What's the future of London with the ridiculous house prices?

caronoel

brit1234 wrote: »

Both sales of large expensive houses and luxury investor flats are drying up. The big London central house sales were drying up 9 months ago with stamp duty changes, sanctions and the money already here or being moved else where better value. The outer area luxury flats drop in sales is far more recent in the last few months with far east money controls, weakening currency and economic turbulence.

Sentiment is changing, new stamp duty changes in 5 weeks and removal of landlord tax subsidies in 2017 will dent demand and increase supply. %0,000 flats with no one buying will reduce prices, in addition foriegn investors selling up as they are will also increase supply and drop prices.

If the foreign demand was enough to cause price ripples going out through London surly it can go the other way if demand drops off the cliff. Remember there are Chinese investors who have reserved flat blocks in outer towns like Reading, if they are defaulting/pulling out in London I can't see them not doing the same in the outer towns especially when they have been mislead about areas and transport links/times.

Watch this space.

Meanwhile, in the real world, London house prices roar away with 13.9% inflation
http://www.bbc.co.uk/news/business-35668150

westernpromise

One really does wonder where Brit gets his view of the world from.