The UK has much to offer with a multi-cultural society, a history that goes back thousands of years and some of the most beautiful countryside and tourist destinations you could ever hope to visit. The Island has been involved in many conflicts, with the Romans and Vikings leaving their foot prints on UK society.
One of the top five economies of the world, the general trend for the UK economy has been on an upward curve for many decades. While historically the housing market has been very volatile, it has remained buoyant for some time and many residents see their house as a long-term investment. The culture of home ownership has also ensured that demand always seems to outstrip supply in the UK, a situation which has seen house prices rise substantially over the last few years, with some house prices increasing by over 30% over the last two years.
The country has a net immigration policy which as well as ensuring that the UK population and economy continue to prosper, should also bring in a more potential home buyers – thereby keeping demand fairly high. Cities such a London continue to attract the big movers and shakers, although areas such as the North of England, and Scotland attract masses of tourists who have perhaps not been able to experience such a long engrained history in their home country. A couple of expats recommended places to live in, the first being made at the Britain Expat Forum last September 18, 2009:
Try Blackheath, just a few miles outside the city (about 15mins communting time) has a nice ‘village feel’ and some good open space. Also has good private schools.
And the second post was made at the Britain Expat Forum last September 20, 2009:
Hi, you don’t say what you do, but if you can work anywhere, why not have a few months more in Scotland and then test out England, Ireland and Wales? Depending on the weather, you might find employment prospects in Aviemore. There’s always Aberdeen or Inverness. Glasgow’s a great city.
Newcastle is a vibrant, happening city; the Lake District is well worth exploring … York, Cambridge, Oxford, Bath, …. Cardiff, Swansea …
Contents: Property Market Performance in the UK | Property Costs in the UK
UK Property Market Performance
For many years now, base rates have been the very blunt weapon with which the government and independent Bank of England have attempted to subdue the property market in times of excess demand. While this always has the desired effect, it can take time to filter through to an often stubborn house buying market where many buyers can become over extended.
Recent figures show that house prices rose by 0.9% in April 2007 alone (6.8% year on year), and many market experts are forecasting a rise of over 20% during the next five years. However, this long term view does however seem to tie in with what the economy is currently telling us. People are currently more heavily in debt than ever before, interest rates are rising, mortgages are been granted on crazy multiples and the market has a fair amount of short term speculators who will disappear as soon as prices start to fall back. The current financial downturn has been weathered as foreign investment has started to trickle back into the UK property market.
While very fluid and very transparent, the UK property market has long since suffered from buyers pulling out of transactions, often disrupting a chain of buyers and sellers. The imminent introduction of Home Information Packs should see many of these would be speculative buyers disappear, which is estimated to cost the market up to £1 million a day.
The UK property market is one of the largest in Europe although there is most defiantly a split between the North and South of the country – where living costs also vary wildly. As more people look to work from home, or online on the move, the necessity to live in the main areas of the economy – such as London – are reducing. This is slowly helping to reduce the difference in price variations, but will take some time to have a real impact.
A booming economy, a major place on the world political stage and a housing market that covers all periods and designs you could wish for, the UK is attracting more and more foreign nationals becoming Expats living in the UK.
Property Costs in the UK
Please be aware that currently the UK has a non-binding bid system, where as Scotland has a different system where bids are all binding. Haggling over the price is also the norm, as you may be able to pull down the overall price of the purchase you would be making.
When purchasing a house in the UK, you can expect to pay for:
Survey fees – your mortgage lender will insist on a survey of the property. This could
be a small house buyer’s survey of around £300 up to a full-structural survey of over £1000
Valuation fee – around £150
Mortgage arrangement fee – varies by lender
Deposit for property – minimum 5%-10% of property price. Some lenders will also charge a Mortgage Indemnity fee if your deposit is small
Insurance - it is advisable to insure the poprty once exchange has taken place
Solictor’s fees - these vary but a likely cost is around £600 (including VAT) just for a purchase
Electronic transfer fees – vary by solicitor but not expensive
Local searches – vary by Local Authority but up to £200
Land registry fees - dependent upon type of property but a useful guide is at http://www.landregistry.gov.uk/online/feecalc/
Stamp Duty - a % of purchase price
Residential property – purchase price – Rate of Stamp Duty Land Tax
up to £125,000 - 0%
£125,001 – £250,000 - 1%
£250,001 – £500,000 - 3%
£500,001 or more - 4%
This process will change when the new Home Information Packs are introduced, although how this will affect overall costs is not clear as yet.
