Top 5 Long Term Investment Destinations

When it comes to overseas property investment there are several choices to be made. What type of investment a person makes depends on what they want from the property, and the type of investment they are making also affects the destinations they will consider.

If a person wants a holiday home that will pay for itself in rental income when the buyer is not using it, then that person is a holiday home investor. They must choose a property suitable to accommodate them and those they holiday with, in a destination that they would like to spend their holidays in, which also has a strong rental market.

Then there are pure-investors, which are then split into short-term investors and long-term investors.

Short-term investors must choose a property that is going to appreciate rapidly in value, in a location where there will be plenty of people to sell to 2-3 years down the line. For this they will probably be looking for a strong and/or growing internal housing market.

Long-term investors have a much wider choice; because, failing some catastrophic event, practically every property is going to appreciate in value over the long-term. The question is by how much?

For long-term investors it is primarily about economic growth and stability. It is growth in the economy that really pushes up house prices, and also increases internal demand for housing and second homes, which in turn provide the exit strategy.

Below we have attempted to narrow down this vast choice, by choosing five destinations we think will be among the most lucrative for long-term property investors.

Albania

Albania is busy making the transition into a great industrialised nation. The government has managed the economy excellently over the last decade, making some excellent structural reforms. Between 2002 and 2006 a quarter of Albania's poorest were brought out of poverty. This led to the World Bank upping Albania's status to a middle income country in 2007.

This meant that Albania could then apply for loans from international banks as oppose to being reliant on hand-outs from the likes of the International Monetary Fund.

Albania made the most of this; taking out several multi-million dollar loans for infrastructure projects to increase the productivity of the country.

These included a massive loan from the Japanese government to improve the country's canal system, another from the European Bank for Reconstruction and Development to build a new terminal at Albania's largest port in Duress, and another loan to build a major highway between Duress and Kosovo.

What's more Albania is on track to join the European Union in 2014. Their loans and grants will aide in Albanian economic reforms, and EU membership will boost the economy massively.
Property values in Albanian cities, especially the capital Tirana will grow exponentially over the long-term, especially since they have such a low starting point. You can currently buy a luxury 2 bedroom apartment in Tirana for under £50K off the plan. This is likely to be worth £250-£500K within 7-10 years.

Panama

Even as almost every country in the world is falling into recession, the Panamanian economy is to grow by 3% this year according to the International Monetary Fund. Panama's economy is primarily fuelled by its strong and massively growing services sector, especially the services involved in the operation of the Panama Canal, the only waterway that transverses the land-bank between Central and South America, as well as the Colon Free Trade Zone. More recently tourism has started to play a bigger part.

The Canal is currently being expanded to triple its capacity. This has led to Panama being at the centre of global investment, with many businesses seeing the benefit of having offices or distribution centres within range of the Canal. Because of this Panama's economy will continue to grow between now and the completion of the expansion in 2014, when growth will accelerate.

The good thing about Panama is that it is the most popular choice for American retirees, to American's what the Costas are to Brits if you like. This can be looked upon as an exit strategy for today's investors. Panama property is likely to be worth 2-5 times its current value over the next 5-10-15 years.

Brazil

In Brazil's case it is simple. Brazil is among the top 5 largest food exporters in the world, with the world's second largest cattle stocks, and is also the second largest exporter of meat. On top of that Brazil's services sector is growing rapidly as are the hospitality, construction, tourism and health tourism sectors

The world's leading analysts have predicted that Brazil will be the fifth largest economy in the world in the next 5-10 years. Yet property is currently a lot less expensive than in the world's other leading economies -- especially if you look at houses on the internal market.

As Brazil grows into one of the largest economies, property in Brazil will grow in value till prices are similar to those in the other major economies, at which point growth will slow to the established market average of 10% per annum.

Tunisia

Tunisia is also one of the fastest growing emerging market economies, based mainly on massive growth in the agricultural sector, and more recently stable growth in the construction industry. The Tunisian economy is expected to grow by over 4% this year according to the IMF.

Tunisia is unique among the emerging markets because the government would not allow foreigners to buy property until over 75% of the internal population owned their own homes. This is far more than in the world's larger economies, including the UK in which only 71% of people own their own homes.

Property in Tunisia presents the opportunity to buy property at the low prices you'd expect to find in an emerging market, within the developed internal housing market you'd expect to find in an established market. A great combo for the long-term investor.

