Trump card: London agents prepared for bounty after fall-out from US presidential election

Expect to see a lot more hot dog stands and American football jerseys near you, come January 2017 – that is, if you believe the hype following Republican candidate Donald Trump’s victory in the US elections.

Pollsters and markets may have under-estimated voters during the EU referendum but they were totally baffled after backing Hillary Clinton most of the way.

Trump managed to offend women, Muslims, LGBT people, Jews and most other minorities on the campaign trail, and while the Canadian immigration website crashed yesterday because of the number of Americans trying to get on to it, many agents here are expecting a flight to the familiarity of the UK and London.

Tim Macpherson, head of residential for Carter Jonas, said the effects of Trump’s election will make Brexit look like a “garden party”.

He said: “London’s prime market is set to benefit – such is the attraction of our capital city and its place in the global economy.

“However, rather than relying on American-based buyers for an improvement in the London market, perhaps our more immediate aspiration should focus around a stamp duty reduction in the Autumn Statement.”

Charles Curran, principal at London agent Maskells, said the language and timezone made the UK a decent option for Americans, and said he has seen many buying all over London, particularly in St John’s Wood, Kensington and Chelsea. He added: “We may not see an immediate move, as President-Elect Trump’s transitional team start their work, but already the markets have reacted badly.

“However, our view is that there may be a small knee-jerk reaction to his win, but if Americans are to move to the UK in significant numbers, it will be after he has taken office and established what the relationship will be like between the Republican House and Senate.”

Camilla Dell, managing partner at independent property buying agency Black Brick, said it is not just Americans who would be avoiding the country, explaining: “Global investment into Prime Central London property is likely to increase from investors who hold the view that Trump is risky for the markets. Indeed, we are already seeing a flight to safe haven assets such as gold, and PCL property has always been seen as a safe haven asset in turbulent times.

“We are also likely to see some wealthy US citizens, particularly those most offended by Trump, move to the UK as some of our American clients hinted to us prior to this outcome. Foreign buyers, particularly those from the Middle East and of Muslim faith, may enter the London property market too, as they decide not to buy property in the US due to his remarks about banning Muslims from entering the country.”

Henry Pryor warned that the biggest lesson now is you just can’t predict the Americans, adding: “International buyers aren’t stupid. They appreciate the currency advantage that they now have but they also appreciate that it’s their turn in the sun. Buyers have the upper hand and they too want to negotiate a deal. I can’t recall a better time in my 28-year career when you could carve yourself a better deal.

“Sales of top-end homes in the capital have halved over the past year. Prices in some of the most central parts of town are down 15% and the majority of homes that are selling have reduced their asking price at least once.

“There are 14,000 homes over £1m listed for sale in London today. Last month just 297 sold. It’s no longer a case of being able to name your price. International buyers are usually well advised, and as we learned last night Americans have proved that they are not as predictable as people had thought.”

Of course, there are questions as to why Americans would swap the uncertainty of Trump for the somewhat unknown aspect of Brexit Britain.

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One Comment

  1. RexGooding71

    The majority of American people have spoken, so time will tell.

    Report
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