Saturday, 08 June 2013 16:54

UK’s appetite for owning overseas property returns

Written by  Clare Nessling for the Financial Reporter

It appears that the Brits’ love affair with overseas property is alive and well. Rightmove Overseas reported record traffic in March, with 5.4 million searches performed on its website.

Spain and France topped the list accounting for 27.3 per cent and 17.8 per cent of enquiries respectively.

And according to the most recent Overseas Guides Company Quarterly Index, demand for information about buying overseas property was higher in the first quarter of 2013 than in any quarter during 2012. And there was a staggering 50 per cent increase on the same quarter last year and even a 20 per cent hike in enquiries between July and September 2012, typically the busiest quarter in any year.

The company says that there’s been a very noticeable resurgence in interest in European destinations, particularly France and Spain, during the first three months of the year. 

There’s a similar pattern with enquiries coming into Conti – France and Spain are out on their own at the moment, with investors sticking to locations they know and trust. 

Property prices, particularly in Spain, are at an all time low so canny investors are snapping up bargains which should, over the long term, rise in value. French property price growth has also slowed over the last year, and prices are predicted to fall by up to five per cent during 2013.There are reports suggesting that many owners, in both countries, are making considerable reductions to sale prices in order to attract buyers. 

Affordability is also being boosted by historically low interest rates, with mortgage deals in France starting at just 2.1 per cent and from 3.21 per cent in Spain. The pull of the lifestyle in these countries, the weather and easy accessibility with good flight connections are also important. 

The overseas mortgage market can be a great new source of revenue. Perhaps that’s why we’re now signing up an average of 108 brokers per month.

Orinial article is at

http://www.financialreporter.co.uk/view.asp?ID=12661

Wednesday, May 15, 2013

Published by CLARE NESSLING

 

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