Currency Watch – Greece, Portugal & Spain are best bets for property in March

by Charlotte Ashton United Kingdom

MARCH 2012

Currency Index look back at exchange rates in February, and the headlines likely to be affecting rates in March for buyers of overseas property.

February saw the Pound finish the month lower against all major currencies except the US Dollar, where rates improved by 1.08%. The EU bailout of Greece was the main news theme, with austerity measures being passed by the Greek parliament, and relative stability in the Eurozone being the outcome, giving a slightly stronger (more expensive) Euro.

The South African Rand was the most volatile currency, with a range of nearly 4% during February, while the Canadian Dollar was the most stable rate.

The South African Rand also showed the biggest increase in cost, with a Pound going over 3% further at the beginning of February compared to at the end of the month.
Overseas property buyers should be aware of key events coming up in March which are likely to affect exchange rates and therefore their overseas property prices:

 

• Ongoing: stability or not for the Eurozone after Greek bailout agreed?
• Tuesday 6th: Eurozone GDP (Q4 2011)
• Thursday 8th: UK Quantitative Easing decision
• Friday 9th: US unemployment & non-farm payrolls
• Tuesday 13th: US retail sales
• Wednesday 21st: Bank of England minutes
• Tuesday 27th: UK GDP (Q4 2011 third reading)

 

For comment and analysis on any of the above, please contact Currency Index.
Applying the exchange rate change to recent changes in local property markets around the world reveals the real change in cost to British buyers of property around the world.
For example a British cash buyer can now pick up a bargain in Greece for nearly 5% less than in recent months, or a saving of over £8,000 on a property which was on the market for €200,000. The countries where emigrating or buying overseas are becoming significantly more expensive, are New Zealand and South Africa, due to local increases in property prices. Brits will be pleased to know that the traditional favourite locations of Greece, Portugal, Spain and the USA have all reduced in price recently, despite exchange rates generally failing to improve further in February.

Data: Currency Index Feb ’12 /  Global Property Guide Q4 2011
 

Albania not Turkey tipped by experts to be best performing growth market in South Eastern Europe

by Charlotte Ashton Albania

According to Albania’s National Institute of Statistics, INSTAT, Albania’s gross domestic product (GDP) increased by 2.6% in Q3 2011 compared with the same period in 2010.

The data highlighted that in the third quarter of 2011, the sectors that registered the highest growth were transportation which increased by 19.7% compared with the same period in 2010, while trade was up 6.2% and industry grew by 4.7%.

Meanwhile, a report by Colliers International has predicted that Albania will be one of the best performing growth markets in South Eastern Europe, increasing by over 3% with previously flourishing economies such as Turkey lagging behind.

Ravin Maharajah, Partner of Lalzit Bay Resort & Spa, the 5* luxury residential development located on Albania’s Adriatic coastline comments,

“Albania is certainly one to watch in 2012 particularly as it is one of the highest economic growth markets in the south eastern European region right now. Indeed, foreign direct investment into Albania derived from companies Shell and Petromanas joining partnerships to explore for oil in the country will no doubt increase, making a real impact on the Balkan nation. Albania has high hopes for an oil boom, which could provide large cash injections into the nation.

“As a testament to Albania’s potential, our customer base is constantly growing with the benefits of buying a beach property in Lalzit Bay Resort outweighing the macro-economic issues affecting the Eurozone. With interest rapidly growing and the expectation of increased GDP growth as well as high visitor numbers in coming years thanks to a wider range of infrastructure projects, Lalzit Bay Resort & Spa can provide the perfect property investment opportunity for as little as €38,000.”

Lalzit Bay Resort and Spa offer a premium, exclusive product to buyers who want the benefits of villa ownership including private gardens and terraces, exclusive services, and more privacy as well as a range of facilities including private swimming pools, a BBQ area, tennis courts and superb restaurants.

