Why Now?

March  2010

London prime property currently appears to be unaffected by the 'recession' and the 'credit crunch'.  It has made a quick rebound since 2008/2009 when the property values had declined by up to 22%.  The property values as reported by Halifax and NationWide House Price Indices   have been steadily increasing since Q3 of 2009.

The shortage of supply and the increased demand from foreign investors due to the decline of the British Pound has re-introduced 'gazumping' in the property world.  This basically means that properties have been sold to a last-minute high bidder after an offer has previously been accepted with another buyer.  The 'discounts' or 'lower prices' are enjoyed by foreign investors with the Euro and US Dollar advantage.

 March 2009

There has never been a better time to invest in a London property. In fact experts are calling this the buying opportunity of a lifetime. In the last 10 years UK real estate, with a special focus on London, has seen a rapid boom in property value to the extent that in recent years it has been almost impossible for new investors to penetrate the property ladder whether in new builds or existing real estate.

The current global financial crisis is forcing down prime property values in the capital and around the UK opening up new opportunities to investors. According to the Nationwide House Price Index (December 2008), the UK has seen a 15.9% decline in the average house price with a –16.5% decline in the London area as per the Halifax House Price Index (December 2008). In Central London, the average price of a prime location flat has fallen by 22% since November 2007 (source: Mouseprice.co.uk).

Uncertainty in the financial markets has created tremendous opportunities for overseas investors looking to secure a prime London investment property as UK house prices are an additional 30% cheaper in US Dollar terms, owing to the weakness of the British Pound as well as an additional 30% cheaper in Euro terms.

The credit crunch has also disabled a large percentage of first time home Buying Agents from securing mortgages. While many of these young professionals earn a secure and steady income they are considered high risk by mortgage lenders due to their short or lack of credit history. This situation although leading to fewer local home purchases has increased the percentage of population looking for rentals. Another positive and encouraging statistic for investors.

Rich investors opt for top-end London. Prime real estate demand in London is rising, as the world's top-notch individuals are looking for safer heavens. Real Estate investment being a transparent and more straightforward investment, it is a popular investment option among the high net worth individuals. Reports revealed 4% increase on real estate investment than in 2008.

Prime central location in London includes - Mayfair, Marylebone, St. John's Wood, Regent's Park, Kensington, Notting hill, Hampstead, Belgravia and the South Bank.