Why invest in London?
The London property market is one of the most desirable markets in the world. and attracts investors from all corners of the world to buy property and invest in London.The UK’s capital is a brilliant place for investment. Here we look at the reasons why to invest in London. London is the financial, economic, and political center of the UK and a popular and lucrative option for property investment. London is the headquarters of some of the biggest banks, such as HSBC and Barclays in Canary Wharf and Lloyds banking group headquartered in the City of London. London is widely regarded as the best financial center of the world. Recently overtaking New York and topping Hong Kong and Singapore ranked 2nd, 3rd and 4th respectively.
Rising London property property prices
Property Prices in the UK have been rising rapidly in recent years and London property has been central within this rise. Investors have secured significant capital gains from the rising property prices. In 2015 Property Prices in the Borough of Newham, East London rose 22.2%, higher than any other area in the UK, according to research from the Halifax.
London is centrally located and has great transport locally and internationally.
London already boasts an extensive transport network. With outstanding connectivity, both on Land and Air. London Heathrow the busiest airport in Europe, over 73m passengers passed through in 2014. Gatwick and London City airports allow for convenient travel both locally and internationally. The Tube handles more than 4 Million passengers per day, and at peak time there can be up to 538 trains in transit through the city.
Crossrail and investment into London’s infrastructure
Cross rail is Europe’s Largest infrastructure project. Is a 118 km railway line under construction in London, which will link east to west London and reduce journey time into central areas. It is expected to begin full operation in 2019 with a new east-west route across Greater London, which will drastically improve the connectivity of the city are real driving factors which will help to increase London property prices. It is estimated that Around 200 million passengers will travel on Crossrail each year and the route will provide a 10% increase to rail capacity in London. This is forecast to have a large effect on house prices. Research suggests that properties in with shorter traveling time to central areas, employment hubs and attractions will command a higher property price. Now with the new Crossrail network slashing journey times into the city, property prices near to the new stations are predicted to rise faster than London average. This is another influential reason to invest in London. As new investment in London’s infrastructure continues, property prices in areas near to new stations are expected to see a sharp increase in value. Meaning that there are opportunities for investors. Now could be a great time to invest in London and benefit from the price rises.
Confidence and stability in the London property market
Confidence in London remains high, both economically and politically. Meaning buyers are feeling positive about the outlook and are comfortable to invest in London.London’s economy is based on strong fundamentals and has proven its ability to with stand economic shocks. London has lower yields than elsewhere in the country but this is a reflection of the lower risks attached with investing in the London property market. Investment in London residential property offers investors strong potential for to profit from the supply and demand imbalance. There is a shortage in supply of new homes being built and an ever increasing demand for rental property. The growing in disparity between the supply of housing stock and demand for it, coupled with the historic performance and stability of the London market makes now a great time to invest in London property.