Smart investors know that overseas property investments can yield 25-100 % returns if properly managed. One intelligent measurement to lower risks is to lock in the the value of the investment property with the help of third parties so that if the value goes down you will be able to sell the property to them and not loose a penny.
An example would be buying a international property, if you pay 80K and the market value falls to 50K, having locked it’s value through a third party you can still sell it for the original 80K, now if on the other hand the property appraises at a value much higher than what it was originally purchased for, all you loose is a small lock in payment but made a substantial profit.
This is a different way of investing compared to other markets, as you may be able to deduct the advantage is that you are able to lock in “the risk” at a set level in exchange for a small payment which represents the maximum loss you are willing to take. This way overseas property investors have a high leverage when investing in foreign real estate.
The best way to invest in foreign real estate listings is to select an established or “currently in development” market, as well as making sure that the laws in such places are favorable to foreign investors. Good investment markets which fulfill these conditions are Dubai and Cyprus.
Cyprus property can be obtained after completing a “permission to purchase” application with the Council of Ministers. This is a step every foreign investor must complete, in order to purchase property in Cyprus which is not very restrictive. An investor can purchase up to four thousand square meters of land and an additional house or apartment.
Similarly, buying Dubai property offers many advantages due to the fact that real estate prices keep increasing because of the high demand these properties have. The demand increased radically back in 2002 when the crown Prince made an announcement which allowed foreign investors to purchase property. Due to local tax and business advantages this particular market blossomed and it’s now a great place to develop any business idea.
Real estate investments in foreign countries offer great ROI “if and only if” the investor verifies local laws pertaining to properties and business. Always remember to diversify your investments, even if you are investing in a relatively stable market.
February 25th, 2010
posted in Property Investment
Property investment in the UK has witnessed massive growth over the last decade.
A house bought 10 years ago, would be worth around 300% more today. If you were to look at house price growth over a longer period, youd be amazed by the results. For example, if you had bought a house in 1952, today it would be worth around 90 times more!
At an average growth of 8% per year, a house bought today for 215,000 pounds would be worth in excess of 1 million pounds in 20 yrs! 10 houses bought today for 215,000 pounds each would be worth an unimaginable amount!
Even today, as the market shows some evidence of slowdown, there are pockets of above average growth in certain towns and villages across the country. Its the job of the property investor to hunt out these areas and milk them for all they are worth.
When looking for property to buy in the UK, it is always advisable to do some research before commencing any viewings. Recent statistics on house values in any one particular area, historical data and local trends can help you to build a clear picture of the suitability of any one location for investment purposes.
A common misconception among novice property investors is that you can only really make money in property when house prices are going up in value. In this scenario, you would buy a property for x amount and resell shortly after for x+growth amount, pocketing the difference in value. If the market was flat, your property would still be worth x several months later, i.e. exactly how much you bought it for. When house prices are going down, your property would be worth less several months later, e.g. x-growth.
However, any experienced investor will tell you that you can make money from property investment regardless of whether house prices are increasing, decreasing or whether the market is flat. By buying well below market value, you would safeguard your investment from any short term economic trends that would normally affect your propertys value. You would also gain immediate equity in your property investment.
When deciding to embark on a career in property investment, as with anything else, you need to educate yourself. You can do this by attending seminars, attending courses and meeting others in the same field. Talk to real estate agents, brokers and lenders to gain a good basic understanding of current and future trends in property investments. Furthermore, take advantage of free online courses and material to learn the ins and outs of property investment.
Property investment is not rocket science. By learning and applying just a handful of basic principles, theres no reason why anyone cant benefit from the UK property investment market.
February 24th, 2010
posted in Property Investment
If you want to invest in property, but are nervous about the housing market in the United Kingdom, then a Brazil property investment could be the answer for you.
But why purchase a Brazil property investment? There are many reasons:
Beautiful Brazil
Brazil is the land of beauty with pristine beaches, steamy jungles, exciting cities and year round sunshine. It is a country where people love to party, love to dance, and love to enjoy themselves.
Tourism is booming as more people want to experience the vibrancy of Brazilian life. In north-east Brazil, between 2002 and 2005, there was a 150% rise in tourism. For 2008, 9,000,000 visitors are expected in north-east Brazil, placing it in the top 20 most popular tourism destinations in the world. Consequently, Brazil’s tourism success is creating a huge demand for accommodation, and property investors are acting early; purchasing bargain properties that will yield a good rental income.
Bountiful Brazil
Brazil is the tenth largest economy in the world and is one of the four largest developing economies in the world. Agricultural, mining, manufacturing, and service sectors are well developed, and their mineral wealth is vast. The leading manufacturing industries produce textiles, shoes, chemicals, steel, aircraft, motor vehicles and parts. Exports include soybeans, concentrated orange juice and beef. It is estimated Brazil will be the world’s fifth biggest economy by 2050.
Brazil’s new administration took office in 2003. Since then, the government has succeeded in creating an economy ideal for foreign investment through successful policies that has created a strong economy, reduced inflation and a strong export market. Brazil’s President Lula is a progressive leader and he understands the need of increased domestic investment for the country’s continued growth.
The currency in Brazil is the Real (the code is BRL and the symbol is R$.) Currency rates are favourable with the Real, which makes property investment an attractive option to foreign investors as they avoid losing money in their exchange transactions. In recent years the Real has stabilised and become more competitive with other international currencies, such as the US Dollar; in turn this has increased purchasing power for overseas property investors in Brazil.
The cost of living remains very low, about 20 – 30% of prices in the UK; the cost of running a home and paying for a caretaker is about £50 per month.
Brazil’s Building Boom
The north-east coast of Bahia, as well as Rio and Sao Paulo are experiencing a wave of new development which should offer some excellent returns on investment. An improved infrastructure in Brazil has increased the building boom in Brazil, for example: a bridge is being constructed to connect north Maceio to the city of Recife. The bridge will greatly improve access to the north and property prices are predicted to rise in the area.
Brazil is now connected by direct flights to the UK and the rest of Europe, and this will significantly open up the market to both business and holiday travellers from the UK. In turn this leads to a greater demand for temporary accommodation for both groups.
The 2014 football World Cup, also known as the FIFA World Cup, will be held in Brazil. This will put the country on the international stage and highlight many of country’s major cities; boosting interest from both holiday makers and overseas property investors. Meanwhile people, who already have a commercial Brazil property investment by 2014, may see a huge demand for their rental/hotel accommodation due to the influx of football fans.
In conclusion, Brazil is an exciting country for many reasons: diverse scenery, fantastic lifestyle, and a reduced cost of living. Last but not least, a Brazil property investment offers excellent returns for investors.
February 21st, 2010
posted in Property Investment
Over the past couple of months I have done quite a bit of reading up about Argentina as a great place for property investment. Situated with the Andes to the West and the Atlantic to the East, this incredible country has a lot to offer anyone looking to invest in property abroad.Argentina and other areas of Latin America have been experiencing rapid growth and an increase in economic stability and with it the country is seeing a new and fresh prosperity.Argentina has been sheltered from the credit crunch, by the fact that most property is bought in cash. MoneyWeek.com commented that because the country is not made up by ‘easy credit and excessive leverage’ that the foundations of the property market are pretty secure and ‘bubble proof’. Property Investment in Argentina has other benefits too. It is cheap. In the London you could expect to pay £3 for a coffee. Go to the States and you could pay $3. Go to Buenos Aires and will pay around 3 Pesos. The dollar is barely worth half a pound and an Argentinean Pesos is only worth a third of the dollar. Breaking it down like this, it is clear to see that property investment in Argentina is affordable and is becoming more of a hot spot for property investment.Property investment in Argentina is not without its pit falls or gambles though. You have to keep your wits about you. Be careful who you trust and make sure that you are talking to reputable sources. Speak to other people who have invested abroad in Argentina and local estate agents. Build a rapport.There are some great buys to be had in property investment especially in Argentina, but you have to be sensible and enjoy it for what it is. One property investment hotspot is Caballito, which is an area of Buenos Aires, the capital of Argentina. Caballito is great for property investment and is even a home from home with the ‘English District’ with its British style architecture.Where ever you decide to invest in property abroad, Argentina has charm and a beautiful way of life that you cannot fail to fall in love with.
February 20th, 2010
posted in Property Investment
The credit crunch has forced many people in the UK to divest themselves of some of their assets. This is a normal reaction to a declining market. But what about those property investing entrepreneurs who have chosen to hold on to their investments, are adding to their portfolio and are even taking advantage of the credit crunch? Why are these investors acting differently from the many others in the midst of a so-called gloomy outlook?
Holding on to your property
It isn’t surprising that many property investors have wisely opted to hang on to their properties in spite of a slowdown. Property is regarded as the best option for long-term capital growth and it provides an opportunity to earn long-term profits especially for those who buy in the right place at the right time. Over the long term, property prices have the tendency to move in cycles with property doubling in value generally every seven to ten years. This means that an investment property such as a buy to let investment property can be a prudent choice as long as it’s selected carefully and with expert guidance.