Philippines

You can't have a list of top overseas property investment destinations without including parts of Asia. The only reason there aren't other Asian countries in this is because of laws preventing foreign ownership, and/or because they are better for short-term investment which is of course another article.

The Philippines is the tiger among the emerging property markets of Asia. Its services sector continues to grow exponentially on the back of the outsourcing boom which has expanded due to the credit-crunch tightening the belts of global businesses. Worker remittances from the thousands of Filipinos working abroad also continue to grow. Because of these two industries and others, the Philippines economy is forecast to grow by over 4% this year according to the IMF.

The Philippines was among the worst affected by the Asian economic crash earlier this millennium, so property prices are currently among the lowest in Asia. Because of this and the fact that the two main growth sectors mentioned above are pretty much recession-resistant, the Philippines is an excellent long-term property investment destination.

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Koh Phangan Property Perfect for Investment

Koh Phangan, a small island in the gulf of Thailand offers some of the finest property investment opportunities on the global market, according to overseas property portal Property Abroad. Liam Bailey, chief market analyst for the firm said:

"I began recommending Koh Phangan as a 'hot market' at the beginning of 2008, when I stated that the success of its big-brother, the then semi-mature Koh Samui, which had seen 50% annual growth the 2 years previous could be used as a guide as to the success of Koh Phangan, then only beginning to appear on the international property investment stage. But just as Koh Samui has been affected by the global situation, so Koh Phangan growth potential has been stunted, but this just makes it an even hotter investment destination.

"I have said before that property investors buying now are more often-than-not doing so for possible mid-long term gains. Right now, you can buy 10 Rai of tropical beach-front land, already divided into 8 plots and prepped for development for just £114,000. This will easily sell for three, four or even five times that -- depending on how patient its owner is -- during Asia's (and the world's) economic recovery, when it can easily be sold for development into an exclusive luxury resort of say 10 villas, each selling for £150,000 or more."

Property Abroad have several other excellent Koh Phangan investment properties. A larger plot of land located right on the very same beach as the one mentioned above, but a single plot with 45m of beach frontage, and again already prepped for building, i.e. underground drainage, water and electricity supplies already in place as well as a road to the plot, can be bought for just £200,000.

A smaller plot, but with 80 metres of beach frontage and the same building preparations in place is just £113,000.

All the above properties are capable of making massive capital gains when the global recovery takes place, which it inevitably will, not to mention the absolute bargain they present to people looking for a tropical beach-front holiday home.

Property Abroad has hundreds more investment properties in Thailand, and throughout Asia, find out more by visiting the site.

About Property AbroadProperty Abroad is rapidly growing into one of the best known, trusted and most successful overseas property portals in the U.K. With a slick dynamic site and very reasonable rates Property Abroad currently has among the most extensive worldwide property listings on the net. To find out more contact Liam Bailey on liam@property-abroad.com or the team at: info@property-abroad.com

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India Property Price-Drops Good News for Buyers

Developers in India have been forced to drop the price of their off-plan apartment developments, meaning now could be the time to buy property in India, according to overseas property portal Property Abroad. Liam Bailey, their chief market analyst said:

"In my view the current global financial situation has led to one of the greatest bargains in overseas property investment presenting itself in India. The Orchard View development in Rudrapur, India, where the formation of a Special Economic Zone led to the development of some 400 factories in a massive industrial estate right by the development. This was to bring hundreds of workers into the area looking for rental accommodation, of which Orchard View was to help with the under-supply. Now, many of the factories who took plots on the estate have either trimmed their production, or closed their factories altogether and prices have dropped significantly.

"However, no one investing in property now is doing so to make immediate capital gains, or even make gains during the current financial situation, but are investing with the view to making long-term gains. Buying property like this below its market value, is an incredible mid-long term investment opportunity, because they will appreciate massively throughout India's economic recovery, and the re-birth of the industrial estate, during which time the apartments are also set to make impressive rental yields."

The Orchard View development offers 1, 2 and 3 bedroom luxury apartments just outside the Special Economic Zone (industrial estate) from just over £30,000. It is a securely gated 6 acre community, with manicured professionally designed grounds maintained by a professional gardener. The apartment building and apartments are finished to a high standard with marble throughout. The complex, which is close to all amenities, comprises its own commercial centre, restaurant, swimming pool, gymnasium and recreation centre.

