK is the sick man of Europe” VALUABLE RESOURCES https://www.youtube.com/user/progressiveproperty https://www.progressiveproperty.co.uk/the-progressive-co-founders/ ABOUT THE HOST Mark has bought, sold or has managed around 1,000 property units for himself, Rob, his family and his investors since 2003. He is a system and spreadsheet geek and has developed a complex, confidential deal analyser system of buying residential, commercial and multi-let properties. CONTACT METHOD Email: Markhomer@progressiveproperty.co.uk LinkedIn: https://www.linkedin.com/in/markhomer1 Facebook: https://www.facebook.com/markprogressive Twitter: https://twitter.com/markprogressive‘Brought to you by Progressive Media’: https://progressivemedia.uk/