Even more than the English themselves, Indians are among the group of people who possess the most real estate in London, the capital of the UK.
According to London-based residential developer Barratt London, the largest group of property owners in London are Indians, who are represented by those who have lived in the UK for generations, NRIs, investors from other countries, students, and families who travel to the UK for education.
English and Pakistani people are next in number. And these Indian investors, who reside in both the UK and India, are prepared to pay anything between GBP 290,000 and GBP 450,000 for a studio, one, two, or three-bedroom property in London.
“We are noticing a significant demand from Indian investors wishing to buy homes in London and make investments in the long-term, stable real estate market.
The majority of our goods are sold outside of London to UK residents who purchase the houses and occupy them, according to Stuart Leslie, the company’s international sales and marketing director. Pure investors account for almost 30% of our sales abroad at Barratt London in the capital (those who wish to use them as rental properties).
Reason behind preference
London is well-liked by Indian investors and homebuyers since it is a hub for finance and education and one of the major international entry points for investors.
Additionally, it makes sense for Indian homebuyers to look at the real estate market in London given that the cost per square foot is roughly comparable between London and Mumbai and that the two cities also share a similar legal framework, making transactions simpler.
“The market fundamentals, market confidence, as well as a history of Indians investing in homes in London, are the reasons why Indians feel at ease with purchasing real estate. Since of the current currency rates and market presence, they are ready to invest in the UK residential markets because they are receiving superior returns. Compared to the UAE or India, it is a relatively safer market.
In addition to being a “stable market” for residential real estate, the UK has advantages over other international prospective markets, such as good weather and quicker travel times. “There are a tonne of families and students that relocate to the UK for education, particularly from India. In only one year, the number of Indian students applying to UK colleges and universities has surged by 128%, according to Stuart Leslie. Overall, there are several reasons why Indians have traditionally opted to invest in the UK, including the country’s high-quality educational institutions, business-friendly environment, cosmopolitan mindset, language familiarity, and expanding investment prospects.
How much will a London property cost?
Currently, there is a demand for finished and nearly finished projects because “people are trying to move rapidly after the outbreak.” Barratt London’s common price range for real estate is between GBP 290,000 and GBP 450,000. “People typically connect tier-II or tier-III places with this pricing rather than the London market. This encourages individuals to purchase real estate in London rather than in the UK’s smaller cities, he added.