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Whatever Nigel Farage tells you this is not the case.Firstly, let's deal with the myth that foreigners are buying up new housing stock and leaving it empty. This is simply not true. A report made to a Commons Housing Select Committee a couple of years ago showed that the void rate on foreign owned property was exactly the same as that for domestically owned. Ask yourself - is it really credible given rents in London that anyone would leave a property vacant for more than they would have to.The current restrictions on bank mortgage lending has made it very difficult for first time buyers to fund the purchase of a new property and domestic buy-to-let lending has also been severely constrained. This has meant that a lot of new developments are very dependent on selling to foreign investors for their viability. The key point here is that foreign capital is coming into this country to create new homes - you can't twist that into being a bad thing. Foreign investment in London property leads to increased supply and is a safety valve on rising prices.On immigration and housing prices, are you seriously saying that Bulgarians and Romanians are snapping up these properties. Their impact on the housing market is highly over-estimated as predominantly they are room sharing in cramped accommodation and make very little impact on demand for housing.Much of London's rising population growth is due to domestic migration from within the country attracted by the relative economic success of the area.Prices in Acton are rising mainly because transport improvements are reducing the commute time to the City of London and increasing demand from people who work there. In the micro-market of W3 increased supply in the area probably won't serve to depress prices but in a London context every extra unit will serve to help put a lid on price rises.

Alan Fairclough ● 4176d