One of London’s most outspoken estate agents claims the prime minister who succeeds David Cameron could appoint a chancellor who will temper the higher stamp duty levels which have curtailed demand in the capital by up to 50 per cent.
“When the new Prime Minister takes charge, following the Conservative Conference, and appoints a new Chancellor, the present draconian stamp duty rates could be tempered somewhat to induce more activity in the market place that has come under serious pressure” according to Trevor Abrahmsohn of Glentree Estates.
Abrahamson, best known for selling homes on The ‘Billionaires Row’ Bishops’ Avenue in north London - as well as being one of the founders of Agents’ Mutual, parent firm to OnTheMarket - claims there are silver linings to the Brexit decision last week.
“Dollar denominated international purchasers buying property in the UK can now enjoy a 50 per cent total discount from both the currency gains and the lower property values that, in aggregate, should induce them to buy in the UK. Some of these individuals have held back decisions during the four-month hiatus prior to the referendum and their patience will be handsomely rewarded since bargains abound” he says.
Contrary to the vast majority of market analysts and agents, Abrahmsohn says he has a degree of certainty about much of the housing landscape.
“Prices in most price ranges will be stable and there is a chance that properties in the lower price ranges up to £700,000 will continue to grow up to four per cent this year. But there will be no growth in values of properties in the middle to upper ranges since there is an over-supply and lack of demand” he claims.
Abrahmsohn won publicity in the Daily Mail over two years ago when the newspaper claimed he set up a lobbying group against the Labour proposal, prior to the 2015 general election, to introduce a mansion tax. The agent organised a launch event attended by 65 of the richest people in the UK including Russian oligarchs and Middle Eastern multi-millionaires, the newspaper said.