Also, the present buyers market has resulted in less confident banks and fewer suitable mortgage products for borrowers. Due to this, the number of potential buyers has considerably declined. This means that a property may not sell unless the owner prices it way below market value. Selling in the current market also poses a few disadvantages such as agents’ fees, solicitor’s fees and capital gains tax for those who own the property as a 2nd home or investment property.
Adding to your portfolio
Many investors have found that the present market is a good time to add to their portfolio. This is because of the glut of affordable properties being put up for sale in the market. Auctions in particular are good sources of cheap properties such as repossessed homes that can be acquired for as low as 30% below market value. As part of a smart property investing strategy, the key to making a good investment is to acquire properties at BMV prices. It doesn’t only provide enormous profits. It’s also the secret to obtaining little or no money down financing – an excellent strategy for investors looking to expand their portfolio.
A buy to let property is considered a good addition to a property portfolio. Buy to let has been viewed by many as a stable and resilient market because of the considerable returns it has generated. One important aspect about the buy to let industry is that the rental market is predicted to remain strong due to robust demand from tenants and from young professionals who have decided to forgo making a property purchase until a later phase in their lives as a result of the scarcity of mortgage products available for them.
Taking advantage of the credit crunch
While a credit crunch is extremely unfavourable for many, benefiting from it isn’t an improbability. As bad as it may sound, the economic downturn still poses a number of opportunities for the property investor. One is that you can take advantage of the competitive rates being offered by pursuing alteration plans for your property. The slowdown in the economy means that people will consider remaining in their current homes for a longer period which means that owners will be inclined to implement improvements on their properties.
Therefore a decline in the property market doesn’t have to be all doom and gloom. As long as you know how to play your cards right and implement effective property investing techniques, you’ll be able to survive the current property market.
February 11th, 2010
posted in Property Investment
Over 90% of the richest people in the World have become wealthy through investing in property. As well as this, a large portion of the people that didn’t become wealthy through property, now use property as their preferred investment vehicle to either create more wealth or to protect the wealth they already have.
This article will teach you 5 steps to property investing success. After reading it you should have a better understanding of what it takes to become wealthy through property and what sort of sacrifices you will have to make to get there.
1. Make better use of your time. What do you currently spend most of your time doing? Most people spend the majority of their time indulging in two activities. They are either at work or they are sleeping. In fact, including the commute to work, many people spend about 18 hours of every working day doing these activities. However, what they do with the other 6 hours and what they do with their days off (assuming they have that luxury) is what holds the key to their property investing success.
You might do vital things like get time with your family, but what about things like watching T.V. or playing video games, or even going down the pub. If you sat down with a pen and paper and wrote down how much time you spend on these, none essential activities, you might be surprised at how much time you are wasting that could be spent doing other things, such as learning about money making or actively investing in property. Including the weekends, many people spend about 18 hours a week, watching T.V. If you could cut this down to about 5 hours a week, it could have a massive impact on your life.
Successful people generally don’t spend every afternoon, sat glued to watching Eastenders. Do you really think that this is how Richard Branson or Philip Green spends their time?
Cut down on the amount of time you spend doing things that have no real benefit to your future happiness, and instead invest this time on more productive activities, such as learning how to achieve property investing success.
2. Make your money work for you. If you are used to getting paid an hourly or a daily rate, then the chances are you are probably not very wealthy. The wealthiest people in the World do not generally get paid an hourly rate. They master how to get their money to work for them so that even while they are sleeping they are accumulating wealth. This maybe the single most important thing you should learn to you help get you out of the rat race.
3. Set goals. Learning how to set goals correctly is crucial to your property investing success. You need to set clear goals otherwise you will lack focus and purpose in your plans. There is a small chance you might be successful, but if you set goals you are much more likely to be even more successful. You need to plan where you want to go and what you want to do. On top of this you need to understand why you want to achieve what you want to achieve.
4. Strategy. Setting you goals will set out what you want to achieve, but planning your strategy will tell you exactly, HOW you are going to achieve it. Goals are virtually useless unless you have a clear strategy and plan of how you are going to achieve them. When you are writing down your strategy you need to think of everything that might crop up and put a spanner in the Works, then you need to plan how you will overcome it.
5. Mix with the right people. This can be online through property forums or in person at property networking events or any other way you can think of. It is vital to your investing success that you mix with people that have similar goals to you and/or that have already achieved what you want to achieve. You might all of a sudden find that all your friends and relatives are telling you that now is not the time to get into property and that you have already missed your chance of making serious money from investing. The only way you are going to be able to continue to believe in the face of negativity from those who care for you is if you have proof around you of those that have succeeded and continue to do so.
It still is, and perhaps always will be, possible to achieve property investing success. This success is available to anyone who is prepared to follow the steps and make the sacrifices today that will insure their future tomorrow.
February 10th, 2010
posted in Property Investment
More people than ever are looking at overseas property investment as a way to make money.
Properties are cheaper and there are some big gains to be made, but a large amount of investors when buying overseas property investment fail to balance the risk reward correctly and lose.
Here we will outline some basic overseas property guidelines to ensure that you have the best chance possible of making a solid gain on your investment.
Track record
Would you buy any investment without a track record? Probably not, but many investors do this when they buy overseas property investment.
They simply want cheap property and the biggest gain possible but this more often than not ends up in big losses.
They are tempted to buy new markets that could take off.
The big variable here is “could” Sure, if it takes off then big gains could be made but why take the risk?
1. Buy a property market with a track record
You want to know the overseas property market you are buying has a track record of solid gains and low downside risk. Property trends go on for a long time and the fact you missed the start doesn’t matter.
Buying into the trend will mean you are buying a POPULAR area and chances are it will get more popular.
2. Looking for future potential
When buying an overseas property as an investment look for solid reasons why the investment will rise in the coming years, so look for:
1. Rising foreign capital and migration to the country
2. A general consensus that the country is accepted as safe and a good location
3. There is a solid reason for the trend to continue
For example, the baby boomer generation in the US has its eyes on Central America it’s close, safe and encourages foreign investment. With high prices in the US and the baby boomer generation looking to get a better lifestyle at lower cost, the trend will likely continue.
4. An established foreign community
Gives others confidence to invest, so more tend to follow as a result. People like to be around people from their own country and a large well established foreign community will do this.
5. Getting the right location
When buying an overseas property investment look for the up and coming areas. As a market develops so do new areas and these are the ones to buy chances are they will become established areas and yield similar gains
When looking at your overseas property investment look for the above and try and buy near new significant changes in the infrastructure such as marinas, hotels, roads etc.
6. Property trends last for years!
A popular market can take a long time to run out of steam. As it develops there will always be opportunities for profit and you have the comfort of having a track record of gains and these are a guide for what future gains will be.
If we look at Central America again the Costa Rica property boom is now over 10 years old, yet savvy investors are still making triple digit gains in just a few years by buying into the rising trend.
7. Balancing the risk – reward
With the above strategy you won’t buy the cheapest overseas investment property, but you will buy competitively priced property and have the best upside potential, to lowest downside risk and that’s what most investors want.
8. Be a pioneer if you wish
If you want to buy overseas property investments and be the first in fair enough, but keep in mind the risk. Your market may never take off, or you could wait a long time.
The pioneers made big money but most fell to arrows!
If you want a solid return with low risk on your investment, then buy an established market, which is rising in popularity.
Pick your locations in up and coming areas and you will have low risk and the potential for solid or spectacular gains ahead.
