Rise in Chinese interest in UK property as the pound falls.

There has been a notable rise in Chinese interest in UK property post Brexit. The Pound has fallen to it’s lowest point in 30 years & Investors from China are surging into the UK property market.  The fall in the pound has created opportunities for discounted property investments said Chinese portal juwai.com said on Monday. There has been a rise in the number of Chinese property enquiries for UK property. Both residential and commercial have been 30-40% higher than average per week since the referendum. This release indicates a return to the market for a number of investors from the region. Chinese investors previously shelved plans to buy in the UK in the lead up to the referendum. Uncertainty led to many investors putting plans to buy UK property on hold. “With politics stabilizing and a competent new government in place, the UK looks like the same old safe haven as ever – but cheaper,” said Bernie Morris, president of the UK, Europe and Middle East for juwai.com. The four weeks post the announcement of “Brexit” were among the five strongest weeks of enquiries for the British market this year. Additionally, this rise in enquiries is being echoed by data released by Her Majesty’s Revenue and customs;. recorded sales of UK property have risen 4.9 per cent despite uncertainty following the referendum from May to June. There has been a slightly higher fall in house prices, which is usually 0.4% due to the summer holiday period, this year was recorded 0.9% drop, showing the resilience of the UK property market.

There is a Rise in Chinese interest in UK Property

Up to half of Chinese investors decided to pause their planned investment into the UK property market before the June 23 vote, suggest recent estimates. The uncertainty due to the election muted many buyers. The stability in the leadership race, has eased some concerns. Thereofre this has been part of the driving force in the  rise in Chinese interest in UK property. “With politics stabilizing and a competent new government in place, the UK looks like the same old safe haven as ever; but cheaper,” said Bernie Morris, president of the UK, Europe and Middle East for juwai.com. What’s more, the fall in the value of sterling against the dollar and yuan has effectively made UK property cheaper for the Chinese and international market. Consequently, this has also been a catalyst for the rise in Chinese interest in UK property. Sterling has lost 8% against the dollar GBP and 6% against the yuan GBPCNY over the four-week period. However, sentiment for the commercial property sector remains less positive. Investment demand for British commercial property dropped by the largest amount on record after the EU vote; according to a RICS survey. Over the past few years, Chinese investors have been among the biggest foreign buyers of British property; snapping up everything from opulent homes to iconic commercial property. Read More: Demand for UK Property Rises but demand for London drops UK Property Market Resilient After Brexit Announced