Purchasing real estate in England, especially in London, is one of the most attractive investment alternatives recently for both residents of the country and American, Asian, and European investors.
The real estate market is experiencing one of the most active periods, especially in London, with the increase in mortgage options and state aid, new housing projects, and the declining real estate prices after Brexit.
Rising residences in London, house ads in the newspapers and online, banks’ mortgage promotions, and free valuation calls are watched closely by real estate investors in Britain and around the world.
Although the stagnation and uncertainty caused by Brexit continue, interest in the real estate sector in the UK continues to increase day by day.
The numbers confirm the buoyancy of the UK real estate industry. According to the data of UK Finance covering the second quarter of the year; In London, 9,960 new mortgage deals for first-time homebuyers have been completed.
According to July 2019 data, 5,800 deals were made in the mortgage demands of investors who bought a house to rent, an increase of 5.5 percent compared to the previous year. The government’s “Help-to-Buy (Equity Loan)” program for first-time home buyers and banks’ attractive mortgage options keep demand alive.
In the three-year post-Brexit referendum, home demand in London continues to rise steadily. Those who want to buy a house by taking advantage of additional incentives and low-interest rates have already taken action to complete their purchases before the Brexit date.
Real Estate Companies Accelerate Their Investments:
The sales figures of construction companies also reveal the result of this activity concretely. According to the annual figures announced by Barratt, one of the largest construction companies in Britain; The company sold 17,856 new homes nationwide last year and made a profit of £910 million. The latest data from the National House Building Council shows that the applications of construction companies for new housing construction in the last three months are at the highest rate of the past 12 years.
The Galliard Group, London’s real estate investment company, has 6,905 houses under construction worth £3.95 billion under construction in London, and 10 thousand new houses are planned to be built.
The company, which allows the government’s “Help-to-Buy” contribution in some of its projects, invests in developing and future popular areas of London. It also encourages potential buyers to invest in houses they can rent.
In the south of London, many areas with easy access to the city such as Streatham, Clapham, Balham, Wimbledon, Greenwich and new residences built in the north such as Streatham, Paddington, Islington, Shoreditch continue to rise as evidence of real estate investments and purchase expectations.
TIPS FOR BUYING PROFITABLE REAL ESTATE:
A bunch of keys and a toy house standing on a pile of money on a blue background
Buying real estate in the UK, especially in London, is a very profitable investment. However, for this, it is necessary to buy the right house with the right purchasing method and economically at the right time.
In our file where we handle all aspects of real estate investment in the UK; They gave detailed information about different homeownership options, things to consider when choosing a house, mortgage opportunities and legal processes for Turkish citizens, Brexit, and future designs in the real estate market. Do not buy real estate without reading!
It’s Time to Buy a House!
One of the questions that those who decide to invest in the UK seek answers to is “When to buy a house?” On the island, where Brexit is the main agenda, sector representatives underline that insecurity in the economy is short-term:
İşbank London Branch Head of Retail & Personal Banking Ethem Berk Türköver said, “We observe that house prices for sale tend to decrease significantly in the environment of uncertainty created by the Brexit process. While the opportunity to find long-term and low-interest loans from banks for housing purchases still continue,
it seems logical to use the savings for a home purchase. This environment provides suitable opportunities to buy a house, especially for renters. Türköver states that they do not anticipate that house prices will enter an upward trend as long as the process remains uncertain.
Its Senior Partner Huseyin E. Huseyin states that every year more and more investors take action with the idea of investing in real estate in the UK and reach them, and Turkish investors have an important place among them.
“To get the maximum benefit from the investment, investors need to be aware of the UK real estate market conditions. Although the Brexit process in the UK has weakened investor confidence, the value of the real estate has been rising steadily in some regions and remains popular in general.
A recent study shows that 4 out of 5 property investors in Hong Kong, Dubai, and the UK still buy property in the UK and the UK is still an attractive real estate investment market. Also, thanks to the devaluation of the pound, the cost of purchasing in the UK has decreased for foreign investors, which encourages investors.”
“London Real Estate Market Is Currently A ‘Buyer’s Market’”
Emre Belge, General Manager of One London Property Group, draws attention to the fact that the UK housing market, which reached the highest price level in 2014, has been in a downward trend in the last five years, with the effect of Brexit and the change in stamp duty. The document said, “The real estate market, where there is a healthy balancing, also brings good opportunities to make purchases. “Since 2014, there seems to be a stabilization in the housing prices in central London, with a 10%-15% decline.”