27 Apr

Houses for sale in London see rise in 'cash deals'

Houses for sale in London see rise in 'cash deals'

More and more homebuyers are paying for property for sale in London in cash, it has been revealed.

According to figures from the Council of Mortgage Lenders (CML), January 2011 saw 40 per cent of buyers purchasing their new homes without a loan, according to the BBC.

Reports suggest this trend is more common in some areas of the capital, where the proportion of cash buyers of houses for sale in London increases to 80 per cent.

The news site says the proportion of cash buyers overall has more than doubled since records began in 2005.

Independent housing expert Henry Pryor told the BBC that older people are driving the trend for cash deals.

He explained: "They are downsizing and pocketing a profit from previous housing booms, divorcees benefiting from financial settlements and foreigners or expats returning to the UK."

Halifax has revealed that investing in property for sale in London is cheaper than renting.

Research by the bank found that those who take out a mortgage to secure property for sale in London will pay 12 per cent less each month than those living in houses to rent in London.ADNFCR-1222-ID-800513725-ADNFCR

Cookies We use cookies to ensure that we give you the best experience on our website. To find out more about our cookies policy, see our cookies policy here or in the footer.