London Plans to Ring Fence Newbuilds to Keep Them Locally Owned

By Gary Cutlack on at

London's mayor has come up with an idea to please anyone able to magic up the laughably huge amounts of money needed to buy an "affordable" house in the city -- giving locals an exclusive buying window during which overseas investors are frozen out.

Mayor Sadiq Khan calls this the "first dibs" approach, under which newbuild homes constructed by a consortium of builders will be offered for sale exclusively to those able to prove they are a Londoner for one month, before being offered UK-wide for a further two months. Then, if the developers are lucky and no one's bought them, the international floodgates are opened and someone from Dubai can buy it in cash to use as a cupboard.

The restriction will only apply to new homes marketed at a cost of up to £350,000, so the insane luxury market won't be affected. Khan explained: "The industry offer is an important breakthrough -- I will now work with them to put it into practice, whilst also being clear we need the government to help us go further, for instance by guaranteeing extended mortgage offers to put London’s first-time buyers on a level playing field with investors." [London]

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