According to real estate agent Nick Millican, London is suffering from a housing crisis. People who are trying to sell are having to sell at lower prices. People who are trying to buy are dealing with high mortgage interest rates. Even the rich people are getting caught up in this real estate dilemma.
Kam Babaee, a businessman, put his mansion on the market for £7.95 million. He did have several home buyers come to take a look, but he soon realized the house would not sell at his current price. Inevitably, Nick Millican informs, Babaee lowered his asking price by £million.
It is not just Babaee who is having problems selling his home right now, according to Nick Millican, a real estate expert. He explains homeowners throughout London are trying to sell everything from townhouses to beautiful flats and are lowering their prices to attract buyers.
Babaee is lucky he will still make money selling his mansion regardless of the price drop. However, some homeowners are trying to sell extra homes, even if they have to take a loss. As real estate agent Nick Millican adds, people are just trying to unload unwanted property (Twitter).
The reason for this, according to real estate agent Nick Millican, is that everyone is beginning to realize there is a problem with London’s prime housing market. Sales are down 2.1 percent across the entire prime London area. Also, international buyers are looking to places like Portugal and Dubai that are more welcoming to internationals and tax-friendly. Central London will continue to have problems until interest rates drop.