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Sales Market Comment Winter 2018 by Eitan Fox

By Eitan Fox  //  Tue 4th December 2018
On a £2 million property used as a second home and sold after five years they would face taxes worth around 13% of the property’s value. This compares with almost 35% in Vancouver, 32% in Hong Kong and almost 25% in Singapore.




The budget was announced at the end of October and the Chancellor sensibly did not add any further taxation on buying and selling property in the immediate future. A relief to all the industry.

We are constantly told that the property tax is too high but actually London is middle ranked among global cities in terms of the taxes faced by non-residents when buying, holding and selling a property.

On a £2 million property used as a second home and sold after five years they would face taxes worth around 13% of the property’s value. This compares with almost 35% in Vancouver, 32% in Hong Kong and almost 25% in Singapore. London is also less than New York which is around 15%. Moscow and Dublin levy the lowest tax, at around 5%.

In November and December we saw many more enquiries from investors wanting to take advantage of the cheap pound and reductions experienced over the last 3 years on prime Central London properties.

This is extremely sensible, as a deal is now agreed in principle, with the EU and UK for Brexit in March 2019. It is likely, in time, the pound will rise and the political uncertainty subside.

There will still be a period of adjustment and consolidation, but to do your business early and secure your investment is always more prudent than when the market becomes far more competitive.

If you are considering investing in prime Central London property, now would be a great time to contact us and look at your options and possibilities.

I would also like to take this opportunity to wish everyone a Merry Christmas and a Happy New Year.  

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