As news reports and expert speculation focus on the effects the credit crunch, economic downturn and indeed recession have had on the property and financial markets, the average home is generally what is being discussed.

Homeowners in the UK have had good cause for alarm over the last two years, as property values have typically plummeted by around one-fifth. For many the prospect of entering negative equity has become a very real possibility, while for others it is now a reality.

The commercial property market in the UK has taken some hits since the onset of the credit crunch, with a lack of finance and confidence contributing to declines. However, new figures appear to indicate that both of these factors are returning, which could mean now is a good time to consider an investment.

One of the major hurdles that needs to be overcome when investing in property is getting the financing in place. This has become increasingly difficult in recent months due to the credit crunch, with banks and building societies appearing reluctant to lend in the wake of the housing market crash. Indeed, some experts have observed that it will be difficult for the housing market to recover until organisations become more willing to lend, as it restricts demand.

Auctions are becoming an increasingly popular method of buying property as a result of the economic downturn. Under-pressure homeowners are turning to sales rooms to help them offload their units quickly and the potential to make massive savings on purchases is attracting shrewd buyers looking for a bargain. Prices have been falling in many major destinations, but auctions can still offer the cheapest deals in a lot of places, which is drawing investors in.

The old adage of property being all about 'location, location, location' has taken a bit of a bashing lately, with the economic situation prompting many to focus much more on prices. With values falling across the UK, buy to let investors are likely to have become more concerned with entering the market at just the right moment - meaning 'timing, timing, timing' may be a more appropriate mantra.

The economic downturn has had a major impact on the UK housing market over the last year, with prices dropping dramatically to levels not seen for more than half a decade. However, while the media churned out 'doom and gloom' stories about the impact that the recession was having on people's property investment portfolios, a number of experts suggested that the slump was actually a good thing for buyers. It would not last forever, they said, and when it reached its bottom it would present an excellent opportunity for investors to purchase property at cheaper prices and then watch them rise in value in the coming years.

Despite all the possible effects of the world economic downturn in the near term, Cape Verde may have much to celebrate just now. Even if investment in tourism and property has been reduced by the credit crunch, the country has just been given a long-term boost by the addition of its first capital city - Cidade Velha - to the Unesco world heritage list.

There is a saying that the greatest dark comes before the dawn. Those looking at the twilight midsummer sky in the small hours may differ, but in the economy and property market it appears this may indeed be the case. From the plunging gross domestic product of the last quarter of 2008 and the first this year, it appears the recession might have bottomed out.

Imagine being told that city centre apartments in the major provincial centres were the way forward, the key to an emerging lifestyle trend for young professionals and a great way for property investors to make their fortune, either through rental income or capital gains. Exactly such a story did emerge earlier this decade as such accommodation mushroomed in the hearts of cities like Manchester, Birmingham, Leeds and Liverpool.