The coronation of Rishi Sunak as the new Prime Minister has been broadly welcomed by much of the property establishment but there’s a warning that he will not stop house prices falling this year, says one expert.

Jonathan Rolande, representing the Nation al Association of Property Buyers, says: “I think the news that Rishi Sunak is going to be Prime Minister will be widely welcomed by people working across the property sector. As Chancellor, Mr Sunak demonstrated he could navigate the economy through what were some of the biggest challenges this country has ever faced. 

“So there will be confidence and a sense of assurance that he has been picked to lead the country.” 

However, Rolande warns: “Mr Sunak isn’t a magician. He can’t wave a magic wand and sort out all the problems which exist in the economy, and he certainly can’t ensure house prices won’t fall.

“The likelihood is they will fall in many regions over the months ahead. But I believe the economic markets will respond favourably to his appointment and the risk of a dramatic fall in house prices is now far less likely as a result. 

“Of the three candidates, Mr Sunak feels like the unity choice. Had Boris Johnson or Penny Mordaunt won the race then it was likely to have created more disunity and more disruption. 

“Right now we need stability in our leadership as this will have a knock on impact across other areas of the economy – including the property market. 

“I hope Mr Sunak works alongside Jeremy Hunt to now deliver a set of budgetary measures that help take us through what will undoubtedly be a really difficult period. And I hope whoever Mr Sunak appoints as Housing Minister is tasked with tackling the crisis we have in housing supply and coming up with solutions as to how we can fix it.”