Twitter Facebook RSS FEEDS

Overseas buyers dominate prime London new build

Tuesday, 7 February 2012 9:00 AM

The top end of London's new build residential sector is being driven almost exclusively by international buyers in what amounts to a £1.4bn export market, according to Savills.

The property firm says the capital's prime new build market now has more in common with Singapore and Hong Kong than the rest of the UK housing market.

Much of the overseas equity is being ploughed into off-plan sales prior to completion and is effectively forward-funding some of London's most exclusive development.

As recently as 2009, UK buyers accounted for three-quarters of the prime London new build market but by 2011 63 per cent of buyers were international. At the very top of the market, 88 per cent of new build sales over £5m were to overseas buyers.

The buyers, particularly in east of City markets, are dominated by Pacific Asians and Chinese. They made up 37 per cent of buyers in 2010 and 33 per cent in 2011 but just four per cent in 2009.

Yolande Barnes, director of residential research at Savills, said: "Wealthy individuals are likely to continue investing in overseas assets to safeguard their cash and provide themselves with an alternative living option, and while London retains its status as a leading global financial centre, its residential real estate will continue to be an asset class of choice."

Want to be the first to know when we break a story? on Twitter and subscribe to our free weekly newsletter.

Related stories

Overseas investment in London shows no signs of slowing.

Overseas investors shrug off higher stamp duty

Prime central London property still seen as good investment despite tax hike and double dip, says Cluttons.

 The last quarter saw a slip back for prime central London rents. Image:Thinkstock

Economic jitters hit high-end London rents

Prime central London rents fall by 0.9 per cent over last quarter as demand cools, says Savills.

In the market as a whole, new applicants were up 18 per cent but new instructions to sell rose only three per cent. Image:Thinkstock

Well-heeled buyers not put off by stamp duty rises

Prices for prime central London property rise another 1.1 per cent in April, says Knight Frank.

 Price increases were strongest for homes in the £1m to £2.5m bracket. Image:Thinkstock

No slowdown in prime central London market

Prices up 11.9 per cent in last 12 months and 42 per cent since post-Lehman Brothers low, says Knight Frank.

Knight Frank said price growth over the past year was especially strong in the £1m to £2.5m bracket. Image:Thinkstock

Prime London property prices see 2011 surge

Demand for expensive London property outstrips supply thanks to foreign investors.

Demand for accommodation is still rising, with new tenant registrations up 15 per cent

Prime London rents slow down at last

Small fall in October after 27 per cent rise in last two years, says Knight Frank.

Knightsbridge remains the most expensive area in London judged by size with an average price of £2,007 per square foot.

Top London property sees price divergence

Prices for top 10 per cent of prime central London property up 151 per cent in six years.

 Savills predict that the London property market is to become even more disconnected from the rest of the UK market.

Savills predict static housing market until 2016

The housing market is likely to stay static until 2016, at which point it will only have reached 2002 levels in real terms, say Savills.
Prime London property

Revealed: the UK cities outperforming London

Prime property in London is performing excellently – but average values are rising much faster in other UK cities. Find out where here.

 Concern over Italy's perilous financial position has encouraged many Italians to invest overseas. Image:Thinkstock

Italians are top prime central London buyers

Overseas demand set to underpin rise in prices of high-end property, says Knight Frank.

Search property

Headlines

Directory

Alaris

Alaris Logo
Alaris specialise in quality Bathrooms and Kitchens along with many other unique products for your home. The range of kitchens, kitchen worktops and bathrooms is extensive and the highest quality so you are sure to find what you want. New bathroom furniture, bathroom suites, taps, showers and cabinets are added regularly.

Bathrooms365

Bathrooms365 Logo
Bathroom365 supply all areas of your new bathroom - leading-edge designed bathroom suites, stylish bathroom taps and showers, all styles and forms of shower enclosures and a vast collection of bathroom furniture.

Fitmykitchen

Fitmykitchen Logo
Fitmykitchen are specialist suppliers of kitchen appliances, sink taps, waste bins and furniture. So whatever you want from kitchen sink taps to waste bins look no further than fitmykitchen, UK, the specialist suppliers of kitchen appliances, stainless steel sink taps, waste bins and kitchen furniture.

MyStampDuty

MyStampDuty Logo
We help people buying property all over the UK to minimise Stamp Duty Land Tax on residential and commercial property. If you are looking at purchasing a new home or business premises over £500,000, contact us today by completing the form on the right

Oak Furniture Land

Oak Furniture Land Logo
For hardwood furniture, including Solid Oak, Mango, Mahogany, Sheesham, Acacia, Ash and Birch, look no further than Oak Furniture Land.

Rated People

Rated People Logo
Whatever type of home improvement or garden remodelling project you have, Rated People can help you to identify the right tradesmen for the job in a way that is quick, easy, convenient and, as it is based on real-life recommendations, trustworthy.

Residential Land

Residential Land Logo
If you are looking for short or long term rentals in Central London, Residential Land have a portfolio of over 1200 flats and houses in the best postcodes across the Capital.

Simply Bedrooms

Simply Bedrooms Logo
Simply Bedrooms, a part of Sleepwell Bedrooms Ltd, supplying quality beds, wardrobes, sliding door wardrobes and bedroom furniture at low prices and great service, London and Home Counties Specialists.

Door Handles UK

Door Handles UK Logo
Door Handles UK is the UK's largest online range of Door Handle accessories, Door Hinges, Locks and Latches and so much more and all at genuine internet prices. We have a wide range of Chrome, Brass and Glass Crystal Mortice door knobs in both traditional and contemporary designs, whatever your taste and budget you will find a design to suit.

Woodlands Furniture

Woodlands Furniture Logo
We are an established family business situated in rural Herefordshire specialising in beautiful handcrafted classic reproduction furniture. Our comprehensive ranges are readily available from stock.

WowBBQ

WowBBQ Logo
Welcome to the World of Weber. We are the largest independent online Weber BBQ retailer in the United Kingdom. WOWbbq.co.uk is a Weber Partner Store and can give you the best advice for all your Weber BBQ needs.

Join our directory aboutproperty.co.uk

Twitter

Join the conversation at #aboutproperty

Directory articles

A guide to finding the right kitchen sink

When redesigning a kitchen or giving the room a makeover, it is important not to forget about the less obvious aspects of the space. Kitchen sinks are an essential fitting, but often overlooked, despite the fact there is a wide choice of styles available.

Useful tips to help find a flat in London

Looking for flats in London can be a frustrating process, given the capital's size, demand for rental accommodation and varying prices. It is vital, therefore, that you do plenty of research and act quickly to ensure you get the place that you want.

What do you need to consider when buying a mattress?

If you looking for a new mattress, you need to get the decision right, as getting it wrong could impact on your overall health and wellbeing. As well as comfort and size, you also need to consider other points, such as any health issues you may have.