London property becomes cheaper for foreign investors
London properties have become cheaper for foreign investors since the EU referendum according to research by estate agent Benham and Reeves.
Buying property in London has become 5.84% cheaper in euros, 4,37% cheaper in US dollars and 1.52% cheaper in Chinese yuan compared to 2016.
Buying property in the UK on average however is 1.37% more expensive in euros and 2.96% more in US dollars than in 2016.
Marc von Grundherr, Director of Benham and Reeves, said: “Despite the consistent doom and gloom surrounding the London property market, prices have remained robust and while growth has slowed, we are yet
to see any collapse in the value of bricks and mortar within the capital.
“Not only has the market weathered the storm, but due to the fluctuation in currency, many foreign investors are currently able to buy at a more attractive price then they would have three years ago.
“Undoubtedly, a shaky pre-Brexit ‘deal or no deal’ sentiment has led to currency traders downgrading sterling and that’s seen as a negative by most economists and media commentators.
“But if you’re a canny property investor from the US or, ironically, Europe, then now is statistically the wisest time to buy in a long time.
“If you subscribe to the belief that the UK will see a ‘post-Brexit bounce in investor and consumer optimism, it’s clear that actually, there may never be a better time to pursue a London property purchase.”
Benham and Reeves looked at the cost of buying across London and the UK in each respective currency in 2016 before looking at how this cost has changed in present day.
The research took into account both the change in property values and the fluctuating currency.