Property Abroad has many other properties in India, most of which are priced below their market value and as such excellent investment properties. Find out more by visiting the site.
About Property AbroadProperty Abroad is rapidly growing into one of the best known, trusted and most successful overseas property portals in the U.K. With a slick dynamic site and very reasonable rates Property Abroad currently has among the most extensive worldwide property listings on the net. To find out more contact Liam Bailey on liam@property-abroad.com or the team at: info@property-abroad.com

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Credit-Crunch Should Boost Overseas Property Investment

With the credit-crunch still showing no signs of abating, it is time to restart the boom in overseas property investment, according to one industry expert.

Liam Bailey, chief market analyst for overseas property portal Property Abroad said:

"The effect the global credit-crunch has had on overseas property markets has been nowhere near as bad as it could have been. But one negative effect that I have seen is that it has caused a lot of people who bought overseas property as an investment in the last 2 years putting their properties back onto the market, in a flurry of panic. This has been especially true in established markets. But as the credit-crunch has grown worse, overseas property has continued to become an even more favourable investment -- especially for those with substantial savings. "

"There are still many opportunities to secure guaranteed rental yields of between 6 and 10% per year for between the first two and three years of the investment, far higher than the annual interest of any bank at the moment. After the guaranteed rental yield ends the credit-crunch should and probably will be over -- though several recent surveys show it isn't affecting tourism anyway. I would definitely recommend that those who have substantial savings buy overseas property in emerging markets -- preferably with guaranteed rental yields."

Liam went on to recommend Panama property, and the off plan Bala Beach development, in particular for investment in the current climate.

"Bala Beach is in an excellent location, which is far from over developed. Though the properties have no guaranteed rental yield, their location and Panama's popularity with American tourists, mean that professional rental management will see these apartments easily fetch an 8% rental yield. Panama's economy is proving resilient against the current situation, and should see another boom when the canal expansion is completed. That coupled with Panama being the number one destination for American retirees, means these apartments will be easily sold on the resale market when investors execute their get-out strategy."

Bala Beach is a luxury resort style apartment complex, located right by one of Panama's finest Caribbean beaches; in Chiriquí. Property Abroad is listing 1 bedroom apartments in the complex from just £44,000. The development features many activities and amenities, including a swimming pool, tennis courts, Jacuzzis, a fully equipped fitness suite, and a sauna.

About Property Abroad

Property Abroad is rapidly growing into one of the best known, trusted and most successful overseas property portals in the U.K. With a slick dynamic site and very reasonable rates Property Abroad currently has among the most extensive worldwide property listings on the net.

To find out more contact Liam Bailey on liam@property-abroad.com or the team at: info@property-abroad.com

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Britons set to boost Spanish market

News brought to you by Property Abroad - specialists in overseas property investments.


Spain's housing market could be set to receive a boost from overseas property buyers in the UK, experts have suggested.According to CityWire, many people in the UK are looking at buying a place in the sun now that the holiday season has come to an end.The news provider highlighted Spain as one of the most popular locations among British consumers, partly because it offers "attractively priced" homes. Britain's poor weather was flagged up as one of the main factors which is driving people overseas, as the country has recently experienced a "wet and depressing" summer.

CityWire commented: "That holiday home abroad looks even more tempting than usual, in spite of the credit crunch."This comes after investment funds analyst Moneyspider.com predicted a surge in the amount of interest from prospective expatriates.The organisation believes "grey and windswept" conditions in the UK could lead to more people looking to move abroad on a permanent basis.

Property Abroad - for your overseas mortgages, buyers guides and the latest news on buying property in Spain.

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Turkey attracts British holidaymakers

More and more leisure travellers from the UK are choosing to visit Turkey, analysts have revealed.

According to the Association of British Travel Agents (ABTA), there has been a 20 per cent increase in the number of bookings for holidays to Turkey this year.

The organisation believes this is because the strong euro has put people off visiting Mediterranean countries in the eurozone, such as Italy and France.

Since Turkey offers more favourable exchange rates, visitors can enjoy similar attractions at a relatively low price.

Speaking to the Scotsman, ABTA spokesperson Frances Tuke said: "Turkey has been a popular market this year, because it is outside the eurozone and British travellers are now familiar with it."

She added that people are not willing to let the economic downturn in the UK force them to give up their holidays.

This comes after price comparison site Cheapflights revealed that it has also seen an increase in the amount of interest in Turkey.

Figures show that in the last 12 months, the number of people looking for information on areas such as Dalaman has risen by more than 17 per cent.

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