World Cup Impact on Property Investment

From the opulent millionaires' row on Cape Town's beachfront to the modest homes of Soweto township, South Africans are dreaming of a bonanza of cash from next year's World Cup.

Some are preparing to move out of their homes in the hope of renting them to well-heeled visitors for a one-month flood of foreign cash.

Prices for some private apartments in Johannesburg and elsewhere have rocketed recently to three, four and even six times normal, even before most fans have decided where to stay.

In Cape Town's "golden mile" along the beach, some owners of luxurious mansions overlooking the sea and Table Mountain were looking for rents of 90,000 rand ($12,100) or more per day, said Samuel Seeff, one of South Africa's top estate agents.

Such homes, offered to big corporations and in particular World Cup sponsors, would house five or more executives and provide swimming pools, jacuzzis, home theatres and decks from which to admire the stunning views, he said.

The spectacular houses are also protected from South Africa's frighteningly violent criminals with state-of-the-art security measures that are routine among the wealthy here.

At the opposite end of the scale, owners who converted their houses into bed and breakfasts in the historic center of Soweto township are also expecting plenty of World Cup tourists next June and July, but plan to charge as little as 350 rand ($47) per night, with none of the huge price hikes seen elsewhere.

"I don't have World Cup rates," said Dolly Hlophe, who runs a neat bed and breakfast from her home, shaded by a beautifully tended garden on a street in Soweto near Archbishop Desmond Tutu's home.

BIG PROFITS

Although big profits are undoubtedly there to be had -- 450,000 visitors are expected for the World Cup -- experts say the hopes of some property owners could be misplaced as demand slumps below expectations in certain cities, depending on where big teams such as Brazil, England and Germany play.

Like everything else about the World Cup, including plans for where to deploy a fleet of planes, trains and buses, everything is hanging on the tournament draw on December 4, when the location of each team's first-round matches will be decided.

Even before the draw, authorities and some more thoughtful South Africans are worried that too much greed will alienate the visitors and dash hopes that a successful World Cup will stimulate a flood of future tourists by introducing fans to spectacular sights from game parks to glorious beaches.

Commercial Investment Property Overseas: London Property Investment; London Rental Property Market Remains Bouyant

Commercial Investment Property Overseas: London Property Investment; London Rental Property Market Remains Bouyant

European Property Market

RICS has launched the 2009 version of the European Housing Review with an event at the National Liberal Club in London. The Review is now in its eleventh year and draws together what is happening in residential property markets across Europe. It paints a gloomy picture of Europe’s housing market in 2008 and key points include:
• House prices are static or falling across Europe
• The chances of core European housing markets escaping marked downturns in 2009 are now slim
• House prices in 2008 fell significantly in 2008 in central and eastern Europe, Ireland, France, the UK and amongst Nordic countries
• Markets are experiencing rapid falling demand due to the impact of the credit crunch and recession in major economies
• New build markets in the major cities of central and Eastern Europe are at a standstill with a rising tide of unsold properties.
What can we do to address these problems? RICS is calling for action from Governments to increase the supply of mortgage lending. There must be more Government guarantees for mortgage backed securities, as recommended by the Crosby Review in the UK. Banks that have been nationalised or have greater levels of state control in the UK, Ireland, Germany and the Netherlands must also be used to provide a sensible increase in access to credit.
Other steps can also be taken including the establishment of Government supported savings schemes for first time buyers where buyers are encouraged to save a deposit which is topped up by a Government contribution. There must also be a greater use of shared equity and rent to buy schemes.

RICS published a 15 point plan in September 2008 outlining key measures we believe will help the residential property market.
Hopefully if action can be taken by Governments across Europe, the 2010 European Housing Review will start to show some signs of recovery.
http://www.rics.org/ASPNetForums/blogs/padefaultaspx/archive/2009/03/05/gloomy-housing-markets-across-europe.aspx

Munich overtakes London as top European property destination

Munich, followed by Paris, have emerged as the two most attractive European cities for property investment for commercial real estate owners and investors on a medium term outlook, as per LaSalle Investment Management’s eleventh.
European Regional Economic Growth Index, according to a report in the Financial Times.
While London’s size and wealth kept it in the top 10, it was knocked from the top spot for the first time since 2005 - underlining the city’s exposure to the financial downturn relative to rival business hubs.
http://www.wealth-bulletin.com/portfolio/content/1055268273/

Caymen Island Investment Property

Little Cayman

In little Cayman raw land has been the big seller so far this year. It appears more and more people are seeing the appeal and value of owning a piece of this tranquil paradise.
There are a number of houses currently under construction and the local builders are getting new projects started as soon as one is finished. Prices are still relatively low compared to other destinations but people are beginning to realize that this will not last forever.

Cayman Brac

Raw land has also been the top seller in Cayman Brac this year with incentives of having the stamp duty waived if you build within 2 years of purchase, and not adding taxes on building supplies. With direct flights from Miami later in the year - Now is the time to buy before this mostly undiscovered gem of an island becomes better known.

