According to research from Nomo, which has examined Rightmove data over the past 12 months, the popularity of other UK regions has grown, with Scotland accounting for 19% of GCC demand and the North West making up 18%.
The GCC consists of Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the UAE.
The report noted that buyers are drawn to cities like Manchester and Liverpool in the North West, as they have lower-value entry points and average yields of around 5-7%.
Looking at Scotland specifically, Nomo said the demand for rural and urban areas was strong, with Glasgow, Edinburgh and South Lanarkshire among the most searched locations.
Birmingham also continues to be attractive, along with cities like Leeds and Sheffield.
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Looking at property type, the report found that there was a shift in preferences, with demand for new-build homes falling by 5% compared to the prior year, and this was notable among first-time buyers.
However, there has been an increase in demand from the second-stepper category, which suggests homeowners based in the UK are “taking advantage of lower entry prices” to buy property for “lifestyle purposes”.
There has also been a move towards limited company purchases by buy-to-let (BTL) investors, especially those buying through a special purpose vehicle (SPV), which shows a more “professional, planning-led approach”.
Looking at the proportion of demand by country, demand from the UAE and Saudi Arabia stayed stable year-on-year, at around 57% and 16% respectively.
However, Qatar increased by 2% year-on-year to 13% and Kuwait fell by 2% to 89%. Bahrain and Oman were in line with the prior year’s figures, at 3% and 2% respectively.
Layla Hamidian, head of property finance sales and servicing at Nomo, said: “Property finance providers in the UK played a crucial role in supporting evolving GCC demand in 2025, adapting their products to better meet the needs of overseas buyers. Last year, property finance providers became more flexible in both pricing and structure, introducing higher finance-to-value ratios, cashback incentives and legal fee support to attract and retain Gulf clients. Nomo has also evolved its offering in response to these trends, including the introduction of property finance with a loan-to-value ratio of up to 75%.
“Now in 2026, Nomo predicts that demand from the GCC for UK residential property has the potential to be boosted by falling borrowing costs and an improved macroeconomic outlook. Gulf buy-to-let investors should also plan carefully as the first phase of the Renters’ Rights Act comes into effect. With expertise in international property finance work, this is something we’ll be supporting clients with across the year ahead.”
