American homebuyers are finding UK bargains, discounted by a weaker pound

There are double-digit price cuts in the U.K. due to a weaker pound.

The British currency has fallen against the U.S. dollar over the course of the last year. According to Knight Frank, prices in London are down 20% over the past year due to price declines and currency impact.

The U.K. real-estate market has become a great place for Americans to invest because of the drops.

The head of Prime Sales at Knight Frank said that they have seen an increase from Americans. The people who are forwarding their plans will use the opportunity to invest in other countries.

According to Knight Frank, the combination of price declines and currency drops has created an effective discount of 22% in London.

Tom Bill, head of residential research at Knight Frank, said that when the British pound was equivalent to $1.71 and real-estate prices in London were more expensive, the discounts were even greater. The neighborhoods have seen significant discounts.

The price of a 5 million pound property in Knightsbridge would have been $8.6 million in 2014, but now it's $4 million.

The savings are bigger on estates that cost a lot. The 2,500-acre historic estate in Wiltshire County, about 90 miles west of London, has been purchased by Steve Schwarzman, the billionaire CEO and chairman of the private equity firm. He might have saved up to $20 million on the purchase because of the drop in the sterling.

American buyers range from older couples looking for smaller apartments, to families looking at studios for a son or daughter going to school in the U.K., to the ultra-wealthy looking for rare properties that make for good long-term investments.

He said that they don't see a lot of speculation. Buyers are usually driven by a business or education.

Dring said that even though the currency has dropped, supply of homes throughout the country is still hard to come by.

The savings can be significant for people with money. One of the U.K.'s most historic properties is Adlington Hall, a 1,922-acre estate in the English countryside. Six farms, over 20 residential buildings, an event space and a village hall are on the property. It has been in the same family for over 700 years.

30 million pounds is about $33 million with today's currency exchange rates. It's a savings of more than $6 million for US buyers.