For those thinking about investing in a second home in one of the best performing growth markets in South Eastern Europe, look no further than the stunning apartments and villas at Lalzit Bay Resort.

For more information please contact Lalzit Bay on 0845 125 8600 or visit www.lalzitbay.com.

 

AB Property Marketing now representing luxury UK holiday resort, Westbeach Devon

by Charlotte Ashton United Kingdom ,

With spring just around the corner, leading property PR agency, AB Property Marketing, is delighted to announce their appointment by Westbeach Devon, the UK’s new luxury holiday resort.

Located in the North Devon tourist hotspot of Westward Ho, Westbeach Devon offers luxury apartments with superb sea views, close to the new village green and signature restaurants.

Phase I of the luxurious holiday resort, the ideal location for a UK break, is already complete with an opening ceremony planned for early March. Due to client demand, phase II has now been released with 160 executive apartments just 50m from one of Devon’s best loved beaches available from £189,950.

The appetite for second homes in the UK, especially the south west of England, remains strong. According to latest figures from Primelocation.com, the number of holiday or second homes in the UK is on the up reaching, 246,494 in 2011.

As Nick Spence, Director of Green Parks Holidays Ltd, comments,

“Despite the tough economic climate, the UK second and holiday home sector remains as robust as ever, with “staycations” still the preferred choice for many British families. Indeed figures from September last year show a 22% increase in the number of domestic overnight stays compared to 2010 (Experian Hitwise UK) and the number of Google searches for “UK breaks” rose by 27% in January 2012 compared to a year ago.”

But not only will Westbeach Devon make the perfect UK ‘staycation’, the apartments will also be a shrewd investment being priced below market value, delivered with guaranteed rental returns  plus a buyback offer.

As Charlotte Ashton, Director of appointed PR agency ABPM, explains,

“Westbeach Devon offers the ideal lifestyle investment opportunity. Luxurious apartments, in an established UK tourist destination, from a developer with a clear track record, offering guaranteed returns plus a secure exit strategy, available with an exceptionally low deposit of10% – this is one project we are delighted to be involved in and one certainly not to be missed!”

What can West Beach Devon offer the media?

 Latest news on Devon and the UK holiday home market
 Expert comment from Director, Nick Spence
 On-site press visits to the completed phase I
 Resort information and apartment specifications
 High resolution imagery
 Case studies and testimonials

For more information on West Beach Devon please contact Charlotte Ashton on 0845 054 7524, c.ashton@abpropertymarketing.co.uk or visit www.westbeachsales.com

 

Bank on bamboo – An alternative investment you can believe in

by Charlotte Ashton United Kingdom

Alternative and ethical investments have been very successful of late, due to the condition of the global markets. Banks are paying miserable returns, the property market has taken a hammering and the stock market is performing erratically. In times like this, people are seeing alternative investments as a far more mainstream option than perhaps 10 years ago. Of course, investors need to be informed, do their research, ask questions and find the best deals.

Bamboo is one such investment that has presented itself as one of the very best deals around. Indeed, while investors become more socially and environmentally aware, they are still on the lookout for tangible assets that they can actually see develop and bamboo investments offer just that.

EcoInvestments’ Sales and Marketing Manager Marcus Vassiliou recently returned from a trip to Nicaragua, where he visited the Rio Kama and Rio Siquia plantations and got to see for himself exactly the work which has been already undertaken on these plantations and the benefits the projects have brought to the local community.

 

 

Why not take a look at Marcus’ account of his trip to Nicaragua and find out more about an alternative investment you really can believe in – the world’s first asset backed bamboo bond!

 

Property Inspector: When property photos go wrong

by Charlotte Ashton United Kingdom

TheMoveChannel.com´s Property Inspector: Taking a closer look at global real estate each month.

In this month’s podcast, TheMoveChannel.com´s Property Inspector examines property listings – and what happens when property photos go wrong.

