Property investors look abroad

As the UK housing market starts to slow down, property investors are increasingly turning their attentions to overseas property.

10:20 23 August 2004

As the UK housing market starts to slow down, property investors are increasingly turning their attentions to overseas property.

This is according to a survey conducted by the organisers of the Property Investor Show.

Their figures show that 54.9 per cent of respondents believe that overseas property presents the greatest opportunity for investors compared with only 25 per cent in last year's survey.

Less than one third (31.9 per cent) believed that the UK residential market presented the best opportunities for investors.

Almost one quarter (22.1 per cent) of property investors are actually planning to buy an overseas property in the next year up from 16.3 per cent last year.

Rental income and capital gains were cited as the main reasons for buying abroad, closely followed by the prospect of better weather and a better quality of life.

One fifth of respondents were planning on buying overseas for retirement with a further 15 per cent planning on taking advantage of sports and leisure opportunities such as golf.

The organisers behind the survey also emphasise that due the expansion of the EU in May this year, together with more relaxed regulations on overseas ownership, it means countries such as the Czech Republic and Cyprus have been opened up to potential investors.

"Despite the long-term popularity of property in overseas locations such as Spain and France, there are still plenty of good investment opportunities in overseas property," says Nick Clark, managing director of Homebuyer Events who organise the Property Investor Show.

He added: "We are seeing continually increasing interest in this sector as the UK residential market slows and overseas schemes develop."

The Property Investor Show runs from September 17th to the 19th.