Stars, stripes and smart investments: are US buyers making a comeback in the Capital?
If you’ve noticed more transatlantic accents at open houses lately, you’re not imagining it. From St. John’s Wood to South Kensington, there’s a quiet surge in interest from American buyers – and London’s property market is rolling out the red carpet. With the dollar riding high and global headlines fuelling a search for stability, the Capital is once again emerging as a go-to haven for wealthy international investors.
“As of 2025, London continues to attract high-quality international buyers, with American interest reaching a record 16 per cent of all overseas applicants – up from just six per cent in 2008,” says Nibs Lakhani, director of Goldschmidt & Howland’s Hampstead office. “A strong dollar, global uncertainty, and London’s enduring appeal as a safe, stable investment hub are driving this trend.”
It’s no secret that Prime central London has long served as a financial parachute when other markets wobble. During the global financial crisis, London became the safe haven of choice for overseas investors. And while we’re not likely to see the 68 per cent price growth witnessed between 2009 and 2014, today’s buyers are facing a different kind of value proposition: prices in Prime postcodes are, on average, 18 per cent lower than they were at their 2015 peak. Add a weaker pound into the mix, and US buyers are looking at a discount of up to 37 per cent compared to 2014. That kind of maths (or indeed, math) hasn’t gone unnoticed.
“Last year saw US investors into the UK increase by seven per cent and represent 11.6 per cent of all overseas buyers in Prime central London,” reveals Declan Selbo, partner, and head of St. John’s Wood sales at Knight Frank. “Each market tells its own story. St. John’s Wood for example always experiences significant demand from the US, with families wanting to base themselves as close to ASL – American School London – as possible.”
The education angle can’t be underestimated. London’s cachet as a global schooling destination continues to draw American families – particularly to leafy enclaves like St. John’s Wood and Hampstead – where international schools offer a seamless switch from Stateside systems. But it’s not just family life pulling them in. Lifestyle, architecture, and long-term rental prospects are all part of the equation.
Interestingly, it’s the mid-tier market that’s currently showing more buoyancy. Knight Frank’s latest data reveals a seven per cent increase in UK property exchanges under £5 million in the six months to March, while activity above that level fell by six per cent. That suggests needs-driven buyers – those relocating for work, schools, or lifestyle – are pressing ahead, while Ultra-Prime buyers are treading more cautiously.
But as Nibs notes, “Prime London remains a top destination for discerning global investors seeking long-term value, exceptional education, and lifestyle opportunities in one of the world’s most resilient markets.” In other words, if the pound is down and political nerves are up, London’s bricks and mortar are still very much in demand – especially if you’re buying with dollars.
