Buyers market and Saudi highlights
Ramadan Mubarak to my clients across the Middle East.
The start of the year is traditionally quiet in London’s prime property market, and 2025 is proving no different. Global uncertainty, particularly with Trump’s return to the White House, has created a wait-and-see approach to risk, impacting financial markets worldwide—including London.
Additionally, with Ramadan falling in March this year, the usual spring market boost from Middle Eastern buyers will likely be delayed. Historically, this has been a key driver for my firm, so we expect activity to pick up post-Eid, heading into late spring and early summer.
Most importantly I am grateful that most of the fighting as of March 2025 has ceased in Gaza and Lebanon and it seems like Ukraine may be next. The madness of 2024 for the region seems to have quietened down but it remains unstable. Praying the peace lasts.
Property market overview
Shopping in the sales!
The current property market in Prime Central London presents opportunities for buyers. While asking prices have remained relatively stable, there is a discernible trend of properties being sold below these initial figures, indicating a buyer's market. Inventory at the top end (£5m+) is increasing, with significant off-market stock available, as sellers prefer discretion to price adjustments.
I have recently purchased two repossessions in Battersea Power Station at a significant discount and bid on another repossession in Kensington W8 which was £1,000,000 under the market and what it was worth a few months ago…
These opportunities are not listed as such but are presented to buyers agents and others 'In the know'
Recent data underscores this shift:
According to the Coutts London Prime Property Index for Q4 2024, 76% of properties were sold at a discount to their asking price, with an average reduction of 8.9%.
Savills reports that in Q4 2024, average discounts on Prime London homes reached 8-12%, with some properties in historically prime areas such as Knightsbridge and Belgravia selling for 15% below their initial asking prices.
But London Is London and still the best city in the world in my opinion. Great property still retains its value if priced correctly.
Buyers are cautious but active – Political uncertainty and fiscal changes have slowed decision-making, but those who understand the market's current reality are securing strong deals.
Sellers are adjusting, but gradually – Many sellers have not officially reduced their asking prices, but when the right buyer emerges, meaningful discounts are being agreed upon.
Foreign buyers are slowly returning – A weaker pound has attracted US dollar-based buyers, who are seeing an effective 10%+ discount purely from currency movements.
What this means for buyers?
While the market isn’t flooded with distressed sales, strategic buyers who negotiate well and work with market experts can secure excellent value. Many of the best deals are being found off-market or in properties that have lingered on Rightmove and Zoopla for months.
If you are considering a purchase, now is the time to act —prices may not be crashing, but the deals are happening behind closed doors.
Saudi insights
Investment opportunities
I recently visited Saudi Arabia In February, where I met friends and explored two major real estate projects reshaping the investment landscape:
The Red Sea Project
One of the world’s most ambitious luxury tourism developments, focusing on sustainability and high-end hospitality. With Saudi Arabia opening up, this project represents a new frontier for international investors looking at lifestyle and resort properties. Please let me know if you would like more information.
A Fund Investing in Mecca
A strategic real estate investment opportunity centered around one of the holiest and highest-yielding property markets in the world. Mecca continues to attract millions of pilgrims annually, making it a stable and high-demand investment location. Yields of 21% per annum for 4 years.
Saudi Arabia is undergoing a massive economic transformation, with real estate at the heart of its Vision 2030 strategy. For investors looking at long-term international opportunities, these projects are worth serious consideration.
Final thoughts
The market is shifting, and opportunities exist for those who act strategically. If you're looking for insights, off-market opportunities, or investment guidance get in touch. I can help with not only buying but also with sales management and also relocations.
Wishing you a prosperous start to 2025!
Best,
Karim