UK property “one of the top investments” for 77% of GCC investors

UK property “one of the top investments” for 77% of GCC investors

Over three-quarters of investors in the region regard the UK as a strong place to buy real estate overseas. So, why is British property among the world’s most secure investments?

 

Summary:

  • The UK is considered to be one of the top overseas property investment destinations for over three-quarters of investors based in the GCC
  • Investors surveyed in Bahrain responded most positively when asked about British real estate, followed by the UAE and Saudi Arabia
  • What are the attributes of UK property that continue to make it a popular asset among investors in the region?

The UK is one of the top overseas property investment destinations.

That’s according to 77% of investors based in the GCC, who agree that British real estate is among the strongest international property investments they can make.

The findings come from Select Property Group’s GCC Investor Report 2018. Compiling the results of a survey conducted by YouGov, it analyses the current investment attitudes and trends among buyers in the region.

Across all six countries, most investors surveyed agreed that the UK is one of the world’s preferred property markets. At 86%, investors in Bahrain account for the highest proportion by country that agreed on the strength of UK property; indeed, all Bahraini nationals questioned agreed on the UK’s qualities.

They were followed by 79% of both UAE-based and Saudi Arabia-based investors who regard the UK as one of the world’s strongest overseas property investments.

The UK was in the top four destinations where GCC investors buy property overseas, along with the USA, Turkey and the UAE.

Analysis: Adam Price, Managing Director of Select Property Group

The UK has always been a favourite place for GCC investors to buy real estate; ultimately, we at Select Property Group wouldn’t have an office in Dubai if we didn’t have the demand for our developments from buyers in the region.

But it’s encouraging to see that its appeal remains high among GCC buyers – and the strengths of UK property are particularly important in times when other assets experience volatility.

While many global stock markets, oil markets and, of course, domestic property markets have fluctuated in recent years, UK property continues to be a symbol of stability and security.

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In the 20 years from 1996 to 2016, average property prices in the UK rose by 281% while, between 2000 and 2014, the UK property sector outperformed the country’s stock market.

It’s important to remember that UK property prices are also integral to the economic health of the country, and the UK government has a vested interest in maintaining growth in the market.

Over the next five years, average compound growth of property prices is forecast at 14.2%, while rents are also expected to have increased 17.6% by 2021.

Furthermore, UK law is often viewed as the best in the world, and foreign property investors in the UK are protected to a greater extent than those buying in other destinations.

It’s for these reasons that I am confident UK property will continue to remain popular across the GCC in the coming years.

GCC report-download here-web (2)

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