Hey, guys, and welcome to this week's UK property news. So, what I wanna cover this week, the big news. Well, big news? Yeah. You know what, I play down the news a lot because I find that most of the stuff that you see in the headlines actually, when you put it into perspective, it's not as is impressive, but they make it sound like that because that's how they sell newspapers.
So, anyway, rents, are predicted to go up 15% over the next 5 years. Way fantastic. We kinda already knew that you know, so it's not really that big news. But it does validate the fact that there's less buyer/buyers getting involved in the market because of the tax changes and because of, I mean, the outright offensive that we've had against us. And I'll talk about that, I'll put that in perspective from a global perspective very soon because that's one of the articles that I really wanna introduce you to.
Because I think it's very good to sit here in the UK and say, you know, "Oh, we're getting hammered, and it's more expensive, it's not profitable anymore." But the funny thing is that's not just UK, that's actually everywhere in most of the property markets. So, you know, I've been there and I'll talk about that. But look, 15% over 5 years, you know, that's good news for an investor. Because actually, we're really trying to press and push these rents up at Ezytrac, my property management company.
Why? Because, you know, we've had so many additional costs, we're about to have a tenant fee ban, you know. Those costs have been put back onto the landlord, so the way that you make more money is by increasing the rent. And that's what we really wanna see, is that increase in rent. Because obviously, that also offsets the increasing interest rates that we're probably paying, the tax changes, just about every element now. And we'll see what else they've got in store in the latest edition.
So, next article is all about the house prices are still going up according... And this was in July, these are July figures that come out from Halifax. So, we talked about Nationwide the other week, Halifax have now come out with their figures. So, as much as people wanna be saying the market is terrible, and actually this is not really, oh, prices are dropping, it's not actually happening. And now, yes, London is. And you know what, London always leads. It leads in and it leads out. And I've got some good news about London and it'll happen very soon and we'll talk about.
But the interesting thing is Halifax said July, they're saying, yep, you know, house prices are still on the rise, so we're talking about 3.3%. And we're talking about another article which is that house prices are rising faster than wages, okay? Wage is about 2.5%, 3.3% for house prices, you know, and that's the year to July, okay, we're talking about. Figures aren't out for August yet, obviously, it's not the end of August yet, you know.
And what this plays at is the affordability element. Because obviously, if we see massive house price growth and wages don't keep up, then what happens? It becomes unaffordable but to buy, all right? And so, that's kinda what it is. But you know what, the house price increase has dropped down, it's not as bigger increase, and the wages are ticking away, okay? So that's good news.
I mean, they're ticking way so much that the Bank of England was confident enough to raise interest rates, that's always good news. So, next article is, you know, all change, the UK property, or basically non-resident taxes and the changes there. You know, the government... And understand, this is not just the UK government, okay? So, yes, the UK government is going after, you know, making sure you disclose your assets and they know exactly who's non-resident, whose resident, you know, their CGT they've levied against that. All these sorts of things, you know, if the finance is harder to get than non-residents, okay.
So, a lot of changes, but this is not just the UK government doing, look at the Singapore government. They've just put in additional cooling measures, additional now. If you understand the cooling measures that are there, if you're a non-resident, you can expect to pay I think it's about 15%, or 12%, or 15% now tax. And you're probably gonna have to put in about 60% of the value of the property as a deposit in costs, okay, which is pretty huge, you know? Considering, you know, these are pretty, you know, screwing down the market really well. You know, Canada doing similar things, but they're talking about, you know, capital gains, Terrance tax.
Australia has just made it virtually, well, I mean, they're even attacking the Australian non-residents, so people like myself who, and I'm an Aussie, I've seen myself as an Aussie, but now buying in Australia, I'm actually losing, it's gonna cost me more in tax basically, you know, losing entitlements, you know. And if you're not even Australian, well, it's even worse, okay? So, a lot of changes are happening the worldwide, and this is across the world. All governments are looking at how they can just keep the house prices down, you know, get the benefit to the actual people living there, and exclude or make more money out of the people who want to invest there.
So, where do you invest, you know? Well, realistically, I mean, the UK is still pretty damn good. Even with all these changes so far, you know, there are still huge opportunities in the UK. The market is robust, there are lots of changes, but I think you've got to buy in the right areas, you know. More and more nowadays, these things, you have to, have to, have to think about where are the best fundamentals, not the best deals. Because the deals, for me, unfortunately, you know, they're not washing out in the long term. It may look like a good deal, I'm not sure it is.
So, two more articles. Well, the first one, Europeans back into UK property. Now, this is good news for London, and let me explain why it's good news for London. This is all about...so basically [inaudible 00:05:39] and research, they're done a looking at. Which is saying that you know, the prime areas, Prime Central London, okay, this is where the lead's out. So, we've seen some drops, and we have seen some big drops over the last few years in that Prime Central London, it seems to now be evening out.
Now, that's good news for London because what happens is the rest of London will follow, okay? Now, I'm not saying it's gonna be, you know, this week, next week, blah, blah, blah, but it will happen, you know, and it's going in that direction. So, you know, it may be 6 months, it may be 12 months, but it doesn't seem to be continually in a drop, drop, drop. And that's good, okay? London always astounds, you know? So, if you've been not going into London, avoiding London because you think there's gonna be 10 years ruin, it's just not going to be. It is still the best fundamentals on earth as far as I'm concerned.
Finally, Brexit. I always love to finish on Brexit. That Brexit is a dog's dinner as well. May has cut short her holiday, she's basically going direct to the European leaders. And her, and her delegates, and all that sort of stuff are going direct, they're avoiding the Commission, you know, Barnier. So, rather than deal with him, they're trying to go here and put pressure. So, they put pressure on the EU because let's face it, you know, a no-deal is a bad thing, all right?
Now, before we look at that, I thought I'd show you this stat, you know. And lots of these things coming out, there are lots to talk about how pretty much young people don't want it, old people want it. If there was another vote now, it would be about 54% against leaving the EU. Who knows, those polls, I don't know. The reality is, you know, they're still going, they're still dogs mincing it everywhere, you know, it's just... You could almost write a book, and maybe that's what we should do, on how not to manage Brexit.
I think for May, Theresa May, I think that you know, she's in her final days. I really don't see how she's gonna do it, I really don't see unless she pulls something out of the bag, but I just don't think she's... She's got no charisma. And really, I've not seen anything, anytime, anywhere, while she's been Prime Minister, where I go, "You know what, I'm impressed with that," I just don't see it.
Can't control your environment all the time. Hey
Look, the final point here with Brexit is this, is, you know, that no-deal is getting more and more likely. I think, you know, I just can't see... I think it's gonna damage us, it's gonna damage the EU. And I think what it's gonna do is damage both of them on the world stage. Do I think it will happen, I really don't know. And this is the thing, I don't think anyone knows. There are lots and lots of column inches coming out in the media about it, I just don't know and I don't think anyone does. And I really don't think we want it.
We'll see what happens after, you know, the summer holidays are over, almost over. May, I think, if she doesn't start to produce some serious results, I think she may be on the out. But then, again, you know, who knows? She's a bit of a fighter and maybe she just won't leave, which will cause even more damage, you know? We'll see. But certainly, no-deal is being searched the greatest on YouTube, you know, that's something, but on Google... Look, guys, have a great day, and we'll see you next week.