Assetz® News - Investors tick boxes in identifying foreign properties

Investors tick boxes in identifying foreign properties

26th July 2006 |

The publication of a new ten-point check list for potential foreign property investors is set to improve and streamline the process for Brits looking to invest in bricks and mortar on the continent.

A number of investment specialists from the Property Investor Show – due to run between September 22nd and September 24th – have put together a list of the top ten indicators when weighing up the strengths of a buy-to-let home on the continent.

Such a list will prove crucial for investors looking to spend in areas such as southern Cyprus, which is an increasingly popular spot for Brits to relocate to in retirement.

Among the key points for consideration for investors looking to buy in southern Cyprus are selecting a country with an expanding economy and an increasing tourism industry. Such a choice is important as an expanding economy will see the region develop in popularity, which in turn will lead to high rental demand and greater returns on any capital invested.

Other key factors cited by the property specialists are a politically stable climate in the country of choice, evidence of private investment in the area and ongoing improvement in local transport links. Transport in particular can prove to be a major factor as new or expanded airports will provide the steady stream of tourists needed to maintain a buy-to-let property through the busy high season.

Nick Clark, managing director of the Property Investor Show, explained the advantages of such a check list for investors looking to spend in regions such as southern Cyprus.

He said: "Seasoned investors are constantly on the look out for the next property hotspots and with increasing numbers of people now choosing to invest in overseas property, any advice that can put them one step ahead of the masses, giving increased capital gain, is a particular advantage.

"The experts at the Property Investor Show will be able to help point out the next big thing in property investment and will be holding seminars advising how to identify emerging hotspots."

Other key attractions for potential property investors are the simplification of the house buying process in that country as well as planned entry into the European Union, which in the case of Cyprus has already taken place. Investors are also advised to look out for the possibility of large scale leisure facilities being constructed in the region as well as any low cost flight routes opening up to service the destination.

Trisha Mason, VEF French Property spokeswoman, said the key was to identify market hotspots before the throngs.

She said: "You need to know about proposed transport links, about company investment in the area, what trends are occurring within the market and to understand the culture of the country.

"There are still some places where property values remain low and where there is a good opportunity to see strong capital growth within five years but there are not many and they are guarded jealously, so you have to act fast to keep ahead."