Take, for instance, a £2.5 million house in W11. A 20% discount to reflect the reality of the current market brings the asking price down to £2 million. But the pound has lost almost 30% against the dollar in a year. The W11 townhouse that would have cost $5.125 million in December 2007 looks something like $2.96 million now.

Our publisher looks at exchange rates and bricks-and-mortar, in his weekly guest column for Citywire.

Technorati Tags: theRatandMouse