By Shravan Gupta.
The luxury housing market is recovering from the rocky start of 2025 and slowly bouncing back. It is possible due to changes in tax laws that have shifted the landscape, with international buyers stepping back and wealthy locals stepping up, showing renewed interest in prime London locations and countryside estates. The prices have decreased sufficiently to create the impression of a unique opportunity within the market, thereby paving the way for an entirely new category of luxury. The luxury home demand is on the rise with more people investing in it. The demand for luxury homes is shaped by a mix of factors, including shifting consumer preferences, lifestyle changes, and economic fluctuations. Shravan Gupta, MGF Group, says it’s definitely a great time to invest in UK real estate, which is why more people are choosing to buy homes and live out their dream lifestyles.
REASONS THAT MAKE IT A BUYER’S MARKET:
The Tax Tipping Point:
It started with a major policy shift: the UK scrapped its 200-year-old non-domicile tax regime in April 2025. This decision led to the departure of numerous foreign investors, particularly those who had previously dominated the prime London market. With fewer international buyers in the mix, domestic buyers finally had room to breathe—and negotiate. It is drawing buyers from around the world, making it a growing segment. The UK real estate market is offering lucrative opportunities and attracting new buyers.
The revival of middle market sales:
The middle market sales are on the rise in the UK market. It is influencing and transforming the dynamics of the middle market. The middle-class consumer is willing to invest in luxury homes and achieve the dream of living a luxurious life. Today middle-market homeowners sell at higher valuations—especially in northern regions where prices rose faster than in the south—they’re unlocking equity that enables them to upgrade to luxury properties.
Shravan Gupta, MGF Group, The luxury housing segment has proven to be a significant advantage for the UK market, making it an opportune time to consider investing in luxury properties. This sector holds the potential to drive UK real estate growth in the coming months. Furthermore, it appeals to high-net-worth individuals (HNWIs) worldwide, solidifying the UK’s status as a secure and attractive investment hub.
