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Barclays survey reveals overseas property interest

16th January 2009: Algarve Property News

A recent survey into overseas property and British buyers conducted by Barclays Bank revealed that 40% of Britons either already own a property abroad or intend to buy one, and that of those who intend to buy, 43.1% said they would be buying with cash.

So, at a time when anyone with any spare cash is looking around desperately for somewhere to bank their cash where they will get better than the average 0.something rate of interest, where better to look than at property markets abroad where prices are falling and developers and vendors are more willing than ever to negotiate.

Now is an amazing window of opportunity for investors because property prices in some of the most tried, tested and evergreen destinations in the world are fast falling. This means that one can buy into places such as the Algarve where one was previously priced out of the market – or buy better than one would have been able to before.

Topping the tables with Britons surveyed by Barclays Bank were France, Spain, Italy and Portugal – i.e., the tried and tested, evergreen markets already mentioned. These are locations that never lose their lustre and appeal, but each is a country suffering its own weakened housing market meaning that those with the cash to buy in can potentially secure a real bargain.

Of course the fact that the pound has dropped in value in relation to the euro over the last 12 – 18 months means that one does have to negotiate harder than ever, but it is possible. What’s more, seek out the currency exchange specialists and get them on board and offering you good forward rates on currency exchange if you do decide to go ahead and buy.

There has never been such an opportunity and real case for buying a property abroad as now – as stated interest rates in the UK are close to zero meaning that anyone with any cash needs to look at putting it into a different asset class altogether before the government starts printing money and because the majority of those surveyed who want to go overseas want to buy in cash, and because markets abroad are correcting – there really has never been a better time to do it.

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