February 5th, 2010
posted in Property Investment
It has been very interesting to see the different reactions from investors to the credit crunch and subsequent reduction in available finance available to property buyers – which has had a knock on effect on house prices.We are seeing investors generally falling into two camps – those that see this very positively – the Can do-ers, and those that have decided it is a good time to sit back and do very little – the Can’t do-ers.The investors with clear goals and “Can Do” attitudes are getting on with it and seeing things in a very positive light. It is well acknowledged that in the UK it is a buyers’ market – and this is offering some terrific opportunities. The key is understanding what makes a good deal – whether it is offering a high rental yield, low money down, undervalue, or in area showing strong capital growth – and what fits in with your personal strategy.It is important to remember not all property deals will suit all investors ie one may be most interested in rental return, whereas someone else may be more interested in low money down. However all investors will want to buy a property that over the mid term is going to go up in value – and so it is important to choose property that has a good chance of doing this.While some investors have seen their local areas slow down – they have then realised there are some fantastic opportunities worldwide – and some economies such as Czech Republic or Albania growing far quicker, and property markets at a completely different stage of the cycle offering huge returns. I am pretty clear on my thoughts on the UK market – based on current interest rates, and current salaries in the UK – with an average salary of around £21,000 – house prices up to £100,000 have a very good chance of rising in value over the next 5 years – as they are very affordable – so for me these are the logical markets to target – and they have done very well over the last 5 years, and will do over the next 5 years. With the average house price in the UK being over £190,000, then I would have thought most of the UK is over valued – and so the average property may well drop or at least be fairly flat for the next few years – which is why it is important not to target the average property!The key though is my viewpoint hasn’t changed all of a sudden – and has been based on the same economic principles that have done me well over the last 7 years. This is apparent with most investors who continue to do very well – they have not varied their viewpoints too much, but have been able to adapt with the times and changes. For instance when borrowing rates went up recently, and more than expected – you had to adapt accordingly either by increasing rents, which has happened in many areas of the country – or by looking for higher yielding properties in the first place when buying, or putting in a lower bid to cover increased borrowing costs.What has been very good for investors in the right areas is that the sellers, who may well have a very good value property in the first place ie under £80,000 also read the same papers, watch the same news and listen to estate agents – and have felt under pressure to also reduce their asking prices! This has been very good for buyers – as even though these properties are already undervalued – the sellers have been influenced by the media and are willing to take reductions in price – this can be used to our advantage! As I have said in the past – securing a £200,000 property at 15% below the asking price is hugely different to securing a £80,000 property 15% below the asking price – as with the lower priced property you will see a far stronger %age return on investment over the next 5 years. So there are so many good reasons to ramp up your investments at this stage – and many investors are. It will depend on your own personal belief levels, and confidence. It is no surprise when we do our workshops that those with clear, written goals are the ones who are achieving the most. At our most recent one in Manchester, was a lady who has bought 30 properties this year – she has a strong Can Do attitude and has gone out there and done it. Most investors are naturally Can Do people – which is what separates them from everyone else in the first place – but beware you do not become a Can’t Do-er if you want to achieve your goals!Cant do-ersWhat makes a Can’t do-er? Usually it will be someone who has got into investing as it sounded good at the time – but probably was not mentally prepared, or had all the skills and knowledge required initially to invest successfully, or has a poor peer group, who are very negative.At the first sign of trouble, they have used this as an excuse to get out of property, or scale back their initial plans. Unfortunately most people have a lot of negative influences around them – family and friends are usually the worst! Partly they want to protect you (although they are unclear what they are protecting you from), and partly they are scared you are going to go and do something outside the norm and be successful – and leave them behind.Many potential investors, or actual investors, go into investing without a clear focus, mindset and strategy – and then get put off immediately something goes wrong, or something unexpected happens.It is like running any business, you must be prepared to deal with different consequences – both good and bad. In buy to let, you will at times have an issue with a tenant, or a managing agent – and you will see some properties perform less well as expected, just as you will see some properties perform brilliantly – this is no different to every day life and business.It is always frustrating to see people give up in life too easily when they set goals eg getting fit, losing weight, or buying 10 investment properties – but then again for the rest of us it means there is more opportunity! In life to get the rewards of success it will always take hard work but it will be well worth it – it amuses to me to see resentment of film or sports stars earning a lot of money – why resent that? These talented individuals are at the top of their game and bring pleasure to millions – and so are worth every penny. Likewise in property – those that are doing the best will be the investors working the hardest on their strategy, and staying focussed to hit their investing goals.Fortunately the vast majority of property investors are Can do’ers, and this has always been a big attraction for me – ie investors can bounce off each other, and encourage each other. Generally investors know why they are investing and why property investing is the best way to build up mid term wealth for almost all individuals. That is why every year in the Sunday Times rich list in the UK – the biggest %age of people in there will have made their money in property and this will continue year on year – as investors will continue to look for new opportunities.Yes at times, you need to tweak your strategy ie look outside your home town, and consider Overseas, fast moving property markets – but the key is to remember whatever the newspapers tell you this year successful property investors will again do very well – and property markets around the world will continue to rise in value with double digit growth – which when leveraged will give phenomenal returns.If you would like to discuss your strategy, or need to re-focus on what are trying to achieve, why not have a chat with one of our Portfolio Development Managers – and see how they have helped investors go from 0-10 properties in a very short space of time, or helped investors re-align their strategy with the current market conditions.
February 4th, 2010
posted in Property Investment
Buying property in Montenegro for investment offers anyone wanting to invest in property a superb opportunity for big capital gains.
The country was recently voted one of the top 5 overseas investment destinations and investors are looking at property investment in Montenegro and its advantages longer term and buying in increasing numbers.
Why Montenegro Property Investment is rising in popularity
Many countries that have recently joined the European Economic have seen strong growth in property prices and Montenegro look set to follow this trend.
Montenegro could could join the EU as early as 2010 and has already adopted the euro as its currency.
Montenegro’s property market offers capital growth potential on property values, but there are also great buy-to-let options in the cities and popular tourist resorts.
Montenegro Facts
Montenegro is a small country of just 14,000 sq km. that sits in the Balkans.
It recently voted to become fully independent of Serbia in 2006 of which it had a loose federal union with after the break up of Yugoslavia in 2003.
Montenegro maybe small but has something for everyone from:
The fascinating capital of Cetinje, to rugged mountains, breathtaking river gorges such as the awesome kotor fjord and finally, the beautiful beaches of its Adriatic coastline.
With approximately 200 kms of coast and some of the most stunning bays in the Mediterranean, like the Bay of Becici – Montenegro has much to offer and is far cheaper than its near neighbor Greece.
So why should you buy be looking buying property in Montenegro?
1. The best value in Europe
Capital appreciation according to the World Travel and Tourism Council should see growth of up to 20% between 2005 and 2014; and the “value of Montenegrin property should triple or quadruple, given the huge surge in demand.
2. Tourism set to boom
In 2005 Montenegro was chosen as the #1 Country for tourism growth over the last ten years, by the World Travel and Tourism Council.
The government is committed to the development of tourism having realized that there is exceptional potential in this area.
The potential can clearly be seen in the recent development of the Tivat marina, costing in excess of $600 million and more such developments look to follow.
Montenegro benefits from close transport links to Dubrovnik’s International Airport, which offers competitive and regular flights in and out of Croatia.
Getting Dubrovnik takes only around 20 minutes.
In the near future, the budget airlines are expected to reduce the cost of flying to Montenegro as its popularity increases as a tourist destination.
3. Rental yields and capital growth potential
Montenegro is short of quality summer rental properties to accommodate an ever-increasing number of tourists visiting Montenegro beautiful Adriatic coast.
This means, rental yields should remain strong for the foreseeable future.
4. Montenegro enjoys a low cost of living.
This includes the cost utilities, making it extremely attractive for renting out investment property to the tourists.
5 Montenegro has a booming economy
The economy is strong and overseas investment is increasing, when Montenegro joins the EU investment will accelerate.
6. The buying process is straightforward
The buying process is relatively straightforward and transaction costs and taxes are cheap.
Montenegro property investment looks a great investment for long term investors all the above will come together to create both capital growth and lucrative income from buy-to-let properties.
With average growth of 30% per annum and far higher in many locations and strong growth likely to continue astute property investors are buying property in Montenegro for high rewards and low risk.
If you are looking for the next property hot spot consider Montenegro Property investment and you may be glad you did.
January 31st, 2010
posted in Property Investment
There are numerous overseas property investments to choose from, but how do you pick the best one?
Below we have outlined 5 simple tips for you to consider when buying abroad, so you can make the most of your overseas property investment, in terms of return on your investment.
The 5 tips below could see you double or triple your overseas property investment in just a few years, so here are your 5 tips for buying an overseas investment property.
Note: Against each tip we have provided an example of a solid overseas property investment and its advantages to reinforce the points.
1. Buy an Established Market
There are a lot of overseas property investments that are touted as the next “big one for growth” and you should get in early. Problem with many of these overseas property investments is you are one of only a few in and prices never take off and worse still plunge in value.
The best way is to buy an established overseas property market that has a track record of good growth and where prices are still relatively cheap and have potential for further growth.
Costa Rica: The market has been growing steadily for the last 10 years and the average growth is 300%.
This is an average growth and many investors have made much more on their investment, by careful choice of locations.
2. Look for competitive Prices
Once you have found a good established market that has had good property growth rates, look for prices that have the potential to give you further potential growth on your overseas property investment and that the market is not over priced.
Costa Rica: Despite the past growth rates prices still remain around 70 – 80% cheaper than equivalent properties in southern US states, such as Arizona or Florida.
3. Look At Long Term Prospects for the market
Take a look at the long term prospects for the country that your overseas property investment is in.
For example, how does the local economy look from a growth and stability point of view?
There is no point risking your money in an overseas location that has the potential to be unstable politically or economically.
Many overseas property investments advertised are in economies that are poor and where the government and political situation is fragile.
Costa Rica: Is a long established politically stable democracy and doesn’t even have an army!
