Searches from overseas buyers on property portal Placebuzz amounted to 6.2% of all activity during the first three months of 2019, compared to 3.6% in January to March 2016.
Original article published by Buy Association (Kaylene Isherwood), 25/05/2019
Since the UK voted to leave the EU in June 2016, there has been marked growth in overseas buyers showing interest in the UK property market. Overseas buyers and investors are looking to capitalise on the weak pound (GBP£) and softening prices amidst the continued uncertainty surrounding Brexit.
Neil Tillott, business director of Placebuzz, commented: "Foreign buyers view the impact of Brexit on house prices and the value of sterling as a rare opportunity to buy into the market at favourable prices, with a long-term view".
US Investors Lead the Way
According to Placebuzz, the most searches from overseas buyers are coming from those in the US. During the first quarter of 2019, nearly 50,000 searches were made by US investors and home hunters.
Buyers from Spain, Ireland, Australia, and South Africa followed the US, showing there's a global interest in the UK property market.
"With sterling currently worth around 12% less against the dollar (USD$) than pre-referendum, buying UK property is a very shrewd move for foreign investors looking to secure a bargain," Neil Tillott stated.
Overseas Investors Show Interest in Regional Cities
On the Placebuzz portal, overseas buyers and investors are searching for properties in Birmingham and Glasgow the most, revealing many are putting a focus on buying property in regional cities. London is the third most sought-after location and Manchester follows the capital. Overseas flights to and from Manchester have boosted interest in the city's property market. Direct flights connecting the city with Asia and the Far East have made it easier for potential investors, tourists, and students to reach the city.
Regional cities are likely to see continued interest from overseas investors as many of the locations have more affordable property prices and higher yields than London.