International property buyers take advantage of weak pound

With the pound plummeting post-Brexit, foreign investors are cashing in on luxury properties at a lower price in the UK.

Overseas buyers can save around 10% of the cost of a property worth £1m, according to report by The Guardian.

The pound rose to $1.50 on the day of the vote, in the hopes the UK would remain in the EU. On Thursday the value of the pound was $1.29, the lowest it’s been since 1985.

Head of commercial development Mark Cleverly at property consultancy Arcadis, said their family offices, that cater to wealthy clients, have been “pretty active” in the market.

A buyer from China was able to buy a £1m property for £112,245 on Tuesday, according to Cleverly. Similarly a buyer from the US could save up to 11% or £102,740.

He said this rise in foreign interest will provide a much needed boost for the UK construction sector given that many residential projects were put on hold since the leave vote. Developers may be suspending work in order to wait to see if construction costs will fall.

“More buyers means a more buoyant market, which can only be good news for the industry,” said Cleverly.