The country is stable, has the potential for substantial growth and this fact is reflected in the huge investment from both US residents and corporations such as Intel
3. Look at Up & Coming Locations in the country
If you want to make more than the average growth rate from your overseas property, then look for new and up and coming locations. As locations become established, they become more expensive and growth potential drops.
Look for the next hot are and look at the coming infrastructure to see if you can take advantage of buying near important new developments
Costa Rica: Consider the following changes and think how you could take advantage of them.
1. A New freeway
Due to be completed shortly, this road will link the largest metropolitan cities to the Pacific Coast.
2. A New marina
The largest marina in the country will be completed soon in the coastal town of Quepos.
3. A New airport
A new international airport is being planned and will be built near the town of Orotina. Buy near these and your investment can take advantage of increased prices once they are completed
6. Rights and Ease of purchase
Many countries don’t give favourable purchase rights to overseas investors and this can mean problems if you don’t do your research, or there are laws that apply to you that are unfavourable.
Costa Rica: Offers the same rights of ownership for foreign buyers as residents and the buying process is made simple by the government, who are actively trying to attract overseas property investment to Costa Rica.
Overseas property investment – do your homework!
Don’t fall for sales hype and buy locations that may look good make sure that if you do overseas property investment, the location looks good already.
Make sure you do some research on the country itself in terms of stability prospects and legal rights for buyers.
Do all of the above and you should dramatically increase the potential for growth from your overseas property investment.
January 31st, 2010
posted in Property Investment
Slovenia property investment is hot and it has recently been named one of the best 10 countries to invest in the world. This article will look at Slovenia property investment and the potential for capital growth which has been estimated at up to 280% over the next ten years.
When investing in overseas property a number of factors need to be considered which include:
The countries Political stability, economic growth and housing values at the present compared to possible future growth.
Slovenia property investing has become popular with savvy property investors all over the world, due to its potential to earn great capital growth and solid rental incomes from the buoyant buy-to-let market.
1. Economy
One of the newest members of the European Union (joining in 2004) with the top performing economy of any of the recent member states.
Government macro economic policies have seen Slovenia achieve and sustain great growth.
The Slovenian economy features:
Small external imbalances and public debt, while at the same time lowering inflation and keeping interest rates in line with the rest of the euro economy. EU entry has increased confidence which in turn has increased trade and increased growth, and overseas investment has increased steadily as a result and this has also seen property investment rise dramatically.
Per capita incomes have reached about 80 percent of EU-average for year end 2006.
With growth rates running at around 5% per annum Slovenia’s economic future looks solid. It is this economic expansion which is driving house prices up, as higher incomes and people looking for second overseas homes has increased the demand for quality housing stock.
2. Geography & Communications
Slovenia is only small, compact country and is around half the size of Switzerland or the size of Wales, yet it is beautiful with diverse scenic beauty.
Located to the east of the Trieste region of Italy, it also has borders with Croatia, Austria and Hungary making it a country at the crossroads between the established western economies and the new emerging nations of the east.
Slovenia makes a great base to explore a host of nearby countries and attractions – Venice, Prague and Budapest are all within a day trip.
Many investors who buy a Slovenia investment property are skiers. You can Ski in three countries in one day with one ski pass in these three countries Italy, Austria and of course Slovenia
Slovenia has good infrastructure and communications which is great news for the economy and tourism generally.
With budget airlines flying direct to Slovenia and offering frequent and cheap flights, more people are getting easy access to the delights of this country.
3. Beauty
Slovenia is a beautiful country. The country features all the following:
Stunning mountains, tranquil lakes, alpine forests, valleys, dotted with vineyards and finally, a beautiful stretch of Adriatic coastline. There are also bustling cities and towns such as the capital Ljubljana, the coastal town of Piran with their many attractions and plenty more. Ljubljana is popular with investors and has been compared to Prague and features beautiful baroque architecture, lovely church spires and a cosmopolitan atmosphere.
There is much to enjoy and that leads on to next point which is boosting Slovenia property investment.
4. Tourism
Tourism is rapidly becoming one of the most important industries in Slovenia, as it catches up with its neighbors who have promoted their tourist industries more aggressively until now.
5. Quality Housing
The capital has become popular with overseas property investors, who are taking advantage of growth rates of 30 – 40% per annum. The city reflects the economic growth of the country and new housing is lagging behind demand. This is due to strict local planning laws, which are restricting the flow of quality housing and demand is out stripping supply.
Primorska on the coast and the mountainous area of Gorenjska are the next most expensive places to buy in Slovenia but offer great returns.
6. A Boom in Its Infancy
Property booms tend to last for a long time and the boom in Slovenia investment property looks to be no different. With prices starting at around £40,000 and a wide choice of areas that remain relatively undeveloped there is a wide choice to suit all tastes and budgets.
7. Potential
With capital growth forecast to be up to 280% for the next decade, Slovenian investment property offers solid returns in a safe and stable environment.
You can of course also get rental incomes in the major towns such as Ljubljana and a host of other developing areas offering Slovenian property for sale which include:
The holiday resorts of Lake Bled and Lake Bohinj, Maribor, the beautiful coastal city of Piran and the ski resorts of the Kranska Gora region, as well as the Soca Valley – an area of outstanding natural beauty.
8. Ease of Purchase
The buying process in Slovenia is designed to protect both buyers and sellers and local finance is also available from banks and secured locally on the property. All details are held at a central Land registry, making ownership rights clearly visible to all – which is not the case in many countries!
9. Its Safe & Friendly
Slovenia has friendly, helpful, courteous people and an absence of serious crime making it a welcoming country which leaves an impression on all who visit the country.
Slovenia property Investment offers overseas buyers a lot and buying property in Slovenia has never been more popular and it’s easy to see why.
Discover Slovenia property investment and you maybe glad you did.
January 27th, 2010
posted in Property Investment
Learning is the beginning of wealth. Learning is the beginning of health. Learning is the beginning of spirituality. Searching and learning is where the miracle process all begins, Jim Rohn
Investing in property may seem like todays flavour of the month. However, due to the large amounts of money changing hands, it is not something that you should try without proper training and guidance.
When I first started investing in property, I spent a lot of man hours educating myself. I bought every single book on property that I could lay my hands on. I spent a lot of time and effort attending workshops and seminars. When I had become confident of my abilities, I ventured out and bought my first property.
Buying my first property did not mean that I could now stop learning about property investment. In fact, it was the exact opposite. I was now spending more time learning the different property investment strategies; I was attending more seminars and courses and reading specialised books on investing. Had I stopped learning after my first purchase I would not be a successful property investor today.
A couple of weeks ago, I did some research to see what courses were being offered to help people get into property investment. Quite frankly, I was shocked by the results. I found single day courses and workshops ranging from 500 pounds to 10,000s pounds. And, thats not all.
I even found several portfolio companies requesting 6 figure sums in return for an off the shelf property portfolio! Today, every other person appears to be offering a property investing course. How do you choose which one is right for you?
Firstly, my advice would be for you to not pay anyone to buy a property portfolio for you. If you want success in property, you need to understand at least the basics of property investing. Paying someone a truck load of money to buy a few properties for you will not give you this knowledge.
Attending property courses should by definition increase your knowledge of property investment. However, prior to parting with any money you need to address the following issues:
- What are the credentials of the course organiser? Is he/she a property investor himself and how much experience does he/she have?
The best person to advise you on property investing would be someone who walks the talk – theres little to gain from a presenter who has never bought a property before.
- What are the course contents? Will advanced techniques be addressed?
Its the advanced techniques used by successful property investors that will set you apart from all those other wannabe property investors.
- How many people will be attending the course?
A course attended by hundreds of people may lack the personal touch, but will present networking opportunities to you.
- How much and how long is the course?
Paying several thousand pounds for a one day course is too much. You need to weigh up the cost, length and contents before making up your mind.
- Will I be given the opportunity to network with other attendees of the course?
The property business is a business of relationships. You need to network with others in the same business as you will not be able to do it alone.
- What is the location of the venue?
Is it worth travelling hundreds of miles to a course that may be offered closer to where you live?
- What support will be provided after completion of the course?
Course attendees quite often become unstuck after attending a course. You need to find out if any support is offered after you complete the course.
Only once you are satisfied with your answers to the above questions should you part with any cash.
Be warned though, attending a course by itself will not make you into a successful property investor. What will set you apart from any other attendee on the course is your level of motivation and determination to succeed in property investing.
January 22nd, 2010
posted in Property Investment
Everybody wants to have a secure future and therefore look out for various options to invest their money wherein they can earn substantial returns. Generally, people tend to invest their hard earn money in stocks and share which is definitely a risky process to an extent however as the time is advancing people are moving towards investing in the properties which promises a better rate of return and above all a secure process. Investment in land and properties has steadily gained the repute of being one of the best ways of investing.
