We have worked in overseas property investment for over 16 years now, and seen a lot of high and lows, market trends, a lot of good, and a lot of bad, so its far easier for us to spot a good deal that ticks all the boxes, and equally easy to spot a bad one, which is why you will not see us selling in markets like mainland Spain, Greece or Portugal for example. All these countries are at historically high prices with the vast majority of buyers being foreign owners, so no local market to support the high values, all of these countries have very modest economies, and that’s being generous, so when Brexit happened, these countries that rely so heavily on EU handouts, are going to really feel the economic pinch, add the fact that France could potentially leave and you could see an almighty collapse of the EU as we know it, one thing that is guaranteed, is the property markets in these over-inflated territories, will suffer immensely. Now add COVID into the mix and the fact these countries that rely so heavily on tourism have barely had any, and yes you guessed it, one almighty property crash is on the cards.
So investing into these now could easily be investment suicide. But then take some of the emerging markets, or countries with strong and stable economies or distressed markets that have readjusted their prices so locals and foreigners can buy alike, the risk here is far more minimal, as you are buying at the right price, BUY LOW, SELL HIGH, cheesy maybe, true, without a shadow of a doubt.
Each of these areas has great potential, especially those in the emerging markets, where economies are new and not based on heavy debt, over inflated property markets, less lending, these markets can survive things like covid far easier, as they have less debt, they are far more self sufficient, as, they have been surviving modestly for years, now that may not always be the case, as economies grow they may fall into the lending, credit and over inflation I mentioned earlier, but that wont matter to you, and our other clients, as you bought at the beginning, so if you pay £60,000 for a one bed, it rises to £150,000 in 5-6 years, but then suffers some form of economic downturn, properties drop by 30%, your still well in the black.
The more stable economies, namely Dubai and Florida, two of our best sellers, will always be popular, yes Dubai suffered previously during the last global recession, but it recovered, and is out surpassing what it did before, because they learnt, and introduced safety features such as the RERA organisation, protecting its investors, it also has one of the strongest rental markets in the world due to lack of mortgages for foreigners etc, but we have option of developer payments plans to help our clients purchase.
Florida is seeing one of its biggest property booms of all times, with a waiting list for builders now over 14 months, take a look at the following link
With regards to distressed market like Bulgaria and Egypt, these are much more longer term investments, mainly due to a huge saturation of properties built there over the last decade, but, the prices are fair, you can get a lovely bargain in the sun, gain some rental yield while prices stick steady until their relative economies continue to grow.
So I hope this gives you a much broader overview that we are not just simply an estate agent selling whatever we can to make a quick buck, but a well thought out, educated and experienced property investment company, which is why we have the best possible score for any agent on Trustpilot, the UKs leading independent review website.