The Russians occupied the luxury real estate market in London

The Russians occupied the luxury real estate market in London

Russian citizens were the most active buyers of luxury real estate in London worth over £2 million (€2,36 million). The share of Russians in the last 12 months was 8.5%, according to The Guardian, citing a study Knight Frank.

Foreign buyers have concluded more than 50% of all deals in the luxury real estate market in the British capital, ahead of the indigenous population. In addition to Russians, active buyers in London were citizens of the United Arab Emirates, United States, China (all at 2.8%), India (2.6%), Hong Kong (1.8%), Switzerland (1.1%). The share of investors from the euro area was 9.5% (figures for individual countries were not included).

Liam Bailey, head of research at Knight Frank, said that foreign investors see London as a "safe haven investment" in times of political instability in their own countries. According to him, foreigners are pushing prices of luxury property in London, which has risen by 57% over the past four years. It is projected that prices will rise by 26% to 2018.

The wealthy investors' interest in UK's property has not diminished even after the increase in stamp duty.