Overall

Prices are increasing for land purchasers. We are seeing prices rise as much as 10 % from this time last year. Little Cayman is growing in popularity and word is spreading about this relatively untouched paradise. Cayman Brac land prices have also increased dramatically, A quote from Coldwell Banker "The Cayman Brac has been experiencing an upswing.. interest in bluff land - house lots and acreage has soared".
With all the money the Cayman islands Government are putting into the sister islands, I.E modern infrastructure, international airports to increase tourism, direct flights from Miami, new Hotel's, bars, restaurants and villas getting built everywhere, to accommodate all the recent activity, this has to be and is the worlds most exclusive Caribbean emerging market.

Flexible Property Investment?

If the idea of owning a luxury asset to use occasionally appeals or if your budget does not stretch the whole way, fractional ownership may be for you. For a fraction of the price of the whole, you can own part of the asset. For many, this investment vehicle offers the gateway to investment in luxury (including property investment), allowing those without seven-figure bank balances to enjoy high-end assets.

Flexible freehold ownership, also known as fractional or collective ownership, has been a popular concept in the US for many years because it offers an innovative alternative to investors. Not surprisingly, the idea is fast catching on in the rest of world.

Flexible or fractional ownership involves buying part of an asset (usually luxury) – for example, property, private jets and cruisers, racehorses or even a vineyard – for a small part of the cost of the whole asset. Investors purchase a part and can sell, donate or bequest this at any time. Since investors are direct owners of the asset, they also benefit from increases in the value of the asset should they decide to sell it.

Although fractional ownership is sometimes confused with timeshare, it is radically different. Investors in flexible ownership directly own a part of the asset. Participants in a timeshare scheme do not own any part of the asset – just the right to use it at an allocated time – nor do they benefit from any increase in the asset’s value. Timeshare is a cost, not an asset.

Another fundamental difference between timeshare and fractional ownership is that no financing options are available for timeshare. On the other hand, many banks and financial entities will provide loans for purchases of fractional ownership. Since fractional ownership is an asset owned for perpetuity and is ‘sellable, giveable and willable’, it is no different from outright ownership.NUBRICKS

Commercial Investment Property Overseas: Estate Agents Websites

Commercial Investment Property Overseas: Estate Agents Websites

UK Pubs Provide the Best Investment Deals: Unviable Pub buildings provide the best Pound Per Sq Foot on The Market

UK Pubs For Sale

As the UK is the new overseas property investment destination it seems right to comment on the best commercial investment property available;
Pubs and hotels are now prime targets for the savvy property investor as buying a pub is likely to work out cheaper on a pounds per sq ft basis than buying a house in the same street.

The UK licensed property market is being flooded with cheap empty pub and hotel sites as a combination of cheap beer in supermarkets, rising costs and the smoking ban have taken their toll on the pub trade.The coming months may see the acceleration of the pace of pub closures as pub landlords, breweries and pub companies have had to face up to the pressures of the credit crunch.

The British Beer & Pub Association estimates that four pubs are shutting down every day and that the rate of closures is 14 times faster than in 2005. There are just over 57,000 pubs in Britain today, compared with 69,000 in 1980.

Beer sales in pubs, relative to other outlets such as supermarkets, have been falling for 30 years and according to the BBPA, beer sales over the bar are at their lowest since the Great Depression.

Pub shares have suffered "extraordinary underperformance". Many have retreated 50 per cent from their 2007 highs. Several UK pub chains, embracing high-street names such as the Slug and Lettuce, Hogshead and Walkabout, have collapsed or been forced to sell.

Buying a Pub or Hotel Suitable for Redevelopment
Pubs have a flexible A4 planning 'use class' that normally can be changed to A1 use (say, for a newsagents), A2 (a delicatessen or a firm of solicitors or architects) or A3 (restaurants).

Alternatively, buyers can apply for planning permission to convert the pub or hotel into a residential property. Often pubs come with land, beer gardens or car parks that can be developed. Unless it's a village pub, where community issues come into play, planners are sympathetic to alternative uses. Pubs close because they are not successful businesses and redevelopment helps regenerate the area. In run-down areas, planners often want to keep a commercial use for the pub because this boosts local employment.

Before you buy a run down pub or hotel in need of refurbishment or redevelopment, explore different ways of achieving the best return on your property investment

Modernising a pub. A general decorative overhaul can push up the value of a run down pub or hotel without involving planners, architects and a big investment,.

Converting a pub. At its most simple you might take a large public house or hotel and turn it into flats, but this still involves complex investment budgeting and financing. There's often a large gap between the value of a pub and what it might fetch if redeveloped or converted to offices, shops or flats - but there are also a lot of costs involved, and often a lot of pitfalls. Sometimes it's more profitable to convert the pub into a single house. Planning consent will normally be required in both scenarios. Many Victorian pubs are listed, which can complicate conversion projects.

Change of use as a pub. The conversion of a building from one of business use into housing is a more complex proposition. For example, when converting a pub or hotel into flats, the big, initial risk is trying to buy the property without first applying for planning consent for 'change of use'. You should never buy an investmnet property on the assumption that 'change of use' is possible without serious research into the planning issues and a detailed conversation with local planning officers. Many hotel and pub sales like this are achieved only when they are 'subject to planning', that is, the deal will only be completed, and the full purchase price paid, when planning permission is granted. It is more likely that planning restrictions will be less stringent on a city pub than on a country pub.

