DOHA: The UK property markets are predicted to benefit from a landslide of rising momentum, with the largest cumulative growth forecast to take place in the capital, as Prime Central London areas are set to out-perform other mainstream UK markets. Prime Central London prices are expected to rise by 18 percent over the coming five years, forecasts Knight Frank, with the East and South East of England close behind with an expected price growth of 17 percent by the end of 2024.
Gulf-based investors and owners of London and UK property have benefitted since mid-2016 from the attractive Pound Sterling exchange rates on US Dollar pegged currencies, including GCC currencies. The recent landslide victory for the Conservative Party in the UK election is expected to see a release of restrained demand for prospective purchasers, including many from the Gulf region, which should provide a boost to UK property prices. In particular, in the Prime Central London areas surrounding Hyde Park and the River Thames – locations well-known to many Gulf nationals.
The growth is not isolated in London however; Knight Frank predicts mainstream UK prices to climb by an average of 15 percent, while Greater London properties will see a slightly lower growth of around 13 percent.
Henry Faun, Partner, Head of London International Projects Sales, Mena commented : “The escalating prices will be underpinned by a more positive outlook on the UK economy over the next five years. Gulf buyers of London property looking to benefit from the attractive market conditions and currency discount will need to move quickly to take advantage of the favourable market conditions before the currency play erodes”.
Henry added: “Prospective buyers should also consider the prospect of Stamp Duty Tax changes and rising interest rates, as the potential to reduce returns. Seeking advice from advisors is key when making decisions on London and UK real estate, as we enter this transition period in 2020.”
Source from: The Peninsula