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The falling population of London and how this affects property prices.

The population in London is shrinking for the first time since 1980. One reason why this is happening is due to the Corona Virus. 700,000 immigrants and people not originally born in London have left the city because of it. The Economic Statistic Center of Excellence did an estimate that said so.

The population decrease of 8% in London has led to a reduced demand for homes, with rental prices in certain areas decreasing as well. By using these restrictions, the number of property sales has also declined.

Even though the number of foreigners moving to London has declined, many economic experts are optimistic about London’s future. The decline is temporary since more and more people are getting the Corona vaccine, as confirmed by real estate experts.

London’s property market has dipped, and this may cause certain effects for Londoners.

London’s falling population has caused an increase in the price of leases

Recently, some people who had left the city due to the economic downturn have come back claiming that there is no better place than home. For example, Martinez said that since bills need to be paid, many foreigners are coming back to London in search of employment opportunities. She then confirmed that her friend left in search of a country with greater opportunities.

The average monthly rent in London dropped 6.9% after people left the capital. The cheapest places to live like Chelsea and Kensington saw the average monthly rent decrease by 10.2%. Lowering the average monthly rent helped keep as many tenants as possible. This made life a bit more bearable with lowered costs. One flat of 1,950 Euros per month in Piccadilly Circus, for example, decreased its asking price by 45% to around 1,100 Euros.

London’s falling population means for the housing price

The prices of houses in London have increased, mainly because the first lockdown was lifted. The tax holiday also contributes to the increase in house prices by bringing them down by 15000 Euros. The tax holiday, which started on December 11th, will last until March 31st 2019.

The agency believes that about 73,950 people that left London, shopped for a home outside the area. This is the highest amount of purchases since 2016 and the most proportion of buyers outside the city in before the financial crisis era.

Why London’s falling population may lead to a decrease in housing prices

Some Londoners are hopeful that the economic downturn will soon be over and that London’s central city will return to prominence. Anita bought a home in central London, believing that the economic downturn encourages more people to work from home.

People moving out of London differ. Some people miss the culture and move back, while others cite it as a big factor in needing to leave.

The effect of London’s declining population on property prices

When the tax holiday period ends, on 31 March, experts predict that London will be inactive. With no incentive to buy property, demand for property may decrease again, which will cause the prices to stagnate. The period of slow-growth in prices will extend as house and properties’ prices outside London increase and catch up.

Is The Russian War Hurting London Property Prices?

For Londoners, property prices are a big deal. With the recent escalation of the Russian War, how has it affected the prices of property in London?

The role of sanctions

The Russian War depicts the sanctions imposed by the West on Russia after Putin invaded Crimea and Eastern Ukraine. These sanctions limit the amount of money that Russians can spend in Western countries and have a direct impact on London property prices. The war has had an effect on Russians who have seen their living standards plummet, with more than two million people forced to live below the poverty line. This situation is unlikely to change any time soon which means that London property prices are likely to remain on the decline for some time.

Other causes of the Russian War

The Russian War has had many effects on the world. It is not the only cause of London property prices dropping, but it is one of the most important ones. Other reasons for the drop include currency fluctuations, austerity measures in Europe, and Brexit.

How does the russian war affect London property prices?

It is unclear how the Russian war will affect property prices in London. However, it is clear that there are many foreigners leaving the country after being targeted for assassination by Russian spies. This means that there may be a downturn in demand for property in London.

What are the alternatives to London property prices?

London property prices are one of the highest in the world. This has led to many people looking for alternatives. Dubai is one destination that has been chosen. The city isn’t only popular because of its luxurious lifestyle, but also because it is a bargain with property prices. A studio apartment in Dubai can cost as little as £27,000, which is less than the price of a studio apartment in London.