3 Huge Reasons Why Investors Need Expert Advice Before Investing in London Property

London, the British Capital, is losing its grip among investors. According to a report by the buy2let shop property investment agents in London, over 3, 00,000 investors have bid adieu to the British capital in 2017. Now they are exploring other possible options in UK for affordable property investment. This number is definitely alarming! But why property investors no longer want to invest in London property? This is a serious question. Let’s now take a look at the reasons below: 

Sky High Property Prices:

London property market severely underwent Brexit shockwave in 2017. Its impacts brought house prices down to some extent. However, property prices in London are still too high for many investors. According to property investment agents in London, home buyers want to make the most of the property investment opportunities offering better returns in other parts of UK. This could affect their investment to some extent.

Many London councils are not finding its easy to afford in residential properties for rehousing families requiring residence. A lot of them are investing in Local London properties in UK. These properties are very expensive and no one can easily afford to pay their current prices.  This is why a lot of people are being rehoused out of London. This is also forcing investors to think about their financial interests. Market experts see this trend continue for a very long time.

London House Prices are Squeezing:

The average price of residential properties in all parts of UK except for London is around £225,000. Now you look at the average price of houses in London which is around £483,000. This is way more than the double of average house price in rest of the UK. This is what is making investing in London property, UK more difficult for buyers. This tells everything about the problem perfectly.

Moreover, over 4000 Londoners have put their properties at auctions for sale. They want to have cash in their pocket. This situation is attracting a lot new investors. They are competing fiercely against each other for purchasing those properties. For this purpose, they are constantly pushing the prices up. This is why property investment in London, UK is turning out to be a herculean task for many investors. This is why investors are losing their interest in London.

Requirement of Increase in Investment Power:

House buyers hailing from London itself are nowadays leaving the capital. They want to invest in places outside London that are less expensive. As for reason, they now want more returns on less investment. Thanks to the high spending power of home buyer hailing from London. This is what is going to continue this trend for a long time to come even outside London. There is not much London authorizes can do much about it. But London property market needs to reflect on supply and demand of residential properties.

Final Words:

As a lot of investors have already moved out of London for better returns with less investment, Local London Authorities need to figure out a strategy to find a solution to this problem.

In case you are thinking about property investment in London, UK and need advice in this regard, we are only a phone call away!

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