By Staff writer
IP Global says 'Brexit discount' will be relatively short window of opportunity for regional buyers
A strong US dollar, the result of political and economic uncertainty, has created a sweet spot for Middle East investors looking to buy property in the UK, according to IP Global.
The international property investment firm's latest Global Real Estate Outlook report highlights London and Manchester as cities that show great potential for investors due in large part to the Brexit vote.
Post Brexit, the currency situation makes it cheaper for dollar-pegged Middle East investors to buy assets in the UK and Europe.
Data from IP Global shows that US dollar-pegged Middle East investors who purchased a £350,000 property in the UK on September 11 would have saved over $50,000 had they made the same purchase just before the Brexit vote result was announced.
Richard Bradstock, director and head of IP Global, Middle East, said: "Now is the right time to take advantage of the Brexit currency opportunity to tap into the medium and long term potential of the UK market as well as European cities such as Berlin.
"Asian investors have been quick to jump on this opportunity already. Last month, Juwai, China's biggest international property portal, reported that buyer enquiries into UK property were up by 40 percent.
"While the 'safe haven' element is likely to remain a permanent fixture, the FX market will bounce back in time. That's why we see this 'Brexit discount' as a relatively short window of opportunity to buyers looking to invest in the UK and Europe."