- July 6, 2022
- Posted by: Amos Ekow Coffie
- Categories: Banking and Finance, Economics, Housing
The Chief Executive and founder of Baron and Cabot, Mark Pearson has said investment traction from West Africa and Ghana into the United Kingdom’s real estate market has been on an upward trajectory.
Ghanaian investors are now exploring alternative investment plans abroad.
Following a turbulent first half of the year for the local economy, many are seeking to salvage whatever value is left on their money.
“While many sectors are still reeling from the impact of COVID-19, real estate has had a strong rebound and is back on the growth track. As such, when investors are looking for safer markets to invest their money amid looming uncertainty, they turn to real estate markets such as in the United Kingdom and United states of America which are considered safer markets.”
The predictable and stable nature of the UK real estate market has been attracting massive investment particularly from Hong Kong and Singapore.
However, over the last year, there has been a growing number of West Africans investing in the real estate market in England.
“On an average basis, we record transactions of up to 5 million pounds in West Africa monthly with bulk coming from Nigeria and a fair share from Ghana”
The investors through firms like Baron and Cabot are seeking to buy properties that have favorable returns. Some of the properties include apartments that go for 210,000 pounds, with an initial deposit of 100,000 pounds.
“The property demand is driven by the fact that investors can get mortgages in England at affordable rates with title deeds in their names. Further, depreciating currency is pushing people to seek alternative investment options to safeguard their money.”
According to Pearson, on an annual basis, investors are making returns of between 12 to 14% with last year’s investors making up to 15% return value on their investments.