Gulf investors rush to snap up real estate in ‘safe haven’ London

UAE buyers are flocking to the London property market as the UK records its highest ever sales.

The British capital is attracting Dubai buyers who are looking for a second home to diversify their investments, according to experts.

UK property site Rightmove recorded more than £37 billion ($49 billion) of property sales between July 12 and August 8 – the highest ever agreed in a month since it began tracking the housing market more than a decade ago.

In an additional boon for global buyers, the UK government has lifted the threshold at which people start paying stamp duty for residential property from £125,000 to £500,000.

The change, effective immediately, is a temporary measure designed to boost the housing market and the measure will remain in place until March 31, 2021 next year.

Properties over £500,000 will pay stamp duty, however, the rising of the nil rate band means they will pay £15,000 less than before.

According to Savills data, UAE nationals are drawn to higher-end properties valued at £1.5 to £2 million-plus. However, non-native UAE expats are purchasing less costly stock from £700,000 upwards as buy-to-let investments.

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