Private investors from the Middle East and elsewhere have spotted an opportunity in pre-referendum jitters affecting the London commercial property market — seizing the chance to buy landmark buildings while large institutions hold back.
More than half of homes being sold in London’s most expensive neighbourhoods are changing hands at discounts of 10 per cent or more off their initial asking prices as vendors are forced to adapt to a slowing market.
Global real estate has enjoyed two plentiful years — attracting $700bn in direct investment in 2015 and slightly more the year before, not far from the record $758bn achieved in 2007, according to the Chicago-based estate agency JLL.
Hedge fund managers are taking short positions against the biggest listed provider of luxury London homes in a bet that weakening emerging markets will put the once buoyant sector into reverse.
Looking for a desirable central London residence with bombproof front door and built-in memories of a former UK prime minister? If so, look no further: Margaret Thatcher’s home in Belgravia is on the market for £30m, three years after her death.
Sales of homes in London’s wealthiest districts partially rebounded in the last two months of 2015 as buyers rushed to beat additional stamp duty on second homes and buy-to-let properties.
The gap between house price growth in London and the rest of the UK looks set to narrow in 2016 following several years when the capital raced ahead of other regions.
The UK’s legions of private landlords face a fresh offensive from the chancellor in the form of a stamp duty surcharge on purchases of homes for rent.