08 Aug 08.08.2016 Chinese Investors take advantage of currency drop to buy UK property – 40% increase in investor interest
08.08.2016 Chinese Investors take advantage of currency drop to buy UK property – 40% increase in investor interest
In the eyes of economists, the Brexit is undoubtedly an economic disaster, but with the troubles in Europe after the referendum, it gradually subsided. The sharp depreciation of the pound seems to be gradually transforming into an advantage. According to Reuters reports, Juwai, China’s biggest international property portal, said the number of Chinese buyer inquiries into UK property during June 20 to July 11 was 40% higher than average. This is indicating that China’s high net worth customers now have renewed their interest in the UK property market. Sharp depreciation of sterling is obviously changing the mentality of the investors and play an important role, as it provides an opportunity to buy at a discount just like sterling-denominated assets for foreign capital. Bernie Morris, head of Juwai’s EMEA division, said: with the new cabinet team taking over the office, the British domestic political situation is gradually returning to stability, and now the UK property market has been no different than before. It is still a low risk investment tool, but the prices are a lot cheaper due to pound drop.
Josephine Chung , Svetlova LLP (44)7794366967