Also do take into consideration the age and condition of the house especially those built during the Victorian, Edwardian and Georgian times as these cost higher and are a little more complicated in terms of purchase process.

























{ 19 comments… read them below or add one }
I am an Indian citizen wanting to buy a house in England by making complete down payment. I am intrested inBath area.Please inform if I am elligeable.What are the conditions I have to fulfill?
Hello,
I am a Malaysian citizen and my boyfriend is a British citizen working here and we are thinking of buying a property in UK together so that we have our own residence when we are back there few months in a year. Currently we are staying in Malaysia about two third a year due to our jobs.
We would like to know if we can purchase a property with both names as owners if we are not yet married since I am considered a foreigner.
We will also be considering a small loan with only my boyfriend as the sole borrower as he has a stable flow of monthly savings from his salary sent back to his UK bank.
Appreciate your assistance and perhaps you may also assist us in searching for the right property when we know if we are able to buy a property together or single-ly and also the loan entitlement.
Catriona
I am an Indian citizen wanting to buy a house in England by making complete down payment. I am intrested to purchase a house in Birmingham, Great Barr area.Please inform if I am elligeable.What are the conditions I have to fulfill?
hi ,i am from egypt and i want to buy a ,house or flat in uk,i am not citizen ,i am holding visit visa and if i ask for morgage ,how much deposit i will pay,
as i always visit london twice a year,
hoda
If anyone is interested in buying land in the Cayman Islands how do they go about it
People do your own research. Comon'
Hi i am keen to know the complete process & procedures required for purchasing the property in UK ………..i have few clients who are ready for investing upto GBP 300,000 or even higher……….
Land registry and buying property is easily in uk now adays with the safety net and graphically user friendly propery site are very helpful for early search and having an idea of the market price around that area.. I dnt know whether you can get the mortages on the house, as a foreigner but buying on cash is strat forwards and easy. for further details MR sunil contact me on wayoutwayin@gmail.com
I am an Aussie looking to purchase a 2 bedroom apartment in the SW6 area of London. It will be an investment property taking advantage of the favourable exchange rate with Australia at present. Probably around the 400,000 pound mark. What are the pitfalls and where can I get advice pertinent to this purchase.
Hi I am trying to find out if a hong kong or Chinese citizen can purchase a property in London to aid immigration for residency?
I am an oman muscat citizen wanting to buy a house in England by making complete down payment. I am intrested to purchase a house in manchester stockport area.Please inform if I am elligeable.What are the conditions I have to fulfill?
hi,i m an indian passport holder with 1 year tourist visa ,i m intrested in investing in london,will i get P.R. so tht i can enter uk on my will. i dot intend to migrate in uk.. i m afraid as.i had bought a property in usa on my visa expiry they dint renew it.
I am a citizen of Trinidad and Tobago and have lived in the U.K for 40 years. My husband,a British citizen,passed away in 1976. I have bought my house in Southampton but now in later life am worried i would not be able to pass this along in my will to my son(also a British citizen) as i have not become a British citizen myself. Please could you offer some advice on this?
I am an VIETNAMESE citizen wanting to buy a small house or studio in England for staying there for holiday and because my daughter will study there. .Please inform if I am elligeable.What are the conditions I have to fulfill?
if i am not a citizen or resident in the uk and have a solicitor there, do i have to pay vat? on their services
thanks
Hi i am keen to know the complete process & procedures required for purchasing the property in UK ………..i have few clients who are ready for investing upto GBP 300,000 or even higher……….
I am an Aussie looking to purchase a 2 bedroom apartment in the London. It will be an living in then investment property( upon return to Australia) taking advantage of the favourable exchange rate with Australia at present. What are the pitfalls and where can I get advice pertinent to this purchase.
I am an indian staying in india. i want to buy property in UK…is it possible, if so how??
i am staying in India . i want to buy property in uk. give the basic requirments. is it possible. if so how ?