Stocks, debentures or funds often do not come to the expectation of the people and also due to its nature of being up and down frequently, people are gradually turning towards a more promising investment and that is properties investment. However, an investor should be well equipped with property investment information before taking any decision. Proper advice on the properties investment helps in taking a well informed decision. Discussing with the property agents and conducting market research helps to a greater extent. Such things will enable you to know about the extent of rent an investor can earn. Another major thing which should be emphasized upon is that never ever invest the entire amount of your earned money, it is always better to find out the sources from where loan can be obtained on the reasonable interest rate.
It is always good to select an area which is already yielding profitable returns rather then investing into some land which is yet to be expected to gain appreciation in the near future. This will help the investor to gain immediate results other than waiting for the results to come. Also, people tend to get attached to their properties; it is advisable to think like a property developer, who has a business to do with the land. Moreover, any planning to get the property renovate should only take place if houses for the sale can help the investor to fetch good amount of profit.
Gathering all the relevant information related to the latest happenings in the property world helps to a larger extent. There are a lot of magazines, published articled etc available that provides the reader with the first hand information of the properties available world-wide. Pay visits to the property developers, enquire about the existing land rates and rent rates and invest only when there is any lucrative option is available.
Never get taken away by people who try to de-motivate, without finishing the entire research work and see it for your self, what happening in the market. Doing proper calculations and being smart helps an investor from investing in a property which is unlikely to provide with the good returns. If such home work is done with zeal and enthusiasm profits are sure to come.
January 20th, 2010
posted in Property Investment
The idea of investing in rental investment property is very attractive. Many turn to the real estate market, because it is a good method of long time investment. Property investment brings a good income, depending on the location of the real estate. Even if it is profitable, not everyone possesses those qualities which really make him or her good landlord. However, the one who possesses these qualities can earn a fortune due to the profits from renting the apartment or the villa. If you really decided to buy a property for its rental potential, your real work starts finding a good property for investment and this takes time, connections and good research in this field are vital.
As with any other investment property, you should know from the very beginning how long you intent to rent your property for. The longer you rent it out your property for the more rent you will receive freeing funds to further improve the property. You can also wait till you get at least a half of your invested money back, and after it to sell the property in its condition when market conditions are favorable for this. You can as well face more property investment risk with a shorter time renting. Even if, your rental will almost certainly appreciate over the next 15 years, it could as well diminish its value in the next 10 years, especially if you buy your property in an agitated market. That is why you will need a bigger potential annual return in order to cover the potential risk which might possibly occur. Nevertheless, in any case you should be careful from the very beginning.
Long-term ownership is more suitable for many small investors. You will have a lot of time to avoid any real estate market perturbations, and the investment property income can turn out to be a good supplement to your day job. With time, if you really get interested in this type of business, it can even become your day job. Although, the small landlords do not work in a professional capacity. The landlords who have some experience in this field find the necessary properties using different methods. Some analyze the market and the forecasts. Some buy real estate with foreclosures, but for this there are necessary certain connections with the city hall clerks or bank employees who know which properties are about to be sold. Newspaper ads can also serve a good help. Others sign contracts with real estate agencies which keep the landlords updated.
One thing you should look out for when deciding for a property investment is you can save enough for retirement and other goals before advancing in rental real estate investments. While rental income can represent a good supplement for your retirement money, most people should not rely on it to substitute other savings or make them entirely opened to the perturbations of the local real estate market. Those who are adequately adjusted to different investments in bonds, stocks and cash will be more ready to pass over the bad and good times. Because it is clear that, the rents and the value of the investment property can rise and fall as well, so it is important to be ready to count on other investments in order counter-act a bankrupting situation. You should calculate your expenses very carefully, from the very beginning in order for your expectations to be up to the level of the income you might receive.
January 20th, 2010
posted in Property Investment
Copyright (c) 2008 Parmdeep Vadesha
More and more people are putting UK and international property into their portfolio of savings and investments. With property investing comprising a big industry in the UK, it is natural that it is attracting a lot of investors who are on the lookout for great investment opportunities. If you are interested in property investing in the UK, you might want to take a peek at what’s going to be in store for you.
The United Kingdom holds a place as one of the world’s greatest trading powers and is home to the biggest financial center in the world. The country’s economy is the fourth largest in the world. Aside from these facts, here are a few more that make investing in the UK a practical alternative.
Rental Property Is Big Business in the UK
Purchasing a home today requires enormous financial commitment. With the prices of houses constantly increasing, a lot of young professionals perceive house-buying as next to impossible. They find it difficult to raise adequate capital for a deposit on a property. What becomes the next most viable alternative is renting. This then creates a big opportunity for property investors, who will find the established rental market in the UK an advantage.
Low-deposit structure. A lot of new-build properties belong to a low-deposit structure, making it possible for property investors to buy more than one apartment. This allows them to spread the risk factor between units.
Buy-to-let schemes are attractive alternatives. Property investors will find that buy-to-let financing is appealing since many schemes allow multiple purchases without the need for additional proof of financial standing. This is because the mortgage is obtained on the value of the property and the rental income rather than the individual making the purchase.
More investors are coming in. With high city bonuses house markets are being driven higher as a growing number of people are seeking to invest their money in property which is considered the most secure type of investment. Property investing in the UK is a lucrative endeavour, but if you don’t feel too confident about being able to do it, finding an experienced property investor to guide you would help you get the boost you need. You can find them in property investing web sites, or from friends or relatives who are also in the business.
As sometimes word-of-mouth is not enough, you may want to seek more information and advice from other property investors who have invested in the UK. You can do this by joining the tycoons-forum.com, where more experienced property investors are constantly meeting up to discuss all things related to property investing. This is one way of gathering information on the latest and most exclusive investment properties. You can also find resources on different issues related to property purchasing, such as land ownership, legal, infrastructure, rental and management, taxation, and more.
The steady and continuing growth of the property market in the UK poses a profitable opportunity for property investors. As long as you are equipped with all the information you need to have to endure in this industry and you keep yourself well-informed, there is no reason why you won’t make it big in this business.
January 18th, 2010
posted in Property Investment
A lot of people are making real money with their residential property investment portfolios. While the concept can be daunting to new investors, the key to making money is simple. And who doesn’t want to make money?! You may already know just how simple it is, but if you haven’t, here is a quick guide along with some helpful tips. A lot more than luck is required to make good investments of any kind. Really, with any investment the more you know the better you’ll do. With that in mind, you can study up on the basics of residential property investment. Nothing is more valuable than money, and the best way to protect and increase yours is with a solid strategy. If you’ve done your homework and are ready to take the next step, then that means you’re going to be viewing a lot of residential investment properties. The number one mistake first-time investors make is buying into the hype of so-called hot properties, and overseas properties are all the hype right now. Sure, having the ocean in your backyard sounds nice, but that’s for tourists not for property investors. For some new investors, the prospect of making their first residential property investment is overwhelmingly exciting while others feel only anxiety or fear. Both feelings are normal but letting your excitement override your good sense can prevent you from making the best investments, and letting fear hold you back can keep you from ever getting started. Begin by considering the following questions: · What are you really looking to accomplish? · What type of long-term goals have you set? · What are your expectations? · What type of finance options do you have available? Is Income or Capital growth, more important to you? Or perhaps both? When buying and selling investment property, each investor will have their own goals and strategies. Regardless, many still fall for typical sales lines and enticing new deal offers over and over again. The best advice for new investors would be to start by determining and focussing on their investment property strategy goals. The following four basic options to property investments are: 1. Flipping Property – In order to profit from the sale. 2. Buying Development Land. 3. Invest in “Income Generating Property” in the “Buy-to-Let” and “Commercial Property” markets. 4. Invest in Property Development Companies. Once you have decided which investment property strategy is best for your specific situation and goals keep the following business factors in mind: Consulting with most Professionals may seem like a good idea. Just remember that you should see your solicitor for legal advice, your bank manager for financial advice, your accountant for tax advice and your local real estate agent for actual property investment advice and also for any tips on where to find some of the better investments. Use professionals specifically in their areas of expertise only. Lastly, beware of the media and incorrect and often misleading information. Stay on top of the property market by following top sources only.
January 14th, 2010
posted in Property Investment
A lot of people get into property investing thinking that its just about buying houses; you buy a house, develop it and then sell it on. Or you buy a property and then rent it out. And, in return for your efforts, youll make a load of cash!
Surely, if life was this simple, everyone would be investing in property. Right?
Before you throw in your job and embark on a lucrative career in property investing, you really need to sit down and try to understand what property investing is really all about. Property investing is a serious business. Treat it as a hobby and you will only ever achieve hobby profits. However, treat it as a business and youll get great results.
A successful property investor who buys and deals in property every day will:
-Understand what vital research is required before he offers on any property. This will include a lot of desk research including but not limited to ringing estate agents and letting agents to get the feel of any one street in any one area.
