Want to live up among the clouds? Love the idea of panoramic vistas? Penthouse living is the ultimate luxury for flat dwellers. In our latest post http://londonandproperty.com/london-penthouse/ we explore the premiums paid to live amongst the skies, the benefits penthouse owners receive – and use to justify the cost. New York penthouses are the epitome of lux-living. We draw contrasts to the London property market for flats in the sky… and see why you only need to be 6 or 7 floors above the ground to enjoy uninterrupted views. Take a look now… London Penthouses
Properties in London are highly desirable – whether it be a flat to rent or a house to buy, demand for London property seems to grow every year. Add to that the high numbers of people moving to London each year, from the UK or abroad – or those commuting to London for work and wanting to live in London, then it seems there is an insatiable demand for property.
When looking for accommodation in London, UK residents often wish to buy, sooner or later. Why? Well renting is perceived as ‘wasted money’ or ‘just paying the mortgage for the Landlord.’ Foreign nationals working in London often rent here, but usually buy property themselves in their home country. However with favourable tax laws for non-domiciled UK residents, more foreigners have been buying London property as it represents better value to them than UK residents.
London Property has become such a secure investment – thanks to a strong Rule of Law and legal rights protecting assets, that very wealthy foreign residents often buy property here as a store of their wealth. The decline in the value of the British Pound has helped their purchasing – reducing the cost of buying a flat or house in London.
Okay, so many wealthy foreigners buy flats and houses in London just so they can keep some money abroad. Particularly useful when they live in countries where laws can change quickly – having security abroad in the form of Property can be seen as being more valuable than cash in a Swiss bank account!
Aswell as accommodation in London being an asset, foreigners often enjoy visiting London. Business people use London as their base for Europe. Families enjoy the high level of private schooling, the culture, theatres, attractions and safe atmosphere, particularly those from emerging countries.
So a key question for those wanting to live in London is, do you Buy or Rent? Okay so most people start off renting, while they get together a deposit and a mortgage to buy, but the question is, should you Buy in London or is renting a flat or house better?
‘A man’s home is his castle’ is an old English adage. However the cost of buying a property in London has risen so much that many London residents have been forced into long term renting. Is this a bad thing? Well many residents in other countries are happy to rent long term. Indeed property ownership, ingrained as it is in English tradition as ‘the right thing to do’ is not so common when we look abroad.
With such large deposits needed to buy a property now – a combination of rising London house prices and reduced Loan to Value levels from mortgage companies, renters may have to remain renters for longer. Does London property present a good deal though? Renters can now lock into multi-year tenancies with Landlords, giving them peace of mind and manageable rent increases over the period.
Landlords have become much more open to redecorating, even refurbishing with new kitchens and bathrooms – so tenants needn’t stick with someone else’s style. A big reason for owning your own home in London is to be able to put your personal stamp on it – well with more flexible renting options from Landlords, renters can add more of a personal stamp, without fearing they will be moving on in 12 months time.
Buying a London House or Flat can take months, even years – searching, evaluating, negotiating then purchasing a property has become a much longer process. Choice has dwindled as the number of properties for sale in London has reduced over the years, while demand increased. New builds have not kept pace with demand either. Hence even renters with funds to buy a property can find themselves renting for longer.
Many renters get accustomed to living in more central areas in nicer properties than they could afford if they buy. As lifestyle becomes more important, the prospect of renting increases attractiveness: more money for leisure, travel and luxury, rather than having capital tied up in property. The ability to move areas more regularly with little cost (no wasting stamp duty, refurbishment costs and estate agent and conveyancing solicitor costs).
Buying a flat or house in London for these renters often means accepting a smaller property, one in a less desirable area, or even moving out of London all-together!
So the scene is changing – London property to rent is becoming a lifestyle choice, rather than just the prelude to buying one’s own home. Renting is set to become more prevalent – not just from necessity, but increasingly out of choice.
Find comprehensive Renting and Buying guides at LondonAndProperty.com The site offers free information and great advice to help you with every step of buying or renting a property in the UK, with some great London Area guides to boot!
Area Guides: http://londonandproperty.com/london-guide/
Looking to rent a home in London? Whether it’s a room in a house-share, a flat or even a house, good advice will save you time, money and energy. Do you start your search for on the Internet, by visiting Letting Agents or through private adverts? Are you sure you will ask the right questions when you view the property and make the right checks? Need help in knowing which documents and references to have ready? Will you have everything you need to pass a rental credit check? Can you negotiate the rent to get a discount, even when there is competition? Most of all make sure you’re not being scammed and that the Landlord doesn’t unscrupulously take your deposit money.