London’s ultra-prime housing market rebounded during the first half of 2026 as wealthy American and Gulf buyers increased their investment in the capital, according to Beauchamp Estates.
The agency recorded 34 sales of homes valued above £15m, worth a combined £1.24bn. This represented a 26% annual increase in transaction numbers and a 79% rise in value from £694.1m in the first half of 2025.
The average sale price rose from £25.7m to £36.5m, helped by two transactions worth more than £100m: the reported £275m sale of Providence House in Chelsea and the £195m sale of The Holme in Regent’s Park.
American buyers accounted for 30% of £15m-plus sales, while purchasers from the Middle East represented 25%. Together, they acquired an estimated £682m of London property.
REFURBISHMENT BOOM
Demand was strongest for large, refurbished freehold homes that buyers could occupy immediately. Some 24 houses worth £977m changed hands, compared with 17 generating £519.7m a year earlier.
Pic credit: Beauchamp Estates
Eight apartments sold for a combined £197m, down from nine in the corresponding period of 2025, although their total value increased from £158.4m.
Belgravia led activity with nine sales, up from two, while St John’s Wood and Chelsea each recorded five. Mayfair saw four transactions and Notting Hill and Bayswater recorded three.
Pic credit: Beauchamp Estates
The recovery came at the cost of substantial vendor discounts. Beauchamp Estates said the average difference between asking and achieved prices widened to 16.2%, compared with 8.1% in 2025.
STRONG REBOUND
Jeremy Gee, managing director of Beauchamp Estates, says: “London’s ultra-prime residential market has rebounded strongly during 2026 with 34 deals for homes valued above £15 million, equating to £1.24 billion worth of property sold.
“London’s luxury homes market is being driven by American and Middle Eastern buyers who account for 55% of all the sales, purchasing a staggering £682 million worth of property in just six months.
“The London real estate market has benefitted from the booming American economy and AI/tech sector and the ongoing US-Iran-Israel war in the Middle East which has led to a significant flight of capital from the Gulf states into the London real estate market.
“Beauchamp Estates has had an extremely busy start to 2026, especially with clients from the USA and Gulf. Since April 2026 we have done five big deals, all with American buyers who have wanted homes in London’s best addresses.”