Iceland Property Investment at Bargain Prices

As a result of the financial situation in Iceland, many attractive opportunities are presenting themselves and conditions for investors are highly favourable at this time. Because of the favorable exchange rate investors with foreigh currencies have far more purchasing power. In the last 12 months property prices in Iceland have gone down by 21% because of the crisis. There is a need for foreign currency and many interesting opportunities have surfaced because of bankruptcies. Land prices have plummeted and availability of prime sites at lower prices have increased. Prices in the construction industry have fallen increasing competition and bidding wars in the construction and service sectors.

In spite of all this, future prospects are good in the medium term, the International Monetary Fund and other financial institutions are predicting a full recovery within a number of years. If you have been waiting for a good investment opportunity to come you way then Property investment in Iceland will give you fantastic returns.

Investing in a foreign country is always a complex procedure. Buying a property in Iceland involves dealing with compexities and local idiosyncracies and you need a uniquely qualified local agency to handle. You need to contact an agency which has experience in handling transactions in an international context and which can act on behalf of overseas clients to make the whole process smooth, understandable and reliable. It is essential that their core business is estate agency and advisory in property purchases, and that they have experience in setting up property companies and holding companies, and related activities. They have to be legally qualified and chartered for handling sales of commercial and domestic property, ships and automobiles. They should be able to handle all or part of the purchase or sale of real estate.

If you are looking for something for sale in iceland then look for someone that can offer practical assistance in assessing, preparing and realising investments, particularly those involving property purchases. A company that offers comprehensive and flexible range of services will help you to identify and realise some of the many opportunities that are now becoming apparent.

Top Tips For Overseas Property Investment

Its All Been Said Before But Its Worth Reiterating

1.Do as much research as possible. If you Google 'Bulgaria property as an emerging market' you will find many positives sites - if you google 'collapse of Bulgarian property market' you will find just the same number.The truth will be different for different areas of Bulgaria and for different types of property. Read ALL of the bumph for the full view.
2. Do your own searches before you contact anyone, so that you know and agree what you want. There is no need to get involved in the inspection flight and hard sell route if you can spend a few free hours on the internet, and then in correspondance with the broker.
3.Off plan can provide a good investment but ensure you know what you are buying, the sq footage and style.
4. Buy a property you like, where you will want to visit often and that you wont mind funding in the leaner letting periods.
5. Try to search just beyond the already popular and top tourist areas. If you are looking at this as an investment property you need to get in at the start of an up and coming area, where you have an expectation of price increase in the future.
6. Buy a property in a place that is popular with locals as well as tourists, to ensure the widest audience for resale.
7. What are the local amenities? If you are going to let the property other holiday makers may not appreciate the solitary house at the top of the mountain you fell in love with.
8. Where is the nearest airport. Do the budget airlines fly there? Weigh it up.If it costs £1000 to plus jabs and malria tablets, you will have fewer enquiries but you may be charging more rent on a cheaper purchase.
9.View the property and surrounding areas out of season. Have you been to Barmouth in January? DO you know what the rainy season looks like?
10.Check planning laws before looking and especially before putting in an offer. It is pointless having the vision if you will not be able to make alterations.
11. Check the inheritance laws of the country where you are buying eg in France your property will pass straight to your children not your spouse.Invest in that extra will.
12. Always take independent advice.
13. Try to learn some of the language of the country you are moving to. It can make acceptance and all areas of life much simpler.

Lofts at The Heights Abdali Jordan Construction Updates

The Lofts at The Heights is an ultra modern marvel located at the gateway to the Abdali master plan. Undoubtedly, the finest address of the privileged few. A unique lifestyle choice with homes that feature high ceilings and wide open spaces that exude an elegant style and sense of freedom. Ideal for lovers of modern living.

Facilities-Residents can enjoy the stunning Jacuzzi / Sauna, state-of-the-art gym facility, temperature controlled swimming pool, creating a whole new experience on tranquility. The ground floor includes Retail Shops, Restaurants, café, juice bar, Underground Parking, variety of high-class retail outlets, which gives you a distinct trend setting lifestyles. The Heights and its facilities have been designed with an ultimate focus on you and your family.

Distressed Sales, Repossessions, Short Sales and Foreclosures

Distressed sales, repossessions, short sales and foreclosures: the credit crunch has introduced a whole new vocabulary into buying property overseas. Thanks to the economic downturn, property markets around the world are being flooded with properties now available that have been priced competitively low in order to achieve a quick sale. Even considering the weak pound, there are great bargain opportunities in Spain and Eastern European cities, Florida and some parts of the Carribean and Dubai - see all the usual websites. If you are in a position to buy comfortably but are new to the overseas investment arena you can sometimes get the best advice and a real feel for the market by looking at the web forum discussions on the issue. But if you want to talk one on one with the seller who is trying to offload before repossesion check out the holiday and house price forums where shouts for help and advice on escaping an investment nightmare are all too common this year.

