Luxury London Real Estate Draws Most Mideast Buyers in 4 Years

 

Buyers of prime Middle Eastern properties in central London hit a four-year high in the second half of 2022, according to property adviser Knight Frank LLP. and accounted for 11% of property deals in some of London’s most prestigious postcodes, just behind UK investors. Knight Frank said the last time Middle Eastern buyers accounted for a higher percentage of sales in the region was in 2015.

“Middle Eastern buyers have been able to travel to London relatively freely compared to some parts of the world and have benefited from the weaker pound. We have seen more than 40% discounts compared to 2014. Combined,” said Tom Bill, head of UK housing research at Knight Frank, in a statement. At its peak, Middle Eastern investors accounted for only 2.2% of all turnover in London’s major postcodes. Limit the effects of viruses.

After some initial restrictions, Middle Eastern countries like the United Arab Emirates have avoided drastic lockdowns around the world, relying instead on strict mask mandates and vaccinations.Governments against the pandemic ‘s quick response attracted visitors from all over the world looking to escape the curbs of their country. Part of the United Arab Emirates, Dubai is one of the fastest-adopting cities in the world.

Capital Inflows:

London has long attracted large amounts of foreign investment in the first half of 2022, attracting more capital inflows than any other city in the world, but interest rates have risen and as a result , facing real estate valuation uncertainty this year. of the political turmoil caused by the September mini-budget.

According to MSCI Wealthy families don’t think London is in a year or two. Henry Fawn, Head of Knight Frank’s Middle East Office, said.

“Investors are optimistic about the prospects for London. UAE clients I have spoken to believe this is a unique opportunity in the world right now and that they can bounce back strong as usual. Starting at £3.8m, the product has generated significant interest from buyers in the oil-rich Gulf region since it went on sale late last year, according to Knight Frank.

Originally published at https://businessdor.com on January 25, 2023.