Navigating the shifting UK luxury residential property landscape

Recent reporting highlights several significant trends that UK residential property lawyers should be tracking closely.

Family office moves

The UK's abolition of the non-dom tax regime is driving tangible behavioural changes amongst some ultra high net worth individuals and their family offices. Many offices that have been happily settled in London for years are now looking to relocate at least part of their operations elsewhere, leaving the UK in the footsteps of their wealthy founders.

Jurisdictions like Hong Kong and Dubai have set up dedicated programmes to court family offices, and there has been a definite rise in families hedging their bets and establishing offices away from the well-trodden paths in London. However, at the same time, others have returned to the market after putting their plans on hold in anticipation of a difficult Autumn Budget. We are seeing many deals which had been put on the back burner sparking into life once more.

Growing interest in multigenerational property

The growing shift towards properties accommodating extended families – driven by millennials and Gen Xers planning for both young children and ageing parents – has significant legal implications. These transactions increasingly involve more complex ownership structures, including trusts and multiparty arrangements.

Property lawyers must navigate planning permissions for modifications, structural alterations to create self-contained accommodation and the estate planning considerations that arise when multiple generations have interests in a single property. This isn't simply about finding a larger house – it's about structuring ownership and use rights in ways that serve families across decades.

Privacy as a core requirement

Perhaps most notably, privacy and security have moved from preference to prerequisite for wealthy buyers. This concern manifests in how high-value residential transactions are structured. Clients increasingly expect sophisticated approaches to confidentiality and will take steps to reduce the digital footprint around their transaction, agreeing to off-market deals and strict non-disclosure agreements.

For more information on the latest developments affecting the luxury residential property market, you can read Sotheby's 2026 Luxury Outlook report here.