Property Investment Forums

Forums are a brilliant tool to assess the mood on any subject. They answer questions, offer advice and inform. However, recently in the property forum world some contributers are finding empathy difficult to source, with all the bile being thrown.

House and the economy forums are full of 'I told you so' posts, all topped off with glee at the predicament of anyone who has 'lost' on the value of their house or home. And God help you if you are a property developer,or TV location personality with particular venom being reserved for the celebrity property developer.They are only one down from Estate Agents.

There is a sense that the wages they are paid were not really 'earned' in the first place, and then "How dare they try to get a return on their investments through dabbling in property development/charging others for sticking an advert in a paper or putting a board up outside our house "

While Anthea Turner and Simon Cowell would never be my choice of friend or business partner I will defend their right to invest and lose their cash wherever they want. I will even defend their right to invest in numbers of off plan resort developments. Where else would you have them invest? Property is easy to understand. You can buy, sell, live in or let, and not so long ago, one could expect that the actual sale value of the property would go up year on year: there has been little indication from Government, mortgage and financial advisors or the banks that things would change dramatically, and the scale the crisis is still surprising some commentators- Not so for the property forum know all of course.

Such contributors to forums take delight in the misfortune of others . They combine their boasts of insider knowledge and foretelling of the economic crisis with gloating about how much they will save or make through the downfall of others. They manage to overlook the fact that they are simply trying to beat the market, just as everyone else is. And you dont have to be a celebrity to have most of your assets wrapped up in property.For most of us, the bricks and mortar we own after 25 years is actually our home.

They offer no solutions either.They scoff and sneer at anyone trying to offer any upbeat view. Those of us who are caught up in redundancy, negative equity and debt do not need a smug telling off. Confidence is the only solution and if we need a bright side to look on here it is for the majority of us; if you have not lost your job, are not planning to sell your home, your buy to let, your golf resort apartment in Dubai or even your Barbados villa, you have not really lost anything yet. If you have a buy to let the chances are the mortgage interest is so low you can cope with the longer vacancies and lower rents caused by the glut of rental property. Its all happened before and there will never be an end to boom and bust. But it would be good if we could get through it without the glee at other peoples misfortune.

Investment Property For Sale

Emerging Markets: Iraqi Kurdistan Property For Sale

Damac have the following development in Kurdistan. A first-of-its-kind, fully integrated modern community in Erbil. Tarin Hills is the first fully self-contained master planned community to be developed across 170 million sq. ft. of land. A conglomeration of residential, retail, commercial, hospitality, entertainment, health and sports components interwoven within the picturesque terrain of Erbil in Kurdistan region of Iraq. The Kurdistan Regional Government is putting $325 million in the expansion of the Erbil International Airport.


• A fully gated community with security fence, checkpoints, high-tech screening at entrance gates and around-the-clock security patrols
• Located along the main road are 4 blocks of shopping centres
• Business Hotels and Country Lodge Hotels
• Country Club & Spa
• Sports Club and Health Centre
• Golf course
• Cafes and restaurants
• Supermarkets
• Pharmacies
• Food court and entertainment area
• A mall that houses international brands and anchor stores
• Ample parking
• 24-hr maintenance services
• Housekeeping services

The Top 10 Countries to Buy Property in 2008

Theres always a new list of top ten property investment destinations. Thuis one is from http://www.rodthomasblog.com/. They are always worth a look whether it is for ideas or confirmation that you did the right thing!

The Top 10 Countries to Buy Property in 2008

Where was the hottest spot to buy property in 2008? As 2008 has just ended, that makes us wonder where the year has taken the property investing world. There have been a great number of ups and downs and 2008 has been financially challenging for many countries. So where have the Brits been buying when buying abroad? Is it worth it to invest in countries that are showing economic hardship?

Could this be an opportunity to take advantage of and get a good market deal? So many questions arise when you begin to talk of such topics. Europe has some great countries for investing and if you’re looking to broaden your portfolio with some new properties, here are 10 countries to consider:

Bulgaria- This country really hit the map in 2007 and since then has continued to grow in popularity for investors. Both foreign and domestic investors alike are joining in the rage of Bulgarian property and now are a great time to get in on the action before it’s too late. This is a great time to buy for short to medium term projected growth.

The Belgravia, Lozenets, Sofia.
Studio Apartments
Price: €73,766



Croatia- Here’s another European country that’s making its way on the map as far as investment properties go. This is a great opportunity for commercial as well as residential properties and it is projected to do well into 2009 also. There is also a strong tourism market in Croatia, adding to the reasons to choose this country when expanding your property portfolio.

Cyprus- This country is on the surge of growing property prices and there is no sign of it dropping anytime soon. This is one reason it’s a hot choice for investors looking to build their properties abroad. You are virtually guaranteed to make your money back and some when you buy in Cyprus.


Czech Republic- There are many cities in this country that offer wonderful opportunities for investors. Whether you’re looking to buy and rent or resell, you will find profits in this country. Property price growth and rental prices have steadily went up in past years and throughout 2008.