-Perform essential calculations to assess the viability of the purchase before even stepping out of the front door to view the property.
-Know exactly which locations to invest in, and which to avoid like the plague.
-Have a system in place to enable him to source and buy property below market value time and time again.
-Know all about clever negotiation strategies that will help him to save literally thousands off any property purchase.
-Understand creative strategies such as options, no money down and cash back deals.
-Know how to invest not just for asset building, but also for cash flow.
-Be able to structure each deal to suit the property sellers situation.
-Understand both buy-to-sell and buy-to-let strategies.
-Know what to do with the property once he has bought it.
-Have mastered the basics of property ownership and how to be a good landlord so that tenants never leave.
-Will know about property development and how to ensure that jobs get done on time and within budget.
-Know how to create a win-win situation every time.
So next time you think about investing in property, consider the above and start knowing exactly what will be expected of you to succeed. Dont start investing in property thinking it will be easy money with very little effort.
Property investing will require a lot of hard work and dedication especially from the outset. Educate yourself on the subject and develop a list of like minded friends and mentors whom you can consult when you get stuck.
If you go into property investing knowing the above, theres a good chance you will succeed. However, if you maintain a casual ‘lets see what happens’ approach you will throw in the towel much sooner than you initially expected, labelling property investing as a waste of time!
January 14th, 2010
posted in Property Investment
Property investment is a wise concept to consider, especially in the USA. Some individuals may be hesitant to invest their money in real estate due to the latest news headlines concerning the slow real estate market. However, such an issue can in fact act in your favor in a few different ways. There are a few different reasons why engaging in an investment in real estate now is a great thing to do.
One reason to consider purchasing real estate as an investment is that although the market is slow at this time, everyone needs a place to live. The sale of property may be slow right now but this does not affect the purchaser of the investment property. This in fact will help to benefit the purchaser of the investment property, especially if he/she plans to rent it out for investment purposes. Many individuals may not be able to afford to buy property and therefore will be willing to rent the property from you. This is an advantageous factor for the buyer of the investment property and one very good reason to consider buying some property to hold as an investment.
Another benefit to engaging in the investment of real estate is that equity on the property will accrue throughout the years. Although the market is seeing some trouble in various areas of the United States, it is still possible for a good amount of equity to be built in the property. In other words, the real estate slump is not expected to last forever. Therefore, those who invest in property may find that they receive a nice return on such an investment property in the future.
An investment of this type is also beneficial in that it provides a safeguard for the property owner to have in their back pocket. With the ups and downs of the real estate market it is nice to know that one has a roof over their heads even if it is currently being treated as a property investment. Should an event occur where your primary residence is not livable or you wish to move, it provides peace of mind for you in knowing that you do have a property in reserve just in case you may need it.
Lastly, by choosing to invest in property in the United States you may be able to lay claim to something which is up and coming. Certain areas throughout the United States are experiencing revitalization and one area which was once a less desirable place to live may just be the new hotspot. By selecting a property investment of this type you are becoming part of a new era and investing in a piece of real estate which will pay you back quickly and efficiently in the future.
January 11th, 2010
posted in Property Investment
Property investment has always been considered an attractive option for many people in the UK who are seeking financial freedom. Even with the perceived stabilisation of the property market, property investors still consider the investment vehicle a viable one now that prices are declining and yields are going up.
The rationalisation for this is that the buy to let sector in particular is presently undergoing rising rents and shorter vacant periods – two factors that bring about lower voids compared to those of typical borrowers. Furthermore, by purchasing discounted property from distressed and motivated sellers, there is potential to earn instant profits from day one.
What buy to let offers property investors
Investing in property, particularly buy to let, offers financial benefits in the short, medium and long term. In the short to medium terms, property investment offers various tax efficiencies. For the medium term, property investors can benefit from increased rental income brought about by inflation and the rise in market rents. For the long-term horizon, property provides capital growth. Capital growth is the increase in value of your property portfolio over time. It refers to the money you make as the value of your property goes up in price.
Why buy to let remains popular
Here are the factors that contribute to a healthy demand for buy to let properties:
* Immigration. One of the reasons that buy to let has become a widespread investment vehicle is due to the rise in legal migration to the UK. A survey from Paragon Mortgages revealed that migration is adding to the UK’s population by 0.3% annually.
* Household shortage. According to the Department for Communities and Local Government, the UK needs more than 200,000 households a year to meet the housing demand. However many property experts say that there is a major shortage in housing supply.
* Social trends. The divorce rates in the UK have risen significantly: In 1980, there were 148,500 divorce cases in all of UK. In 2000, the figures climbed to almost 200,000, an increase of more than 30%. There has also been a considerable increase in the number of people who stay single by choice and enter marriage later in life.
What to consider before investing in property
* Where to buy: Property experts suggest that you look up historical data and consider the pattern of capital growth over the last 10-20 years. This will help you determine whether the location you are interested in buying property in is worth the money. Your main goal of investing should be to achieve long term capital growth.
* What to buy: When investing in property for the long term, you need to think about what type of property to buy. Some experts recommend apartments since these establishments have high initial returns and require low maintenance usually.
* When to buy: The time to buy property is as crucial as actually purchasing it. Considering that it is impossible to know when prices are going to hit rock bottom, some experts claim that the best time to buy is now.
For you to thrive in property investment, specifically buy to let, you should be able to find the balance between obtaining the best out of your property and effectively managing spending. It is similarly crucial for you to ensure appropriate rental cover and a suitable mortgage product. But most significantly you’ll be able to get the most out of your property if right from the start you have already earned profits from it – which is possible if you buy the property at a below market value price from a distressed seller.
January 8th, 2010
posted in Property Investment
The fear and hesitation that surrounded investment in overseas real estate till the recent past seem to be evaporating with sufficient confidence building measures by the world’s major property markets. Governments are becoming more accommodating towards international property investors and are making property ownership possible for them. Even the countries with the strictest property laws are having second thoughts and seem prepared to let the foreign investment pour in. Many of the world’s leading real estate markets have even launched mega projects dedicated for investment from overseas buyers.
Not very long ago, any type of real estate transaction be it buying, selling or renting, was a tedious and tiring task involving physical presence and lot of paper work. Thanks to today’s technology, most part of the labour involved in property ownership process has been removed. International property buyers can now search for their desired property through internet and even pay a virtual visit to the property right from the comfort of their home. There are hundreds of real estate websites available on the internet whose property listings are regularly updated. All the buyer needs to do is simply browse the relevant property listings and the right property is just a few clicks away.
Overseas Investment property gives the owner a double edged opportunity for profit making. After buying the property remotely, the owner can rent it out and enjoy handsome regular income while staying home. On the other hand, the value of property also keeps rising at the same time and its resale after a short holding period can bring very attractive profits to the owner. And more interestingly, a residential property can serve a great second home away from home for the investor. Overseas property investors are well aware of these lucrative benefits of investing in international real estate and for them; high rental yields and rapid capital appreciation are two of the most attractive features of this type of investment.
UAE, especially Dubai, ranks first among the most favorite global investment locations. Other major property investment hubs of the world include Brazil, Dominican Republic, Egypt, India, Italy, Morocco, Panama and Turkey. Property investment, whether it is residential or commercial, in any of the said locations can bring the investor multiple income-generating opportunities which are way better than any other investment. Even an old and shabby property purchased at low price can be resold at amazing rates after a bit of refurbishing.
January 4th, 2010
posted in Property Investment
Australia is fortunate to have a housing market which is stable for foreign property investment. Its consistency is set to continue for years to come and low property prices are still an attraction in foreign property investment Australia and the prospects of strong growth are reassuring for the foreign property investment Australia.
There are still offers for foreign property investment Australia with good opportunity to benefit from its rising property values. There is one region that seems to be becoming more popular every year and that is the region of Melbourne in Foreign property investment Australia.
Foreign property investment Australia in cities will find that they not only have an investment with a real demand for rental properties, but also something more secure and easier to resell in the future. The obvious advantages in foreign property investment Australia are there to see established, cosmopolitan cities with advanced infrastructure, a buying process that is easy to manage. The Buyers need to get (once Foreign Investment Review Board approval is gained), and signs of strength in the economy.Foreign property investment Australia Off plan properties are available from developers in much the same way as in the UK and many other countries, though overseas buyers will have to pass muster with the Foreign Investment Review Board (FIRB). This legal necessity is usually resolved within 40 days, if you present the correct paperwork to back up the application in foreign property investment Australia.In Melbourne there are two distinct markets with the extremely popular bay area attracting higher levels of demand in foreign property investment Australia compared to outer suburbs. This is reflected in price growth, with areas of high demand in foreign property investment Australia experiencing greater price growth than outer suburbs.
