Further increases in the value of residential property in London have been recorded in the Knight Frank Prime Central London Index, with the firm attributing this to the uncertainty in the eurozone and the wider global economy. According to the organisation, prices climbed by 0.6 per cent during September, with annual growth standing at 11.4 per cent so far in 2011. Meanwhile, the number of transactions at the luxury end of the market has been steadily increasing, with exchanges rising by 38 per cent year-on-year.
Liam Bailey, head of residential research at Knight Frank, stated: "The role of London property acting as a safe haven investment in periods of economic turbulence has been confirmed by the fact that the recent growth in purchases has been overwhelmingly driven by international buyers." He added that the number of properties coming on to the market has also increased, but demand has kept pace while price rises have not deterred investors.
Estate agency WA Ellis recently noted that it has seen an influx in foreign buyers looking to acquire property on the London market, with a significant jump in the number of Greeks searching for real estate in the UK capital. Russians, Indians and Chinese investors are some of the most active in the sector at present, the firm commented.
- Thursday 29 September 2011