Estonia- In and around the capital of Tallinn there are many real estate opportunities for someone looking to grow in 2008. Local demand and prices are rising making 2009 a profitable year for Estonia and those who invest in it.
Hungary- This is a country that’s been steadily growing since the early 2000’s and 2008 looks to also be a profitable year for those who invest in it.

Latvia- The economy of Latvia is one of the fastest growing in Europe making it a hot investment choice for real estate. They are also expected to receive one of the five largest wage increases in the world. This boom in the Latvian economy means more money for people to buy or rent properties.

Poland- Here’s another nice choice for investing in 2008. This country is currently undergoing growth with the help of the European Union and this is a fine time to get in on the profits this growing country has to offer.

Gorczewska Park, Poland, Warsaw.
1 bedroom Apartments, 47sqm
Price: € 132,418



Romania- This is an exciting country with low real estate prices and a great number of exciting, creative properties available. It’s more than worth it to check out properties in Romania.

Bonaire, Bucherest, Romania.
2 Bed Apartment, 108sqm.
Price: € 111,760


Turkey- Prices of Turkey property are going up which is good news for investors who want to get in before ’08 is over and see profitable turnarounds in ’09 and the years to come.

Astrum Towers, Istanbul, Turkey.
1 bedroom apartments 34 sqm.
Price: € 44,438

Currency Fluctuations Impact On Overseas Property

It is not the credit crunch that is having an effect on property sales but the strong USD to which the EGP is tied. The GBP has lost nearly 25% against the USD/EGP since the autumn. Then with Russians being big buyers in Egypt the numbers of investors are falling as the rouble is at a 13 year low against the USD.

This has led to a two-tier pricing system coming into effect in Hurghada, according to the thread. Some developers that target predominantly the UK market are keeping their prices in GBP. Others that target the Russian market are priced in USD or EGP which now makes them very expensive versus the developments priced in GBP.

As a result some developments at the higher end of the market are really suffering. But the bargain apartments are still selling well. Anything around £15,000 just disappears fast.

Although some investors are concerned that if tourism numbers are down this will affect rental yields. But this, of course, only applies to those who are currently renting to the holiday market rather than those buying off-plan for completion next year when the global credit crunch may have eased off.
http://www.propertywire.com/



1,2,3 and 4 bedrooms Apartments for Sale, Centre Ville, New Cairo

The connoisseurs of fine living often look back fondly on old downtown Cairo in the 1920's. Everything about life was so French. The pace, the architecture, the settings. life was unhurried, untouched by pollution and congestion and marked by quaint buildings, café boulevards and premium arcades. Launching Rivoli at Centre Ville, New Cairo, Egypt. A cluster of six blocks, each comprising of several luxury apartment buildings which are 6-storeys and feature opulent 1, 2, 3 and 4 bedroom apartments. Rivoli captures the spirit of the turn of the century French architecture with its decorative iron railings, stone cornices and tall window openings.


Lush green parks
Clubhouse
Swimming pool, sauna & massage
Gymnasium
Mosque
School
Retail
Cafes, bakeries & restaurants
Kid's play area
24-hour security and controlled entry
Multi-function indoor rooms
Ample underground parking

Investment Property For Sale

Vietnam:2009 will be a year to invest

After an unprecedented period of growth, Vietnam’s real estate market came crashing back to reality in 2008. The market has adjusted, but is now the right time to invest?

Vietnam has received much attention in recent years, and until recently everyone was talking about its’ potential as a tourist destination, entry into the World Trade Organization, or the normalization of diplomatic ties with the United States. Analyzing the future potential of a country that seems to be following in China’s hallowed footsteps of rapid growth had become a pre-occupation of many market commentators.

Last year however, attention turned to the slumping stock market, falling residential prices, rampaging inflation and slowing growth forecasts. While many investors may have retreated, those with longer term objectives have maintained their commitment, albeit slower in the short term, with belief that the future is still bright for this frontier market.

For a country of 86 million people, the real estate market remains grossly undersupplied across all sectors, even with GDP growth forecasts cut back to 5.5 percent for this year, the majority of Vietnamese still believe they are in the midst of an exciting, growth economy.

Residential Market
After an unprecedented period of growth, Vietnam’s residential property market is finally returning to some semblance of reality, with pricing adjustments dictated by economically sound market forces and not rampant speculation. Lines of excited buyer’s queuing overnight to purchase condos off-plan are now a distant memory, with the family gold safely returned to the mattress.

Increasingly tighter fiscal policy during 2008, combined with the worsening global economic climate, is helping restore normality. The high-end luxury apartment market has fallen off considerably following the speculative switch from stocks to real estate, and is estimated to have dropped 40-50 percent since its pre-Tet 2008 (the Lunar New Year) peak. Not surprisingly, developers are also on the back foot having, in many cases, been carried away on the wave of speculative fervor, and are now delaying or pulling out of projects they perhaps would never have attempted in more stable market conditions.

With continuing and significant undersupply across most residential market segments, 2009 is likely to see momentum building once again and prices for completed properties edge consistently higher from their current, post-speculative levels.

