UK Property Market Stalled! Looking for Alternative Cross-border Real Estate Investment?
UK Property Market Stalled, What Are the Alternatives for Cross-border Real Estate Investments?
Questions were inevitably being raised about what would happen to British real estate and housing market if Britain votes to leave the European Union. There was huge uncertainty about the future of UK property market and it was quite natural to have this perception as this wasn’t a minor development which took place. Before Brexit happened there was a survey carried out earlier this year by accountants KPMG and according to survey it was speculated that 66 percent of real estate experts believed that Britain in leaving the EU would have a negative impact on inbound cross-border investment, and then later on we saw that impact of brexit not only on UK but also EU facing an enormous loss in terms of cross-border investments.
Central London was hit hard because of its multi-national and multi-ethnic population and now through a series of legislation against the expatriates, especially Americans and Australians living in the UK are mostly affected due to these legislation of deportations and no loan policies for expats by the UK financial institutions.
So now the question is that where exactly will these kinds of people go to easily create their own homes? And where exactly cross-border investors will head to anchor their capitals and to gain a firm ROI from real estate industry?
Let’s discuss briefly about the alternative zones for real estate investments after UK market has halted.
Having imperial ambitions (perfect term used by Vladimir Putin), expanding its agenda, imposing her ideology on others and burdening their own fellow citizens with an enormous amount of taxes, United States of America has lost her credibility to be known as a safe haven and ideal home. Even Native Americans are heading to southeast Asia to find jobs and to invest there capitals in the investor friendly economies with lowest cost of living like Bangkok (Thailand), Malaysia, Cambodia, Hong Kong, Indonesia and Singapore.
EU is not in an ideal state to receive property Real Estate investors from across the globe due to so many reasons. The most important is exit of Britain and second is refugee crises, millions of Arab and Syrian refugees have flooded to Europe and are resulting in a huge economic deficits to EU and are also creating a law and order situation as we have recently scene terror attacks in France. So now the most favorite destination after EU is white sand beaches, coconut trees and peaceful green and serene environment of South East Asian countries like Thailand, Indonesia and Malaysia.
Australia was well-known as a second home for most European Countries especially Brits, but now is no more a choice for investment in real estate sector because Australian Banks have closed their counters for foreign investor to acquire loans. Most of the British and Chinese Australian investors are considering Thailand as their next business hub because of easy financing by Chinese Banks like ICBC and Bank of China.
Southeast Asia is now the hot target of real estate investors and especially Thailand has the most central role in attracting the foreign investors and the main reason is it’s sustainable market, easy and cheapest availability of all modern amenities and a well know place of entertainment and well-known for its high influx rate of tourists who prefers to stay for long terms so by renting the condominiums in Bangkok and beach villas in Phuket, Krabi, hua hin and Samui, they always keep real estate in demand. Chiangmai in the North is well-known for its tropical lush green forestry.
Other countries in Southeast Asian region are also receiving investors for their real estate, like Cambodia has 70% dependency rate on Foreign Direct Investment, Malaysia, Indonesia and Singapore are also favorite destinations for capital gain on real estate investment but what makes Thailand powerful over all the others is its strategic location, it is a bridge of communication and a gate way to connect all the member countries of ASEAN business community.