Despite fears of an unstable economic climate, London property remains a solid bet for foreign investors. The Brexit vote has particularly caught the attention of Chinese investors, as the drop in the Pound Sterling (GBP) means exchange rates have never been more favourable. But now Article 50 has been triggered, a degree of uncertainty surrounding the UK market has been removed, effectively meaning GBP may start to regain its strength. For that reason, now is the ideal time for a Chinese investor to purchase in the UK property market.
And whilst many investors are tempted by London, an iconic and secure location for Chinese investors, this isn’t the only place where there’s profit to be made. Many of the UK’s northern university towns offer large investment opportunities with high yields and great occupancy rates. Potential investors should consider looking further across the country to build a thriving UK investment portfolio.
Investors certainly shouldn’t be cowed by the logistics of purchasing in the UK. Borrowing in the UK can certainly be a challenge; many lenders are unwilling to lend to residents of mainland China, as there are restrictions on monies being transferred out of the country. Chinese investors may have no UK footprint, which can be another barrier to securing a loan. It’s also much more difficult for lenders to check supporting documents and complete due diligence checks, not to mention the language barrier.
Fortunately, Enness has a track record of working successfully with a lender who can accept original supporting documents in Chinese, saving you time and money. By working with a Chinese bank who has a UK presence, we’re able to support potential investors through the process with minimal hassle.
We also have an exclusive partnership with foreign exchange specialist, Argentex, who can protect you against exchange rate movements and offer significantly better rates than the banks and smaller brokers. If you’re from China and looking to invest in the UK, contact Enness today for a discussion on how we can help.