Opportunity
Despite the global economic issues, the fundamentals that have attracted significant FDI remain strong. Vietnam’s young entrepreneurial population, undersupply across most real estate sectors, and improving legal infrastructure and government policies all bode well for continuing and long term economic growth.

Customer Understanding
Even though the real estate market remains undersupplied, new developments will require an additional level of customer understanding to ensure their success. This understanding of customer needs and how they relate to a particular project can be categorized through the following research objectives:

Identifying and sizing key segments and market opportunities through an analysis of the competitive set.
Profiling and prioritizing potential buyers through Demographic and Psychographic profilingof a project’s primary target market and key flanker markets.
Developing positioning and pricing strategies for each primary market and key flanker markets.
Any research study should enable developers to determine the potential sales/leasing opportunities and any constraints relating to the proposed development. This better assists the understanding of the profitability of different customer segments, and how better to invest resources to capture and retain the best of them. Knowledge of the needs and profitability of target customer segments is less susceptible to imitation than are the features and amenities of a particular property and will go a long way to effectively position and differentiate the end product. Robust marketing strategies also now needed to be well thought through and executed to achieve sales success.

Financing
With inflation under control, interest rates are now following the global trend in an effort to stimulate growth. For a country with less than 10 percent of the population using bank accounts and far less borrowing, the deleveraging of the West will be less prevalent in Vietnam. As base rates reach single digits a new generation of buyers should be emerge, unlocking the middle class aspiration to own a home.

However, though the fall in interest rates could stimulate bank lending in market sectors that were up until now ‘cash rich’, banks will likely remain cautious and will likely only lend on completed developments or, at the most, on developments that will be completed in the very near future.

Construction Costs
As the global slow down eases the pressure on commodity prices and construction costs in Vietnam have also eased. The global economy slowdown and market volatility are the key drivers for the decrease in construction costs this year, most commodity’s will see a price drop but certain commodities (Iron Ore, Copper and Coal) may increase due to manipulating supply.

The reductions in construction costs along side limited GDP growth will mean a slow down in projects. Contractors will be more competitive forcing suppliers to be more competitive when pricing material.

Outlook
The introduction of affordable mortgage financing, lower construction costs and a better understanding of customer needs across Vietnam’s residential market should present opportunities for economically sound developers.

The biggest question is now will pricing reduce further. It was an unprecedented year of turbulence for the Ho Chi Minh City residential market. Prices continued to accelerate sharply in early 2008 before plummeting after the Tet holiday. During the second half of the year prices continued to fall but at a steadier rate, down 15 percent, 39 percent and 30 percent from Q1 to Q4 for elite, prime and executive condominium, respectively. Cushman & Wakefield’s research indicates that few successful transactions have been completed in the elite resale market.

There is no certainty that prices will not fall further, but it is becoming clearer that 2009 will be a year to invest.

James Austen is associate director - project marketing for Consultants Cashman & Wakefield (Vietnam).


S T R E N G T H S
The targets that the Vietnamese government have set themselves for 2010 are to increase GDP annually by between 7.5 and 8 percent:
With a new law to allow foreigners 70-plus years of leases, Vietnam has become one of the most open markets in Asia
Property prices have doubled in 12 months, nearly tripled in some cases over the past 18 months
40 foreign investment funds will disburse $20 billion worth of capital into the market in 2008
Statistics showed that 85 per cent of the FDI capital flown into Ho Chi Minh City in the first 11 months of the year was pumped into real estate
Analysts say that the real estate market would see the growth rate of 20-30 per cent in 2008
Tourism is a spearhead national industry which brought about US$3.5 billion in 2007


W E A K N E S S E S
The country is suffering from the worldwide surge in the cost of fuels and foodstuffs
The country has witnessed many wars along it’s history
The Communist Party remains the single political force
Infrastructure development is currently one of Vietnam’s main problem from property investors’ point of view
Territorial rivalries between China and Vietnam
http://www.empadvisers.com/pages/vietnam-strengths-and-weaknesses

Vietnam Property Investment

As with most things it is the ratio of supply and demand which affects pricing. It seems that Dubais property boom has been far too efficient in supplying the demand for new properties and you can now see Dubai property for sale at much reduced prices, even listed as distressed, by the big developers. Dubai is very 2006.

If youve had enough of city life, golf, shopping for gold and skiing in the desert (still sounds OK mind)it may be time to look further afield. For 2009 we need to find a destination where demand for residential property far outstrips supply, a country where in the 21st century 3 or even 4 generations no longer want to live together, and a country which is emerging as an alternative to Thailand for tourism and overseas property investment.