January 1st, 2010
posted in Property Investment
Purchasing a property in France has always been viewed as a lifestyle investment for the many who love the country’s cuisine, wine and the general way of life. Since the nation is one of the most popular international tourist destinations, it has naturally become one of the most well-known and sought-after investment areas in the world. This is why being part of the French property investment world is seen as one of the most profitable undertakings by many individuals with a keen eye for hefty returns.
While there are various reasons why people buy properties in France, property investors zero in on solid rental returns and exceptional capital growth which for over seven years has continued on average double digit rates, states online portal FrenchEntrée. The most popular areas for property investors are Paris, Cote d’Azur and the Alps. Even though the potential to purchase properties is hindered by supply and building restrictions, the long-term outlook continuously appeals to property investors.
Where to invest in France
As with all property purchases, choosing the location of your property is extremely crucial. The idea is to search for a property in an area that is not yet pricey but is being gradually discovered by tourism. But one of the most practical French property investment strategies is to buy in areas where many people go to on holiday in large numbers or where there is an abundance of jobs, where communications and access are excellent and where there is a flourishing domestic economy.
Letting your French property
If you already have acquired an investment property in France, the next thing you want is to make it pay its way. You can do this by renting your property. In general, a property located in a French city provides a better opportunity to successfully let it for a long term while one that’s situated in a rural area is more suitable for short-term letting. Since France is typically every tourist’s dream destination, you are well-positioned for a healthy rental income.
Get in touch with others in your area that rent their properties, try to determine typical rents and think about speaking with rental and lettings agents. You can also have a professional survey done on the property and have them inform you of its earnings potential.
One of the most well-known ways to let out a property in France is through a leaseback. Known as a good long-term investment in the UK, a leaseback can have rental yields of 5.5-6% but the main thing to consider is the viability of the investment. Thus it becomes crucial that you look at the site yourself so you get the assurance that the strong rental return figures are strong indeed. Under a leaseback scheme, the shortest lease available is 9 years. With a French property investment scheme, you need to make sure that you get indemnity insurance prepared as well as the typical buildings and contents insurance.
If you have chosen a French property investment carefully, you will now have a property in France in an appealing location. To ensure capital gain on the property, it is recommended that your investment outlook is long-term.
December 31st, 2009
posted in Property Investment
The chief goals of any property investment are appreciation, cash flow and tax savings. Rental property investment is the only property investment that provides you all these three benefits at the same time.
The main rental property categories consist of single family rental properties, multi-unit residential rental properties, commercial rental properties and holiday homes. The first category includes long term single family renting, the second category includes apartments, buildings for multiple families while the last category includes shopping centers, office buildings etc. for a long tem renting purpose. Here are other points to consider with real property investments:
1) Methods like repossessions, ugly homes, and probate homes are useful for buying property. Lease purchases can be extremely useful which help you to leverage investment money and reach a positive cash flow from renting. Buying fixer upper homes or repossessions can help to reduce investment money and improve cash flow and appreciation.
2) One cannot expect a considerable cash flow from property with one tenant. In this case, the main goal is to cover the mortgage and current expenses.
3) Research on a potential rental home should include significant financial planning for years ahead, like expenses of property management, repairing, vacancy, emergency etc.
4) The apartment and the 2-4 unit homes are the main classes of the multi-unit residential property investments.
5) With apartment investments the main profit comes from the rental cash flow. A lease to purchase option and leveraging investment money is quite useful in this case. The most significant factors in this case are the financial evaluation and property management. With a steady cash flow from a number of tenants, it is possible to hire a manager for the property management. It helps to increase the cash flow and the value of the apartment building. Underestimation may damage the investment and lead to loss.
6) Commercial properties investments include office buildings, retail shopping centres, industrial properties and the like. The market value of these properties is decided on the cash flow (net rental income). The main objective of rental in these cases is to generate enough cash to exceed the cost of mortgage, insurance, maintenance, future improvements. This is not an easy task to handle. It requires analysis of many things. But if done properly it could prove to be lucrative. Changes in the economic conditions usually have a pronounced impact on these types of real estate investments than on residential property investments. And as office buildings and industrial properties are more susceptible to these changes, it is wise to keep extra capital to support those investments if something does not go as expected. In this case, a money-leveraging approach (lease to purchase option) is very useful.
7) A holiday home can be used in two ways. It can be a property home or an investment property. This category includes resort properties, mountain homes, or beach homes. With holiday rentals, the main profit comes from the appreciation. Cash flow generated from renting is usually used for current expenses like property management, mortgage and insurance. These are short-term rentals and require intensive maintenance.
December 26th, 2009
posted in Property Investment
Property investment is not a single option in itself, but it provides lots of options for you to choose the right kind of investment for you. There are lots of types like residential property investment, commercial property investment, buy to let property investment, land investment, business property investment, overseas property management and others. We can see the brief notes about these types of investments here and for more detailed information and to know what kind of property suits you the most, you can just check out our links available on this site.
Investing in Residential Property has always been a good investment for everyone as it gives a sense of security to one and gives that much required status in the society. Real estate investment has shown consistent growth in value over the years and has remained stable, even in times of crisis. Investment in real estate provides you equity and generates cash flow.
Commercial property is one of the most preferred options among the different types of investments. A commercial property is nothing but an area that is zoned for businesses. Business property, such as office buildings, medical centers, hotels, stores, etc., which are intended to operate with a profit come under the category of commercial property.
The phrase ‘buy to let’ usually refers to the investment strategy of buying a residential property to be let for profit. You buy the property not according to your need, but according to the market demand. Since the mid-nineties there has been rapid growth in the property market leading to a surge in demand for rental property.
Land investment has always been a good option, both for personal and commercial use. You have plenty of options; you can sell it at a higher rate, you can build homes and make it a residential complex, or make it a commercial complex and so on.
Business property investment is also catching up quickly, as there is a demand for commercial premises within the city and also in the suburbs of the city. The dividends are high, since they are used for commercial purpose. Apart from these things, you can also buy property abroad and keep it as your holiday home or you can rent it out through the agencies out there.
December 25th, 2009
posted in Property Investment
Dream Property Investment in Dubai
Property Abroad is one of the dreams of many people. Property Investment seems like a nice dream but something that could never come true. This is all wrong! The potential for Property Investment is now so good, as more and more markets become available to every buyer. If you are a first time buyer and seeking that little piece of Property Abroad or you want to build up your portfolio to include greater property investment, you can do it!
Once you have decided that you want to invest in Property Abroad then the next step is choosing the right place to suit your budget. This can seem like a daunting task, especially if you do not know which way to turn. The answer is simple, if you are looking for a great potential Property Investment market then look no further than Dubai.
If you are considering whether or not you should Invest in Dubai, then just think of how much money you will make in return. For a small amount of capital you can buy a Dubai Property and you will make great returns. The market for Dubai properties is constantly going up, which means that more and more people are desperate to live there. If you have a good piece of Dubai Property then you will take advantage and make money.
The Dubai Property market is where you can make money. Any professional Property Investment holder will tell you that if you find the right market then you will have the edge over others. Once you Invest in Dubai you will be able to tap into the need for executive accommodation and rent your property out. This means that instead of having a vacant apartment or building, you can make money from tenants, and when you want to move there either temporarily or permanently you can. You can make money from your Dubai Property throughout the year, helping to increase your overall Property Investment return.
Choosing the right property to suit your budget is key. You shouldn’t break the bank to get the right deal. There are potential property investment options for anybody. The lower end of the market has properties that can cost around £20,000. These suit small investors and those that want to buy a Dubai Property but cannot afford a high price.
The higher end of the market which deals with more professional Property Investment portfolios can cost around £1,000,000. This type of property can showcase all of the best assets of Dubai and cam make a real impact on your finances. The return that can be expected from these types of properties is amazing.
All Dubai Property is well maintained and structurally sound and can offer many different styles to suit. Whether you want to live in contemporary Dubai or live in a modern Dubai Properties complex, they have it all.
If you want to experience a better life and live comfortably then you should seriously consider the option to Invest in Dubai. The market is good and it is one of the best places in the world to live right now!
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December 23rd, 2009
posted in Property Investment
Property investment has always been one of the most common methods of investing capital. Many know that property investment can be a lucrative business option and hence many investors consider it an integral part of their diversified portfolio.
Investing capital in a specific industry like property is a long-term way for individuals or families to obtain financial security for their present as well as future. As property values are rising in many countries, investors can achieve good capital growth.
Here are important points to consider about property investment:
1) The bottom line of property investment is to find an affordable property that can prove to be highly lucrative for the future. Anyone can invest in property and use any number of the many books and guides packed with helpful information that are available on the internet and at local bookstores and libraries.
2) Sometimes this huge amount of information can seem to be complicated and confusing. The best advice is to start from a primary level and then learn some tricks of the trade. If you are a beginner, you must look for a profitable property investment…so seek articles and tips on this.
