A survey by luxury estate agency Beauchamp Estates covered by B&C in January, found that American and Middle Eastern buyers accounted for almost half of London’s super-prime property sales, while UK buyers dropped from 12% to 10%.

According to the estate agency’s 2024 ‘Billionaire Buyers in London’ survey, the £15m-plus London residential property market was dominated by buyers from the United States and the Middle East.

However, the survey revealed an overall 25% fall in billionaires and multi-millionaires purchasing homes in 2024, citing factors such as stamp duty changes, the American and British elections, and the Labour government’s new non-dom policies.

Despite these plummeting numbers, American and Middle Eastern investors purchasing super-prime London property is on the up, demonstrating that the English capital remains as popular as ever in these demographics.

This trend has climbed since 2023, with buyers from America growing from 18% to 25% last year, while investors from the Middle East rose from 18% to 20%.

Due to the complex offshore structures, cross-jurisdictional regulations, tax implications, and rigorous due diligence processes sometimes involved in navigating these transactions, there is a golden opportunity for the bridging market to thrive where high-street banks fall short.

B&C reached out to bridging lenders experienced in working with HNWIs seeking ultra-prime London property for their input.

Paresh Raja, CEO at Market Financial Solutions, said that Brexit and the mini-Budget had devalued the pound, therefore creating more attractive exchange rates.

“Geopolitical uncertainty over recent years is driving investors from various regions toward the UK, which is appealing due to the relative stability of its economy and political climate,” Paresh explained.

“London’s potential for strong capital appreciation, a transparent legal and financial system, and a desirable lifestyle mean that [it] remains a highly attractive destination, whether someone is looking for an investment property, a holiday home, or perhaps a second home that a child could use when working or studying in the capital.”

According to Paresh, this trend provides opportunities for growth in the UK bridging market.

“Overseas borrowers can often face difficulties in securing loans from the UK’s mainstream lenders, which means that they and their brokers often seek out fast, flexible finance that allow them to get deals done at pace,” he stated.

Lewis Casserly, co-founder and principal of Albatross Lending Group, agreed the favourable GBP exchange rate against major currencies meant the UK super-prime property market was gaining momentum among US and Middle Eastern investors.

He commented that “London remains a beacon of safety, prestige, exclusivity, and architectural heritage”, key factors driving HNW and UHNW investors to acquire prime assets.

Lewis added that the challenges surrounding international transactions in the UK “drive innovation in products and services” and strengthen expertise. “[This reinforces] what we do best: delivering bespoke solutions that align with borrowers' needs while fostering healthy competition within the industry."

As Middle Eastern investors continue to flock to the UK looking for luxury accommodation, bridging lenders are further catering their services to this demographic with Sharia-compliant options.

Anthony Bodenstein, managing director at Whitehall Capital, shared that after recognising this rising demand — which he expects will continue this year — the lender formed a partnership with Amanah Islamic Finance.

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Amanah acts as Whitehall Lending’s Sharia supervisory board and conducts audits of the lender’s Sharia-compliant bridging loans, “ensuring full transparency and adherence to Islamic financial principles”.

Anthony commented: “We regularly travel to the Middle East to meet with potential borrowers, better understand their needs, and strengthen our relationships in the region.

“Additionally, we continue to refine our product offerings to ensure they align with investor demand while maintaining our commitment to ethical, structured financing.”

Anthony added: “From our perspective, the bridging market is uniquely positioned to meet the needs of Middle Eastern buyers, who often require rapid, flexible financing solutions to secure prime assets in competitive markets.

“This has led us to increasingly tailor our services to cater to this demographic, offering bespoke solutions that accommodate their specific financial requirements and preferences.

“Looking ahead, we predict that Middle Eastern investors will continue to play a prominent role in shaping the UK bridging market.

“Their focus on high-value transactions and luxury properties will likely drive further innovation within the sector, particularly around Sharia-compliant financing options and other bespoke lending solutions that align with their investment ethos."

While Aspen Bridging’s historic foreign business has primarily been with Chinese and Nigerian nationals, the specialist lender has also seen an uptick in applications from Middle Eastern applicants.

“We believe we are well placed to enable borrower’s inward investment into the UK with the recent launch of our three-year bridge-to-let that has been designed with foreign borrowers in-mind,” said Richard Coombs, credit analyst at Aspen Bridging.

For Kynan Benjamin, lending and operations director at Century Capital, London continues to be an investment and destination hot spot to many US buyers: “[They] have steadily formed a higher percentage of the overseas buyers over [the] past few years.”

Kynan claimed that political volatility and surges in US property prices in areas like New York, Florida, and California would encourage US investors to settle and invest in London.

“Despite changes to stamp duty and other tariffs outlined in the Budget, it will ultimately not pose significant barriers to the migration of American buyers — London remains competitively priced compared to other global business destinations,” said Kynan.

With 33% of Century’s client base made up of overseas nationals, Kynan concurs that the influx of wealth from US and Middle Eastern investors in particular would grow the UK bridging market.

Jeremy Gee, managing director at Beauchamp Estates, commented in the annual survey: “Over the next four years, the wave of American buyers into London looks set to increase further.

“Since June 2024 onwards, we noticed a 30% rise in overseas clients enquiring about suitable homes in the capital that they could purchase, and the largest group of buyers have been Americans.”

With Trump’s recent reinstatement to the White House, the UK’s relative political stability may represent a beacon for wealthy Democrats.

The shifting demographics of UK property buyers are evident in CapitalRise’s borrower base, with UK nationals dropping from 87% in 2023 to 78% in 2024.

International brokerage Enness Global has also experienced this development, with CEO Islay Robinson explaining that US and Middle Eastern buyers are now firmly established as their “two largest international client bases outside the UK”.

Consequently, Islay is seeing “heightened demand” for high-value mortgages as well as bespoke financing solutions like bridging loans.

Clearly the investor makeup of those purchasing London property and engaging with the bridging market is shifting, with an increasing number of foreign nationals attracted to the UK's heritage and stability.

As more American and Middle Eastern nationals head to London, the UK bridging market must adapt its products and services to stay competitive and meet the evolving needs of these new investors.