Vietnam fits the bill and offers cities, beaches, 3,444 km of coastline, forests and mountains, championship golf courses and history from the iron age through French colonial rule to the post Vietnam War reconstruction and development. Its economic growth had been among the highest in the world in the past decade and Vietnam joined the World Trade Organization in 2007 and has become a non-permanent member of the United Nations Security Council in 2008.
The Vietnamese government is targeting an economic growth rate of 7.5-8% during the next four years,and is commited to policies to attract trade, commerce and to open the economy and the country up to external investment,

Baghdad Property Markets Emerging

Today I heard that property prices in Baghdad were rising due to the new feeling of security and stabilty. House prices in some areas of central Baghdad had gone up by 50% and rents have almost doubled in the past year. While bombings and assainations continue, though not at the same rate as at the peak of the Suni Shiite warring in the city, the atmosphere is calm enough to encourage the return of many of the refugees who had fled the troubles in 2005-2007, all of who are looking for property- the UN refugee agency expects that 500,000 will come back this year if the violence stays at present levels. the property boom is even headed as "Sky Rocketing Baghdad Property Prices" on http://www.islamonline.net/ I am not sure there will be a rush for overseas property investors to Iraq. As with most things it is the ratio of supply and demand which affects pricing. It seems that Dubais property boom has been far too efficient in supplying the demand for new properties and you can now see Dubai property for sale at much reduced prices, even listed as distressed, by the big developers.

Tunisia – Dubai of the Mediterranean?

Tunisia does not trip off the tongue for overseas property investment and is currently mightily overshadowed by near neighbours Morocco and Egypt in the property press, however with the presence of major Middle East property investors, mainly from Dubai and other UAE nations, the country is set to make a big impact. Property prices are low, even as low as Morocco was five years ago, and the country feels exotic yet European, affordable yet upper-class and will appeal to a broad spectrum of end users. The bonus is that unlike some far-flung destinations, a property in Tunisia is both a future income generator as well as being close enough to actually hop on a plane and enjoy the wonderful beaches and culture,

North Africa’s smallest nation, Tunisia, has a Mediterranean-facing coastline and lies directly south of Italy’s Sardinia tucked between Algeria on the west and Libya to the east. Thanks to a sharp right-angle turn on its shoreline, Tunisia has 1,400km of coastline and it is this asset, together with its strategic location, which has propelled the nation on to the global stage and attracted considerable foreign investment, particularly from the Middle East.

A colourful hotchpotch of architecture from Roman ruins to nineteenth century French colonial boulevards and a patchwork of landscapes from cork oak forests through to olive groves, vineyards and mile-upon-mile of undulating Sahara desert, Tunisia more than makes up for its size in terms of diversity. The sandy beaches front an impressive infrastructure of luxurious hotels, modern international airports, chic boutiques and jet-set marinas whilst the barren south has long-been the chosen setting for blockbusting films including Star Wars, Raiders of the Lost Ark, Monty Python’s Life of Brian and Minghella’s The English Patient.

Life in Tunisia is very relaxed, tolerant and open. Women’s rights are better catered to than anywhere else in the Arabic world allowing western-style clothing, participation in sport and no barriers to taking part in business or Government at a senior level. Alcohol is freely available and widely drunk by locals and tourists alike.

As tourism becomes more important, leisure facilities are springing up at a significant rate, particularly around the honeypot resorts of Hammamet and Monastir, and Tunisia now boasts six golf courses, two of which have 27-holes, international diving centres and plenty of yachting clubs. Two significant projects currently underway, Mediterranean Gate ‘Century’ City and Tunis Sports City, both funded by Dubai investment at 25 billion USD and 5 billion USD respectively, will bring further golf courses and marinas, world-class sporting academies, Olympic grade facilities, business and leisure hubs as well as thousands of residential units and hotel beds.

While buying a property in Tunisia may not be the obvious choice, expect nothing short of positive global headlines and economic fortune from Tunisia over the coming years, and your investment will be rewarded in spades.

As sterling struggles, Britons are selling their places abroad to buy cheaply at home in the UK

Zoe Dare Hall for the Daily Mail reports that prices of holiday homes across the Continent have been plummeting as the tap of British buyers was abruptly switched off last autumn.

New- build properties marketed purely for the British and Irish markets are the worst hit, but anyone owning a holiday home that might appeal to local buyers will clean up given the collapse of sterling against the euro .

Foreign exchange specialist Caxton FX reports an 89 per cent increase in the number of British clients repatriating funds in the past three months of last year - mainly from people selling Spanish holiday homes. People are discounting their properties by 20- 25 per cent, as they can recoup the difference when they transfer their funds back to the UK. The falling pound has presented an excellent opportunity for buyers repatriating money.There are also a high number of transactions from British holiday home- owners in France, where property prices have remained more stable than elsewhere in Europe.The Algarve is also seeing high numbers of British homeowners willing to take a hit on their asking price if they are bringing their euro profits home.

Great deals for Cash Buyers in Spain

2008 was a pretty bad year for Spanish property and things look like they are going to get a lot worse before they get better. This is the first time that we have seen year on year price falls in the official index since the market started to slump in the second half of 2007.

Officially, at least, nominal property prices have not fallen since 1993.

Average property prices fell almost everywhere, though prices were still creeping up in the provinces of Sevilla (+3.4%), Cadiz (+3%), Valencia (+0.9%), and Extremadura (+0.1%), if you believe the government’s figures.

Values fell the most in the province of Madrid (-7.6%), followed by Murcia (-5.8%), Tenerife (-5.8%), and Castellon (-5.3%).

