There is a huge influx of international buyer is willing to blind purchase properties in prime London to acquire at bottom of market pricing.
London Central portfolio, a London based real estate investment firm, has reported that 22% of acquisitions this year were bought and seen by overseas investors with many still recognising the capital as a ‘go to’ destination.
There are 4 significant calls to action which shouldn’t be overlooked:
- Stamp duty holiday ending March 2021
- 2% surcharge for overseas buyers in April
- Attractive sterling exchange rate
- Current discounted prices in the market compared to 2016 peak.
This unique buying environment has also resulted in a strong demand for family offices and investors looking to invest at scale, some acquiring large blocks of flats preferably with the opportunity to add value to maximise their returns.
London continues to be viewed as a safe haven asset class benefiting from the new rule of law, GMT time zone, prestigious educational establishments, a global business language and liberal culture. Purchases made via virtual viewings and evidence of pent-up demand, 2021 may well see the beginning of a rally in prime London similar to post global financial crisis, where prices increased by 61% between March 2009 in September 2012.
*Content coursety of Property Reporter*