The Inside Edge
An overseas property investment is a unique investment and unlike buying property at home. Overseas buyers are generally buying a dream and not a property as this is what the bulk of this market is all about.
Rightmove Overseas recently reported that 42% of the searches on its site were from people that want a permanent relocation, compared with only 12% who were looking at pure investment. Some people, perhaps understandably, often get wrapped up in the quantitative world of rental yields and capital gains and what is going on in the marketplace. However, experience shows that about 85% of the people that we, as a company, deal with are looking at a lifestyle investment.
One of our clients at Altlas International recently broke down in tears at the thought of buying a property in Spain. It had been her life long dream to do so and it was humbling to see an outpouring of emotion when she realised she could now afford to realise her dream having finally retired.
Therefore I always say it is the right time to buy Overseas Property, but people have to look at their own situation to work out whether it is the right time for them. Every day now sees the market strengthening across Europe with exchange rates strengthening almost daily (the pound is at a 20 month high against the Euro), property search figures show far higher search rates than last year (Atlas International search figures show a 35% increase on the same period last year) and sales increasing month on month. The Ministry of Housing in Spain for example has recently reported property sales in the first quarter of 2010 were 7% higher than the same period last year and 17% higher than the last quarter of 2009.
The Overseas Property market is incredibly broad what with a huge variety of countries on offer and therefore there will always be winners and losers. However, certainly the winner at the moment is the market itself. People are regaining confidence and certainly we are seeing more of the attitude “if we are going to have to endure a recession we would rather spend it somewhere hot”
James Dearsley is the European Sales Manager of Atlas International, a family firm who have been involved in the Overseas Property Business for over 30 years now and have helped move more than 75,000 people into their dream homes abroad. For more information about the company visit our website: www.atlasinternational.com