General Discussion

http://www.channel4.com/news/property-foreign-buyers-house-prices-speculation-tax                this has been happening in Devon and Cornwall for years, empty most of the year and over inflating house prices. Now its affecting our beloved capital it becomes an issue lol

The difference is that many homes down here were bought by people already resident in the UK full time.  In some parts of London (various Boroughs have this problem, there is no "Borough of London", there are Boroughs that make up London) homes are being marketed abroad "off plan" before other parts of the developments are then marketed in the UK.  This is inflating the prices that are paid and this knock on effect then ripples out from the centre and affects the outer Boroughs and the counties surrounding London and so on.  It happens in other cities too but not to this extent.

Part of the reason for house prices rising in Devon and Cornwall so much is because cities are becoming far too expensive for many people to live in and so they look to new areas to settle where they CAN afford to buy a reasonable property to suit their particular needs.  Just look at any city, town or village in the West Country and see how many people have moved here from other parts of the country, partly due to the high cost of housing where they have come from.  I know it's true because we did it and I don't regret it for a moment, but it does mean the house we bought went to incomers rather than somebody local, but then the local people selling it didn't seem to mind taking our money, but then it was our plan to be here full time and they knew that.  

And that is the real point about second homes etc etc - if the locals really ARE against it, then don't sell your home to someone who will use it as a second home.  And don't also think that it only affects the South West, other areas of the UK have very similar problems.