There may be some good news for first time home buyers in London and other large UK cities. It has for many years been a bone of contention that foreign investors, mainly from the oil rich Middle East, China, and Russia, are manipulating the UK property market. Buying up luxury homes and blocks of flats, they deliberately keep them empty, waiting as the purchase and rental prices creep inextricably upwards.
Now, the new London mayor, Sadiq Khan has said he intends to bring in legislation which will make it harder for these foreign investors to continue in the same vein. Should his plans come to fruition they may help cool down the London property price market, which in turn should help those trying to get a foothold on London’s property ladder.
Even so, today there are still areas in London where new buyers have a decent chance of buying their first home, if they are prepared to broaden their horizons on area.
Areas such as Bexley, Barking, and Newham have experienced a drop in property prices of up to 10%. While Greenwich, Hounslow, and Bromley are seeing slower price increases than other areas. Croydon is another excellent area to look into. With a brand new Westfield shopping centre in the pipeline and a refurbished train station, now is the time to buy while homes here, and in other areas mentioned, are still available for between 100,000 and 150,000GBP.
Finally, for first time buyers, and others experiencing problems with the main high street lenders who require large deposits, there are other financial institutions available who can offer funds to help with property purchase throughout the London area and beyond.