Juwai IQI Report Forecasts Resurgence of Chinese Residential Investment in UK in 2022

UK Is Preferred Education Destinations for Chinese

UK Is Preferred Education Destinations for Chinese

Chinese households will hold US$46.3 trillion of investable assets by 2025 and have a demonstrated preference for property investment.

Juwai IQI report looks at if and how quickly Chinese demand for UK property will bounce back. Our base case is that buyer activity will rapidly increase once travel fully resumes. Buyers eager to get on with long-postponed transactions will push investment levels higher. After this initial rush to transact is past, transaction levels will likely fall back and resume a more sustainable level of growth.

As the Covid pandemic ebbs worldwide, Chinese appetite for overseas property is again increasing.

Sample pages from the report are attached. Contact Juwai IQI for a complete copy.

“They are turning their eyes abroad because of increasingly restrictive local property markets in China and relatively poor prospects for economic growth,” said Juwai IQI Group Co-Founder and Executive Chairman Georg Chmiel.

“The UK’s world-renowned educational sector is the primary driver for the stability of Chinese demand for UK property.

“Chinese households will hold US$46.3 trillion of investable assets by 2025 and have a demonstrated preference for property investment. That gives them both the means and desire for investment in the UK.

“Signs of capital controls liberalisation are tantalising for UK real estate markets. They signal the possibility that more of China’s wealth may find its way to the country in the years to come.

“The UK’s strong price performance attracts buyers from China and looks likely to continue. The new non-resident stamp duty is unlikely to deter many buyers, as the UK still offers relatively affordable prices and associated costs.

“For all these reasons, the desire for UK property has not fallen, even though the pandemic has made acting on that desire more difficult. As travel resumes and obstacles fall away, we expect a resumption of Chinese buyer activity in UK markets.

“Chinese demand for UK property has remained remarkably stable since 2014, with the UK’s market share of Chinese buyer enquiries changing just 0.4% in that time.”

Share article on social media or email: