Follow Us:
Saturday, July 02, 2022

UK: Foreign investors eyeing property amid post-Brexit price-fall

While there may be a "wait and see" approach for some, ambitious foreign investors are on the hunt for bargains while the exchange rate is so low owing to the fall of the Sterling Pound against the Dollar.

By: AFP | Hong Kong |
Updated: June 26, 2016 2:53:09 pm
Brexit, brexit fallout, british exit, leave, leave wins, sterling pound, british markets, british property, brexit effect, EU, uk, uk news, world news A protester wrapped in the European Union flag in London on Saturday. AP

With property prices in Britain predicted to plummet post-Brexit, foreign investors, especially in Asia, are already poised for a buying spree.

It is an ironic twist to the shock referendum result -many who opted to leave the European Union saw their vote as a deterrent to outsiders looking to take advantage of economic opportunities in Britain.

The aftermath of Thursday’s vote to leave the EU saw the resignation of British Prime Minister David Cameron and the collapse of the pound to a 31-year low. There was pandemonium on currency, equity and oil markets.


Best of Express Premium
Women’s emancipation or population control? Why abortion was legalised in...Premium
Udaipur killing on video | ‘Do something spectacular’: Man from Pak told ...Premium
In village of fauji dreams, second thoughts, insecurity over AgnipathPremium
Delhi HC recently struck down powers of Banks Board Bureau; new body to s...Premium

Watch Video: What’s making news

At around 2100 GMT Friday, sterling was down about 8.8 percent against the dollar compared with Thursday night, and foreign exchange experts predicted more weakness ahead.

Property prices are also expected to take a hit, with reports of buyers pulling out of transactions due to market uncertainty.

But while there may be a “wait and see” approach for some, ambitious foreign investors are on the hunt for bargains while the exchange rate is so low.

“Several of my opportunistic investors have said we really ought to think about this seriously, and to think whether we should take advantage of this new window in the market,” said Nicholas Brooke, chairman of professional property services for the Royal Institution of Chartered Surveyors, “Anyone who’s not dealing in sterling would see an opportunity.”

Brooke, whose firm plays an advisory role for prospective buyers, said while many clients remained cautious, some in Hong Kong and China with “substantial” investment capabilities had voiced interest.

London-based international property agent Knight Frank also said foreign investors would be wary as they assessed the full impact of the Brexit fallout, but the drop in the pound would mean their buying power would “increase significantly”.

Interest would be especially strong from China, Hong Kong and Singapore, — where investors have a long history of buying up property in Britain, especially London, the firm’s Asia-Pacific specialist Nicholas Holt said.

Besides established investors into Britain, some areas might see new blood join the fray.

JLL predicts more buyers from India, which is already an established source of property investment into Britain.

“It is very likely that many more Indians will seek to invest there,” said Anuj Puri, JLL chairman and country head for India.

UPSC KEY Have you seen our section dedicated to helping USPC aspirants decode daily news in the context of their exams?

📣 Join our Telegram channel (The Indian Express) for the latest news and updates

For all the latest World News, download Indian Express App.

  • Newsguard
  • The Indian Express website has been rated GREEN for its credibility and trustworthiness by Newsguard, a global service that rates news sources for their journalistic standards.
  • Newsguard
0 Comment(s) *
* The moderation of comments is automated and not cleared manually by