Real estate is one of the most popular investment vehicles, but choosing among the world’s most beautiful and profitable places can be a difficult task. When you consider the rising interest rates and the volatile equity market in the U.S., dipping into the international property market seems like an attractive proposition.
Financial markets globally will follow the U.S pattern and China is not far in that sense. Stock markets are relatively new in China. The opportunities vary from country to country, and at first glance, the U.S. and Britain would seem to be places to avoid investing. Both countries are facing an economic downturn and increasing price inflation. Because consumers are paying more for staple goods and have decreasing home equity, the amount they have to spend on discretionary items falls, and, in turn, so does the value of most retail property--making that retail property less attractive an investment.
Investors can move money more seamlessly between countries than an individual, for starters, but investors also have a different way of calculating the long-term value of a particular property. Therein lies the appeal of investing in property in Asia.
In pockets all across the planet, you’ll find amazing opportunities to make money from real estate. Places tucked into lush jungle-clad hills, on white sandy coves, in bustling cities, and in small colonial towns are markets on the upswing. The mainstream hasn’t heard of them yet. And in them today you’ll get excellent bang for your buck as well as great profit potential. For example, consider the differences between the Hong Kong and Shanghai residential markets. Hong Kong property is more valuable, going for $2,218 per square foot, according to Knight Frank, a London-based investment firm. Shanghai property sells for just $366 per square foot. If you own an apartment in each place, you're going to become richer selling in Hong Kong than in Shanghai. Investing in the Chinese residential market, however, has become a tricky proposition, as government restrictions on foreigners buying property present problems for residential investors.
If the last five years have taught us anything as investors, it would be that “stable” should more accurately read “stable thus far”. No country or real-estate market in the world was considered more “stable and established” than the great US in this century. Majority of folk who’ve leveraged into that property market between 2004-2007, however, (or similarly, into Japan’s booming property market between 1985-1991) and they might tell you a different story altogether. Empires DO fall. Markets DO come crashing down.
According to an annual study produced by the international mortgage specialist, Conti, France remains the most popular destination for international property investment among British buyers. France is top of the list for the fourth year running, accounting for 45% of mortgage enquiries received from UK buyers so far this year. This is the country’s biggest share achieved to date, and compares with 39% last year, and just 15% back in 2008. Spain, in second place with 33% of enquiries, is also up from 31% last year and from 14% in 2008 which the firm says is due to excellent buying conditions and signs that the market is starting to bottom out.
Portugal with 10% of enquiries is in third position for the second year running. Although its share is down by 2% on last year, interest has picked up again over the last three months as falling property prices entice buyers back. Interest in Turkey, on the other hand, has declined over the last year with the country now accounting for just 6% of enquiries, perhaps due to exchange rates working in favour of buyers in the euro zone.
Author Bio:-
Piyush Group is one of the leading real estate company in india. Piyush Group is involved in development of Integrated Township, Group Housing Projects, Commercial Mall.Piyush Group is an ISO certified company.
No comments:
Post a Comment