Buying property in London stays hot for Indians despite Brexit
Due to Brexit, property prices in London and its suburbs have witnessed 25-30 per cent correction in the last two years, which is attracting Indian real estate investors.
On account of Brexit taking its toll on the London real estate prices by 25-30 per cent, big Malaysian Property scandal hitting the Malaysian real estate property prices and hospitality industry of Dubai still being a prominent destination to invest in, Indian real estate investors have started to move towards London, Malaysia and Dubai realty market. The industry insiders say the move is gaining momentum and the major cause for this rise in momentum is Indian realty market witnessing a dull moment for around four to five years.
Speaking on the development in Indian realty Mona Jalota, Founder & MD, Krypton Global Investments told Zee Business Online, "London continues to be the most favored market for Indians to put their money in. Despite Brexit, Indians still prefer London as a suitable region to settle down. They see Brexit as an opportunity rather than a challenge and we continue to see London be very popular among Indian investors. South-east Asia is also catching up fast, for instance, Malaysia is creating a big buzz within the Indian market because of its booming economy, its capital appreciation, etc." She went on to add that post-Malaysian property scandal, things have not become extremely efficient in Malaysia. So, London and Malaysia are definitely the two markets that Indians are looking at this year.
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Speaking on the category of investors moving towards overseas market from Indian real estate Ankur Dhawan, Chief Investment Officer at PropTiger said, "The investors moving out of India due to the conservative return in the Indian real estate market are mostly from the ultra HNI investors. They are moving into London and its suburbs as Brexit has forced the London real estate property prices to witness around 25 per cent to 30 per cent, depending upon the location of the property." However, he said that Dubai is also a hot buzz among those investors as the hospitality industry in Dubai has always been a fascinating avenue to invest.
Asked about the sectors these investors prefer to invest Ankur Dhawan of PropTiger said, "These investors mainly invest in commercial property as it's yield is quite high if compared with the residential property."
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