Weak pound drives investment in UK property
Weakness in the pound exchange rate has "driven overseas buyer demand" in UK property, according to Lang Jones La Salle.
The international property firm stated that the UK property market is slowly recovering and after 2011 strong growth is predicted of 6% per annum.
James Thomas, head of residential development and investment at Jones Lang LaSalle, said: "Whilst there is evidence to suggest the UK economy is in recovery mode there remain question marks about the depth and sustainability...[these factors include] a weak pound, which has driven overseas buyer demand."
He added that after 2011 "an improving economy [will] force increased housing demand to come face to face with restricted supply".
The 2010 general election and the increase of VAT back to 17.5% in January are both factors which are expected to have an effect on the property market next year.
This suggests that those looking for a long-term investment would do well to purchase off-plan property while prices are low and wait for the value to accumulate.
Visit our off-plan property UK page.
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