London property market is set to beat Brexit

London is likely to remain attractive to overseas buyers regardless of the result of the Brexit referendum.

Property buying agency Black Brick said the capital should retain its attractiveness to wealthy international buyers.

Managing partner Camilla Dell said the 20% collapse in sterling against the dollar over the last 18 months will make UK property more attractive to dollar-based buyers.

“If you add currency moves to the 7-7.5% falls we’ve seen in prices in Knightsbridge, for example, then prices are more than a quarter lower in dollar terms than they were 18 months ago.

“It’s certainly tempting some overseas buyers back into the market.”

She said London’s cultural attractions, geographic location, legal system, and concentration of talent mean that there will always be demand for prime central London property.

Dell also issued a warning to buyers rushing to beat the 3% stamp duty surcharge on buy-to-let and second homes.

“For those clients yet to find the right buy-to-let investment, they should weigh up the costs and benefits of trying to rush through deals this late in the day.

“We have seen cases of vendors seeking premiums in exchange for getting transactions done before 1 April – premiums that, in some cases, substantially erode the tax benefit involved.

“As with previous increases in stamp duty, we expect this latest rise will feed into asking prices and would expect prices for buy-to-let properties to soften after 1 April, as vendors’ expectations align themselves with the yields demanded by investors.”