Cautious overseas property buyers stick to low risk countriesAccording to a property expert, the continuing economic situation is causing investors in overseas property to stick to nations viewed as ‘low-risk’ or ‘core-markets’ in an attempt to evade the ongoing Eurozone crisis.
Associate director of forecasting at DTZ, Matthew Hall has said that there are still plenty of chances for potential investors in property abroad regardless of the current state of the market.
Right now, a spectrum has evolved with polar ends. Those countries most and least affected by the economic crisis e.g. Nordic countries have experienced downward pressure on prices where the demand from investors is for ‘a very low risk, safe and stable type of asset’. People approach buying property in Spain with caution due to its recent Eurozone bailout and financial difficulties.
Mr Hall had this to say: "Core Europe and the safe haven markets have seen further downward pressure as investors flee the perceived risk in the most exposed European economies. The required rate of return as a result has been dragged down for property, so this has increased the attractiveness of core markets."
He then added that there is evidence that overseas property buyers are seeking out European countries that are likely to be a lower risk investment.
Jones Lang LaSalle has recently shown that the British, German and French property markets have been increasingly dominant, together being accountable for 70% of European property investment in 2012 .
Despite the persistent economic situation, several experts have agreed that the overseas property investment market is easily staying afloat
If you are interested in European property investment, buying a house abroad or in taking out an overseas mortgage, get in touch with Conti - Overseas Mortgages via our website (www.mortgagesoverseas.com ) or by telephone 08009700985