Brexit opportunity for Turkish investors, Brexit investment opportunity, London investment opportunity, Brexit opportunity, London investment opportunities
While the Brexit process, which will enable the UK to leave the European Union, is coming to an end, London remains a center of attraction for those who want to invest in real estate, despite the current stagnation.
Underlining the fact that London is a center of attraction for investment, the experts noted that the city is preferred for real estate investment because of its ever-growing economy, global financial center position and being one of the leading choices for international students.
STILL A SAFE PORT
According to expert comments in the last 20 years in London, real estate values have increased sixfold. In London, house prices remained in a steady upward trend until 2014. The British government raised three additional taxes to the second households by raising the Real Estate Stamp Tax (SDLT) to curb this rise. With the Brexit decision following this process, economic and political uncertainties caused local investors to lose their real estate investments in London and caused a wait-and-see periods, while it did not constitute an obstacle for investors from abroad, especially from China and the Middle East. They continue to invest in London. For this reason, London is still a safe harbor for investors.
THE HOUSE FOR CHILDREN
Since England is an important country of choice for international students, parents may choose to buy homes for their children in cities such as London, Oxford and Cambridge. From Turkey, the families who buy houses in London is not only seen as an investment tool, but also a ‘second home’ they can live. Especially the children of the investor families continue their high school and university education in the Queen’s city. In this context, families choose to buy a house instead of paying rent during their children’s education. Generally, those who think about investing in high figures have started working next to the completed projects and they are also interested in the projects which are paid when the turn-key is delivered by depositing the pre-payment (usually 10-20% of the value of the property). This investment diversity in the country also contributes to the increase of the investor profile.
BREXIT MAY BE AN ADVANTAGEOUS OPPORTUNITY
It is not argued that Britain has lost its value against the other currencies when Britain decided to leave the European Union. However, the average parity of USD-GBP for the last 30 years is 1.60, while the current parity is around 1.30. Therefore, investors may be advantageous in the Brexit process.
On the other hand, although difficult for citizens in Turkey’s hand in exchange rates increased the number of those who take part in the London area.
However, it’s not clear whether it’s going to be a deal. As an alternative to the re-referendum seen in Brexit’ye giving up on the agenda. One of the main agenda items of the Labor Party was the referendum.
As a result of the exit from Brexit without an agreement, the British Pound is expected to lose further against other currencies and also expect a decline in real estate values. Turkish investors who will invest in London will have a more advantageous position due to the parity. But it seems that England will be able to quickly overcome the effects of Brexit and turn back positive.
We can say that the investment infrastructure offered by London, which is a center of attraction for investors from all over the world, is very strong. Stability in prices is not expected to last long.
Current market conditions are very positive for investors. For London, it’s time to invest.
It was not possible to get discounts from the projects in London before the Brexit.