Real estate agents in London’s prime property market have marked a spike in interest from wealthy Americans looking to relocate to the UK – particularly families – after Donald Trump’s successful Presidential election campaign.
Estate agents Cluttons has experienced a “noticeable uptick in demand” post-election, according to its head of London residential, Laura Dam Villena.
“The election result in America has caused quite a divide, encouraging buyers who have formerly been hesitant to look further afield for a new home,” Nicholas Gray, director at Native Land, added.
However, Gray points out that this is a continuation of a long-standing trend: A strong dollar, making houses here comparatively cheaper, as well as the world-famous calibre of schools in and near the capital, have made London an attractive destination for American immigrants for multiple years.
In 2022, North Americans invested more than Europeans in British property, at £40bn compared to £30.5bn, which is 31 per cent above the five-year average for US citizens, according to real estate firm Savills.
But if the trend was already there, the election has crystalised it – particularly for family homes and those looking to stay for the long-term.
Gray points to a development of high-end flats in Marylebone, 100 George St, where Americans account for around a third of new leads.
“The homes these buyers are looking for are typically the larger, lateral apartments that tend to be a favoured type as they cater to families.
“London has fantastic international schools, as well as a great further education system so relocating permanently as a family has become more and more attractive,” Gray said.
Budget has not put buyers off
Oddly, the UK government’s plans to raise VAT on private schools and abolish the non-dom regime, has not deterred would-be buyers.
The change reduced the tax bill of someone living in the UK whose permanent home is in another country.
It’s possible that the cheaper prices of high-end homes in the UK, due to both the strong dollar and a general dip in the price of prime property in the capital, has been enough to offset the financial disincentive of Reeves’ changes.
It is also expected, that if a glut of properties enters the market when non-doms sell up, lower prices will ripple down and make the proposition of moving more attractive.
Many non-doms have threatened to quit Britain and head to Dubai, Spain, Italy or Switzerland, amongst other destinations.
So, it’s time to get ready to hear more American voices on your weekly trip to the prime enclave of Hampstead Heath.