Over 10 years, however, Spanish property values are still 215% higher in Andalucía, 211% in Murcia, and 200% in the Balearics.

Property prices on the Spanish Mediterranean coast fell by 14.3% in 2008, according to the latest monthly Spanish house price index published by Tinsa, one of Spain’s leading appraisal companies.

The fall applies to both newly built and resale properties, so this is the first closely-watched index to show big falls for newly built property.

So what do all these statistics mean for potential property buyers in Spain well according to Susana Suspenda, the Marketing and Operations manager for Spanish Hot Properties

“Cash buyers should be getting a great deal in 2009 and its probably the best time to buy property in Spain with buyers moving in this year picking up the best value in distressed property sales and hugely discounted new developments from developers in trouble”.

Buenos Aires Barrios and Vineyard Villas Emerging

Wherever you look in the overseas investment property blogging world or the new holiday alternatives for beach, city or ski, eco tourism or wine tasting and steak eating, there is a new destination popping up - Argentina. Argentina stretches alongside Chile, 4000Km from Bolivia in the north to the very tip of South America at Tierra Del Fuego. In that expanse you can find the Andes, the Iguazu Falls, the Perito Moreno Glacier, arid desert plains, vineyards and lush farmland. Argentina is classified as an upper middle class income economy by the world bank and has the highest human developement index score in Latin America. An emerging market with first world credentials for the overseas investor.

I have spotted very different investment opportunities; safe as houses early investment in developments, with 100% return guarenteed in 3 years through developer buyout, or hotels for sale in Buenos Aires. I liked the look of the swankier areas (Barrios) of the capital which would be the affordable equivalent of having an apartment if the West End; Palermo is a large and lively barrio in Buenos Aires which was originally built around beautiful parks as a playground for Argentina's elite.This is a typical property for sale in Palermo.

Palermo Apartment for Sale 110sqm

A French style 2 bedroom apartment at 1900 Santa Fe Avenue in Palermo, Argentina

Features

Fireplace imported from Italy.
Bright and quiet.
Double glass in the windows.
Renovated master bathroom, with marble and jacuzzi.

2009 Property Investment Overseas Top Ten

Country Life the home of premium property has the list all drawn up;

1 Paris
Paris was recently voted best risk adjusted investment location by PricewaterhouseCooper. It is the most visited city in the world and well placed to weather the current recession. In Paris, location is everything. The third and fourth arrondissements are good areas to search, with heavy rental demand and reasonable prices compared to the more fashionable sixth.

2 Miami
The city was heavily hit by the property crash, and you can pick up good, central homes at half the price they were a year ago. Property is being sold at less than the amount it cost to build it – always a good test of value. Experts think the bottom of the Miami market has been reached – or nearly reached – so it is a good time to buy for capital growth in the mid-term. Buyers must choose well and a sensible rate of return – 4-5% - should be possible.

3 London
There are startling bargains to be had in the English capital. Riverside apartments are being shifted at half their original value, and they should let well until a capital gain is made. Another plus is that there are no currency exchange risks to worry about if you invest in London.

4 Berlin
Berlin has in fact proved to be an unexpected top destination for investment for the last two years. Property prices fell sharply with reunification and Berlin is a place where locals still predominantly rent, thus a supply of middle-class tenants. Taking a 5-10 year view, Berlin is a fantastic investment spot.


5 Spain
Despite recent problems, Spain will always be the nearest destination where you can guarantee good weather for most of the year and the infrastructure can support large numbers of British retirees. The overpriced market has, in effect, collapsed. Now spectacular bargains are available.

6 Distressed sales
Many people are in financial difficulty and are desperate to sell. Investment properties not pulling in a quick profit can be picked up at give-away prices. Another variation is to buy heavily discounted units direct from the developer.

7 Repossession
As ghoulish as this might appear, you can get hold of true bargains once homes are repossessed by banks. But, you need local advice and you should inspect the property before purchasing. Buying a repossession at auction can be expensive and it might be better dealing direct with the bank.

8 Investment in developers
Rather than buying a property with all the attendant worries, you can instead make a welcome fixed interest investment with a developer. Your money will be tied up for only a couple of years, but obviously you need to check out the status of the developer to ensure your money will be safe.

9 Commercial property in Slovakia
It may sound strange, but Slovakia has one of the most successful economies in Europe and is a recent entrant to the EU. Whether you are investing in a small corner shop or a warehouse, prices are competitive and returns good.

10 Morocco
A more adventurous location, but Morocco appeals for several reasons: it is close, French-speaking and has good weather almost all year round. The Moroccan government has made a commitment to improve the country’s infrastructure and there are three different markets here: on the Mediterranean and Atlantic coasts and in Marrakech

There were also very cheap flights with the budget airlines to Morrocco last Autumn so it is not so far out of the way, no jet lag and a flight time similar to Cyprus. Morrocco is also building golf resorts and gated community resorts, so its safe but with that element of the new and unknown. If I were going to Africa though I would cost in the extra flight time and cost and go for the Gambia.