The Labour Party is considering to ban advertising new homes in London abroad, reports ee24.com citing opp-connect.com. Market experts have called the decision "gibberish."
Property prices in London are growing so fast that the British can not afford to buy it. The Labour Party therefore wants to limit the promotion of new projects in foreign markets. Politicians say that the new houses are empty and waiting for their overseas owners, while Londoners have nowhere to live.
Experts say that even in case of the ban the foreigners will find ways to buy homes in London. Doug Shepard, head of home.co.uk, wonders, whether the Party will block online advertising of London real estate for overseas network users. Then it will need to "close" 12.5 million ads from 2.1 thousand sites.
Meanwhile, the London real estate market increasingly moving away from the rest of the real estate market of the United Kingdom. In 2013, 44 % of the buyers in London were foreigners, while in the UK as a whole - just 5%. In Greater London housing prices increased by 6.7%, beyond - by 1%.