An event in Hong Kong for investors interested in UK real estate.
Uptin Saiidi | CNBC
Many of the wealthy, wealthy Hong Kong people already have a footprint in the UK and they have already started some of these capital shifts or capital diversifications outside of Hong Kong
Asia Sales Director at BuyAssociation
Emigration ads on social media
In the past month, ads to promote emigration and international real estate investment have flooded Hong Kong users' social media platforms like Facebook, Instagram and YouTube.
The ads seen by CNBC include slogans such as, "Now is the time to consider UK real estate," "Join our free webinar on the road to a green card for US residents in Hong Kong" and "Create." A new life in Australia or New. " Zealand. "
Greatest interest is in the UK – where some ads even refer to recent announcements that the UK said it would grant up to 3 million people in Hong Kong a citizenship route through a British National (Overseas) Pass (BNO). The document was offered to selected Hong Kong citizens before the area was handed over to China in 1997. It currently provides passport holders with access to British consular assistance and the right to stay in the UK for six months.
China has described the UK announcement as "gross interference in China's internal affairs".
Mohamad Nasir, a UK-based investment advisor at NPP Investments, said the number of requests from Hong Kong for his properties in Manchester has increased. "We have probably seen a 200% increase in the past week alone," he said.
Three separate ads from CNBC promote Hong Kong real estate for overseas real estate
While he typically works with clients in Hong Kong who are primarily looking for investment properties, Nasir states that he is now receiving fewer rental income requests and more lifestyle and immigration questions.
"They say & # 39; I want to invest, but I might want to move as well – within the next six to twelve months," he added.
His company is just one of many that have seen a surge in demand due to the growing population of Hong Kong.
"Many of the wealthy, wealthy Hong Kong people already have a presence in the UK and they have started to move or diversify capital outside of Hong Kong," said James Dempsey, Asia sales manager at BuyAssociation, to investment adviser specializing in the UK market.
The company sells properties in key cities in the UK and has one of the largest peaks the company has ever seen.
"BNO passport status has really affected the general public," said Dempsey. "The biggest fuel right now is your normal person in Hong Kong. That's why inquiries and transactions are increasing so much."
The growing interest of global developers is not just from the UK. DLF Camellias Gurgaon, a luxury real estate project in New Delhi, has drawn much of its attention from the US and the UK to buyers in Hong Kong.
"There is now an increased interest that is being triggered in a market like Hong Kong by the political instability or fear that overlaps the Covid fear," said Karan Kumar, chief marketing officer at DLF Limited. "It is only more appropriate for us to reach this market more directly."
From the United States to the United Kingdom
Hong Kong investors buy investment property overseas is not new
Kingston Lai, who founded the Asia Bankers Club in the city in 2012, wanted his company to be a place that offers alternative investment services, mainly by investing in real estate abroad. At a recent event in Hong Kong, he spoke to crowds – first in English, then in Cantonese – to inform attendees about lifestyle and investment opportunities for a new development in Manchester.
"If you see the UK housing market is still at a very good level, the pound is cheap, you want to plan ahead," he told CNBC. "It plans ahead for their children's education, maybe for themselves someday."
Before protests broke out in Hong Kong last year, CNBC attended an event at the company that sold units to an openable skyscraper in Manhattan.
At the moment, the majority of Hong Kongers are most enthusiastic or excited about the Canadian program and events in the UK.
Senior Vice President, EB5 United
But that was last year. The situation seems to have changed since then.
"Interest in the United States grew, but now that something is happening in the United States, people are worried about the pandemic and the elections, which creates a lot of uncertainty for investors," said Lai. "Of course, the US dollar is still a very important currency … but if you think about potential growth in terms of the real estate market, you see greater potential in the UK market."
In addition to the UK, Canada, Australia and New Zealand are other developers that are strongly aimed at buyers in Hong Kong.
"At the moment, the majority of Hong Kongers are most excited or excited about the Canadian program and developments in the UK," said Brennan Sim, senior vice president of EB5 United, a company that specializes in providing immigration services in the UK United States
Lai now an estimated eight to ten times more requests for UK real estate in recent months.
"We know (the) The Bank of England is printing money, there is quantitative easing, "he said." During the crisis in 2008, this is on a larger scale, they are worried, they are worried that money is worthless, they are quick to invest in real estate. Britain will be a very good market for that. "
BuyAssociation's Dempsey said that buyers from Hong Kong were also attracted to the UK due to their educational system and the transparency of the land registry.
"At the moment it will be the largest capital shift from Hong Kong since 1997," he predicted. "People will be interested in the markets they think are the safest."