Buying a property overseas is a tough process involving thousands of micro decisions, countless hours of research and legwork, and the delicate task of negotiating a fair price.
Throw in a completely unfamiliar buying process, complex legal procedures, and the logistical difficulties of being thousands of miles away and in a different time zone, and it can feel impossible.
Some US property buyers in London attempt to purchase a property – perhaps a holiday home, a family house, or an investment apartment – remotely. And many of them quickly realise that they are going to need help, in the shape of a seasoned London buyer’s agent who can help them with every step of the journey, from choosing a perfect neighbourhood, to shortlisting the best available properties, attending viewings with their clients, taking care of negotiations, and assisting with turning a provisional agreement into a completed property sale.
The Challenges of Buying London Property from the United States
Buying property in London from America presents many practical challenges. Going to view properties means a transatlantic journey, even calling an estate agent may mean getting up at the crack of dawn to reach them.
And, since the very best properties in London tend to sell quickly – often without ever being openly marketed – any delay in viewing and offering on a home can be fatal.
Then there are the complexities of the buying system, which even baffles many Brits. Once you have found the ideal property and had an offer accepted by the owner you enter into a long, tense limbo period while a series of property surveys are carried out and legal documents compiled. This process can take months – plenty of time for one side or another to get cold feet or for circumstances to change – and it is depressingly common for agreements to break down.
According to market analyst TwentyCi, 27% of agreed sales in central London fall through, the highest rate in the UK.
The key to steering a sale through to completion is good organisation and good communications, and having an on-the-ground buying agent to make sure matters are progressing mitigates that risk.
Why London’s Property Market Can Be Difficult to Navigate Remotely
Buying London property from the US makes viewing properties exceptionally difficult.
A buying agent can view properties on your behalf, put together a shortlist of potential properties, based on your wish list, and arrange to show them to you at a convenient time – often Black Brick clients will come to London for a short visit and see a dozen or more properties during their stay. Black Brick even arranges transport, so they don’t have to worry about finding their way from one unfamiliar address to another.
Britain and the US are often described as two nations divided by a shared language, and this is particularly true of property. For an American in London having somebody on hand to decode unfamiliar jargon – freeholds and leaseholds, covenants and conservation areas, conveyancing and Council Tax – can be invaluable.
How a Buyer’s Agent Represents American Buyers on the Ground
Having a UK property buying agent in your corner gives you access to their industry expertise. Black Brick has outstanding contacts with sales agents, which gives its clients access to elusive “off market” homes which are never openly advertised on the property portals. We are often able to arrange for our clients to see a property first, or before it has even gone on sale, putting them in pole position when it comes to making an offer.
And our reputation means that estate agents regularly recommend their vendors take our offer – even in preference to a higher bid – because they are aware of Black Brick’s reputation for closing deals.
We also connect our clients to trusted financial advisors, lawyers, contractors, architects, and interior designers – so buyers can return home knowing their London property purchase is in safe hands.
And Black Brick even has its own in-house property management service to look after homes when their owners are out of town.
Accessing Off-Market Opportunities and Local Market Insight
Off market trades have become the norm in London’s prime sales market. According to estate agent Hamptons some one in three £1m-plus homes sold in the British capital last year never hit the property portals.
And – also last year – Black Brick culled 73% per cent of the homes it purchased for clients above £3 million from off-market sources. Even below £3 million, 36% of homes sourced by Black Brick were not being advertised.
As well as finding the right homes for its clients to view Black Brick also has its finger on the pulse when it comes to market conditions. Before recommending an offer it carries out a forensic analysis of the latest sales of nearby properties so that its clients can be sure they are not overpaying for a property.
How a Buyer’s Agent Simplifies the Entire Purchasing Process
For most international buyers, time is money. They don’t have the time to spend weeks, if not months, pounding the pavements of London searching for a house to buy.
And even if they feel they know the city well their opinions on some neighbourhoods might be outdated – and they may never have heard of others.
Black Brick acts as an interpreter, both of the current mood of the market, and of the different parts of the city, so that its clients can be sure they are buying the right home, on the right street, for the right price.
Why American Buyers Benefit from Expert Representation in London
With estate agents working on behalf of vendors, and earning their living by maximising sale prices, buyers need their own expert representation.
The power of professional negotiation skills should never be underestimated – a knowledgeable buying agent brings authority to discussions over price, not emotions, and this approach pays dividends.
According to Black Brick’s latest figures the average discount on list price it negotiates for its clients is an impressive £513,289 or some $690,000.
We are able to do this because of our well honed mediation skills, and because we can always back up our case with the latest market data.
If you’re exploring London as a property investment opportunity, our team can help with everything from tax and finances to schooling and neighbourhood advice. You can get in touch using our simple form, or call our London office on +44 (0)20 3141 9861