Impact on Chinese buyers in the UK
Referendum Asian impact on china
Referendum Asian impact on Chinese buyers in the UK
Not only does a weaker pound make for enticing investment opportunities, the UK has always offered appealing lifestyle factors that will continue to be strong basis for Chinese to invest in UK property.
In 2012, Chinese investors reportedly bought 5% of all Central London properties sold – that same year Hurun Report ranked the UK among the top five travel locations for Chinese high-net-worth individuals.
Now, in the first two months of 2016, Chinese invested £560.3 million (US$792 million) in London-based commercial property – equal to 40% of the total of £1.2 billion (US$1.69 billion) recorded for the whole of 2015.3 Numbers like that have surely made industry experts fairly confident about forecasts that Chinese investment in London alone will exceed that of 2015.
Chinese buyers are not expected to be negatively impacted by Brexit.
The Brexit Survey that has been conducted, which sourced the opinions of industry experts and investors in both the UK and China, unveiled that most respondents believed the Brexit impact would be insignificant in terms of Chinese property investment in the UK.
In fact, although UK respondents were more uncertain, China respondents indicated that – despite some holding back from transactions until after the vote – international demand for UK property was expected to increase no matter the outcome.
We believe that an increased volume of buyers should and will take into account the currency fluctuations and purchase within the UK market within the next few months.
LLNH is launching new developments across Asia, Dubai and China in the coming months with exciting developments in London and other major cities across the UK. For more information please contact our offices.