3) Though the whole scenario of investments is always changing, property investment is still a viable means to enhance your financial portfolio. As time moves on, for example with newer media options of television and internet, new trends in property investment are appearing.
4) In the last decade, a common way to buy and sell property was to buy a house and / or to fix the existing problems. Prepare your property for resale and then sell the house quickly.
5) Residential property investment is the investment that can carry low risk and is not like investing in commercial property where investors have to worry about the conditions of businesses. Property investment loans are not as difficult to get as other types of loans and investing in residential properties can give investors a substantial financial boost.
Investors must consider the surrounding environment. For example, if you are buying residential properties then check whether there are sufficient numbers of schools, hospitals, main roads etc. to support our day-to-day existence.
Also check out the history of capital growth rate in the area in last at least 15 years. Make sure that property investment is worth the capital benefit. You must also consider the population growth rate of the locality.
Investors can also get property investment loans and attain about 106% of the purchase price. However, to qualify for such loans, your financial conditions must be able to sustain your current liabilities as well as the investment home loans. Lenders usually assess your assets, income and credit profile before financing your investments.
Investing in property extensive financial planning, but it also gives you some great tax benefits. Even though the market shifts all the time in the property sector, buying and selling property is always a good industry to be involved in.
If you are planning to invest in property, you need to take advice from experts or you can conduct research on the internet, attend seminars, interact with social groups and then read as much as possible regarding this matter to clear up all your investment doubts. The more you know about market, the better you will become at finding good property investments.
December 20th, 2009
posted in Property Investment
Property investment has become a boosting choice for people looking for greater freedom in how they spend their interim time or how they invest for the future. If you planning to purchase Investment Property there are many choices in the internet which give you access to the biggest selection. Auction property investments, Off Plan Property Investments, Distress Sale Properties, everything the property investor requires under one online property marketplace.Recently, the media has reported that most areas in UK have listed rates shrinks, with property investments in Greater London taking the sharpest drop of all. These estimations may be sourcing some people in the UK to question if it is still in fact a perfect time property investments.Stories of a property investment crash in the UK have been constantly in the news for quite some time now. But many property experts are of the certainty that the property market will remain solid. The reason behind this is that the deliver of property is inadequate to meet demands not to mention the fact the property is still affordable.When the prices falls or when there is a decline in asking price, there is always a group of ready investors that are inclined to pick up bargains. These comprise of people such as first time investors, family movers, or property investors seeking property investment deals. The justification why there is a ready supply of investors is because there is a essentials under supply of property, as the current number of completed establishments is running below demand.The intensifying demand for a deteriorating supply of property investment will produce prices to remain firm. Even though unsold properties have been reported to rise, the unsold stock levels are expected to remain below the long-term trend. Immanent migration has increases drastically due to the attraction of the UK as an excellent place to work and live in.Additionally, there are also two suitable circles that make the decision in property investment is a sound one. Evidently, no issue which way the UK economy turns, property investment market is still expected to stand out, most especially over the long term. First, when the economies of the world enter another recession or denigration, then interest rates could come down, further decreasing property investors’ expenses, while retentive the rental revenue. Second, if the capital venture of property investment takes a fall, then people will terminate purchasing investment properties, and rent alternatively. The growth in rental demand wills then surprise in property investment income.
December 17th, 2009
posted in Property Investment
Are you interested to become member of a property investment club? Do you want to find out more about investment property opportunities? If your answer to either of these two questions is affirmative, then you should definitely keep on reading. You will be informed about properties sold below market value and how you can purchase them with limited resources. Let’s see what this is all about.The first thing that you have to do is go online and find a reputable property investment club. Once you have found the right club, you can became a member and inquire additional information about investment property. Choosing a professional source means that you will be given some genuinely interesting opportunities to invest and it’s up to you to decide whether they are worth it or not. In time, your portfolio will grow, encompassing a lot of BMV (below market value) properties. And did you know that all it takes to sign is to give your name and email?The real estate market is a very tricky place to do business. Prices are constantly changing and sometimes it can be hard to succeed investing in this sector. By joining a property investment club, you are given unique opportunities. We are talking about discounted properties and simply amazing deals that are just too hard to say no to. If you are interested in investment property, then you will have to find an experienced company to partner with. This is the key to success.Experience matters extremely when it comes to things like investment property. The specialists working at the property investment club do extensive research in order to find the best properties on the market. They always look for investments that will guarantee important returns, mortgaged homes or those that require no advance in order to be purchases. For them, it’s vital to show that the real estate market is still a lively place and one where business can still be done. They come up with properties that have financing options, ensuring that the client is satisfied at all times.The opportunity to purchase a property below market value cannot be passed by someone who is genuinely interested in investment property. They recognize a great deal and know how to take advantage of it. Given the economic crisis, there are many properties that have been repossessed by lending institutions. As a member of a property investment club, you will have full access to listings of discounted properties. Some have been repossessed as the owner was unable to meet payments; others were mortgages and many simply sold for the owner needed the money.The moment you have signed up to become a member of the property investment club, expect to receive emails with the latest properties introduced on the market. You can check out all of these investment offers and decide if investment property is the thing for you or not.
December 10th, 2009
posted in Property Investment
Whether you are an experienced property investor or are searching to get a first stair on the property investment ladder, a unique approach to help you develop or start your investment property portfolio. Online property investment guides you to buy, to let and provides its clients a trouble free approach to property investment by offering an innovative Buy Already Let property acquisition service. Property investment can provide a colossal sense of contentment that you simply cannot find with other forms of investment. Property investment is now becoming a far more mainstream investment vehicle, straightforward to investors with the knowledge and foresight to spot lucrative investments before the competition can. Yet whilst they stay on relatively open and accessible, the road to successful property investment and land investment is scattered with those who have made a multitude of investment and other mistakes and paid the price.So online firms are there to help you recognize your dreams of property investment, find the right investment opportunities and keep away the drawbacks along the way. By maintaining up-to-date with the latest news and articles featured on the many websites, you will gain the skills compulsory to make a benefit from your investment. If you have priority made property investment or know someone that has, you will know how hectic and nerve-wracking the process can be. Estimating the Cost measure of any decision you make is perilous- to assure you make the best choices to maximize your profits, long term earnings.While most investors have got engaged in property investing because they know the chances to make money via leverage and capital growth or high yields, I still see and hear of many who do not fully understand opportunity cost. “Opportunity cost is a term used in economics, to mean the cost of something in terms of an opportunity predetermined (and the profits that could be received from that opportunity), or the most valuable foregone alternative. So in property investing issues, if an investor plans to invest in a property in the opportunity cost would be what he could have made by investing in Spain, France or UK. Analogously if an investor chooses to keep equity of 50k in a property, the opportunity cost is what he/she could replaceable have invested this money in and the resultant value.Now again this will depend on your particular strategy – and many people are not too affected about opportunity cost, they are just keen to buy 1-2 properties that can hold onto for 15-25 years to use as a pension. All discriminating property investors understand the importance of taking advantage of the most cost-effective property investment opportunities as soon as they arise, before they become common knowledge.
December 9th, 2009
posted in Property Investment
A property investment advice can provide you a complete help for implementing money in certain sectors of the economy, be it for domestic or international investors. Property investment advice for a several country will based on numerous parameters of the economy ranging from the banks and the banking services of the country, policies under taken by the home government with respect to foreign and domestic investors and most importantly, the situation of secondary markets in the home country.
Different sorts of real estate investments often produce similar returns that is capital growth. But while most potential property investors have undertaken their own home financing and can transfer this experience to similar housing. It is unwise to trust that other property investments have similar features. If you are venturing outside housing for the first time for investment objectives, make sure that you should know the factors of the new market and obtain expert advice if needed.
Similarly be attentive about the property investment seminars – especially those for purchases off a plan. Conventionally speaking, advisors who offer full property investment advice on the full range of your investment requirements. When the price of purchasing an investment property is more than the revenues it earns, you can negatively gear and receive tax benefits. Take property investment advices from your financial advisor to watch how this can work for you. It’s popular with investors as you can predict the non capital cost of buying a property from your overall income. The largest amount is primarily the profits; however, you can also claim other costs such as repairs and management fees.
The advantageous are only kick in when the property is earning income.
Capital revenuesOne of the main motives to own a property is for capital venture. Yes, you’ll pay capital gains on the increased value of the property when you sell, but the tax benefits along the way can be quite significant. Ideal property investment advice is your principle place of residence becomes tax free. It does not signify property investment advice but is based on current tax laws and their interpretation.
I will advice you, if you already purchased your home you can use the equity in that property to support finance your investments. Banks may then be proficient to lend you complete loan amount as your home can be used as security.
These issues, along with lack of a stable market condition can have an unfavorable effect on the stock market of the country in question, which will anyway ward off potential foreign investors.
December 7th, 2009
posted in Property Investment
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