There is a rumor in the UK real estate market that it is going to crash due to several reasons; among them Brexit is one. If this happens, then it will not be a very positive thing to the economy and the market as a whole. Thus, if you are sitting on heap of real estate investments and eyeing to grab good returns, then you have all the reasons to worry. However, on the other side of the Atlantic the scenario is just opposite to the current market scenario of UK property market. Due to the strong dollar and increasing interest of the foreign investors to invest in the US real estate market the property industry is experiencing first ever boom after the depression. Thus, if you are an avid investor or keen on investing in the real estate market to earn good returns in the future, then the USA market can show you far better ways than its UK counterpart.
Difference of the real estate market in the UK and USA
If you have made your mind to invest in the USA real estate market rather than making loss by continuing to invest in the UK property market, then it’s better to learn the main differences which keep the two markets apart from each other.
- The market: UK vs. US: first thing which you need to learn is that in the US, real estate means the land and housing properties. On the contrary, in UK property market means mainly the housing properties only.
- Size and price: as the land is scarce and population is growing in the UK, thus you have to pay a huge premium to own a property and the dwelling place can be smaller. But in the USA the scenario is totally different due to the abundant lands and housing properties; you can own bigger properties in lesser prices easily.
- Investment Pattern: to invest in the real estate market in the US people take the help of the real estate agents; on the other hand in the UK there is no such mandate; thus in the US you have to hire somebody to get good properties and chances of cracking a good deal is also bright.
- The UK housing market has a growing alternative hybrid way to sell houses compared to the US. The UK has a strong online estate agency market with property buyers such as https://propertycashbuyers.com and http://www.propertypitstop.com offering estate agency and property sale services online. The USA still relies on traditional high street agents who advertise through websites such as redfin.com.
- Business vs. salaried agents: in the US where people are more reluctant to do 9-5 jobs and interested to make a career in this market as an entrepreneur you have to pay commission for the completed sale. But in the UK there are the salaried agents whom you have to pay a salary after the competed sale or renting your property.
- Selling is easy in the UK: due to the boom in the real estate market in the UK you can have the help of the online property buyers like Property Cash Buyers which makes the process faster along with the traditional property agents like Tepilo.com. You can find both types of companies easily online as they post their ads frequently online. But this kind of business environment still does not exist in the USA.