It will come as no surprise to learn that London is the most expensive city amongst European Union members and those waiting to join. The difference in pricing between London and the second most expensive city, Paris, will surprise many as will the fact that the UK as a whole is only the fourth most expensive property market in the EU.
Property in London costs on average £12,400 per square metre which will come as no surprise to those struggling to climb aboard the London property ladder. What may surprise many people is that the cost of property in Paris is “only” £6000 per square metre. The fact that London is more than twice the price of its nearest competitor in the European Union says everything about the London property market of late. These figures are also put into greater perspective when you bear in mind that the average cost per square metre for property across EU capital cities is just £2900.
There are many reasons why London property remains so popular including the so-called safe haven status which may be enhanced or diminished depending upon today’s European Union membership vote. It is nigh on impossible to forecast how London property prices will perform whether the UK remains within the European Union or decides to leave. We are literally in no man’s land where all forecasts should be taken with a pinch of salt.
Most expensive country property markets
If we look at member countries as a whole, and those waiting to join the European Union, the UK property market only makes it a fourth place on the list. The average price of property right across the UK comes in at £3300 per square metre which is beaten by France at £3400, Sweden at £4000 and Luxembourg tops the table a £4500. In many ways this perfectly illustrates the array of niche property markets within the UK offering very different potential for capital growth and rental income.
The average for the European Union as a whole comes in at £2000 per square metre with the likes of Greece at £1000 per square metre, Hungary at £900, Romania at £800 and Bulgaria at £600 helping to counterbalance the high cost countries. Countries waiting to enter the European Union are also prominent towards the lower end of the league table with Montenegro at £1000 per square metre, Serbia at £900, Turkey at £800 and Macedonia and Albania coming in bottom at £700 per square metre.
Options aplenty for investors
Many may find it interesting that the UK is only fourth place in the most expensive property league while London is head and shoulders above everybody else. This survey by eMoov perfectly illustrates the array of different property markets across the UK offering a mix of capital appreciation and rental income. So while the headlines continue to suggest that all property across the UK is out of the reach of first-time buyers, is this really the case?