The picture of the property is the first thing a buyer sees when searching for a house for sale, but images are frequently overlooked by private sellers and agents alike. These embarrassing images can range all the way from messy rooms and inappropriate decor to wayward pets and, in extreme cases, scantily-clad homeowners.

Why would a property portal include these photos in a real estate listing? Why are these pictures taken by seller in the first place? And what impact can rogue images have upon real estate marketing in general?

TheMoveChannel.com´s Property Inspector interrogates Accounts Director Chris Thompson and Charlotte Ashton, director of AB Property Marketing:

Chris, what´s the thought process behind a seller listing a property with such images?

“Sometimes, it may be that people have taken too many photos and they don´t realise which are the best ones to put up. A lot of people haven´t got the time to think about it or worry about how it looks on the site, they just want to get it uploaded and out of the way.”

What´s the worst photo you´ve seen?

“I´ve seen photos of just the roof and sky and of empty swimming pools, but also things like rusty balconies.”

So a lot of the mistakes you’ve come across are smaller things that can be avoided?

“Yes, absolutely.”

For a property portal, where does the buck stop in making sure a bad photo doesn´t get listed?

“I think it´s 50/50, to be honest. It´s up to the seller to make sure they are taking the right photos to attract a buyer to the property, but for us, we need to monitor the listings. If I´m filtering through the site and spot a bad photo, I will advise the seller or agent and get them to change it to a better picture. The advantage of advertising with a portal is that you can have lots of images on your listing – if one isn´t ideal, you can switch it for another.”

How much of a difference can one bad photo out of, say, eight good images make?

“It´s about getting the right balance of the right photographs. As long as the other photos show the property off in the best light possible, it shouldn´t be too much of a problem.”

Charlotte, what property photo horrors have you encountered?

“There was once a house in Bulgaria with an old lady sitting outside on a sofa, and there was a UK buy-to-let property with boarded up houses on either side…”

So is this just a property listing problem or does it extend to real estate marketing in general?

“It´s both. As well as the written content in brochures, it´s really important from a PR perspective. Some of our clients don´t always provide high quality imagery, but a lot of the print media require high-res pictures to go with a story. If you´re trying to get into print media, it´s essential that you have decent images that show exactly what the property is.”

Where do you stand on Photoshop?

“I think there´s a place for Photoshopping. You can enhance lighting, say if it´s a really grey day, but I don´t agree with removing things or putting things in. Enhancing is acceptable, but I don´t think doctoring is.”

What kind of tips would you give to an agent or developer advertising their property?

“If you can, get someone professional to do it. If you´re a developer in the industry with a luxury house, you´ve spent so much money constructing it, a couple of hundred quid for some decent photos is a drop in the ocean.”

 

For further advice from Charlotte get in touch: www.abpropertymarketing.co.uk

And Chris, what advice would you give to sellers?

“It´s the outside of the house that says yay or nay. Make sure you pick a clear day and get the whole house in there. If you´ve got a pool in your back garden, show it off. It´s about showing what you´ve got. Another key thing is to make sure the inside of the house is tidy. You don´t have to clean for hours on end, it just has to look nice for someone to walk in and decide it´s what they´re looking for.”

Listen to the full investigation here.

Notes to Editors

Founded in 1999, TheMoveChannel.com is the leading independent website for international property, with than 400,000 listings in over 100 countries around the world, marketed on behalf of agents, developers and private owners.

The website address is http://www.TheMoveChannel.com and the office address is 24 Jack’s Place, Corbet Place, Spitalfields, London, E1 6NN.

Contact Dan Johnson on 0207 952 7650 for further information.

Investor interest on the rise in Nicaragua

by Charlotte Ashton United Kingdom

Having grown well above the Latin American and Caribbean average of 4.3% Nicaragua’s economy is quite simply booming. Exports have exceeded US$2.2 billion with investments from big name brands including Nike, BMW, Levis and Adidas expected to boost Nicaraguan exports further while tourism figures in Nicaragua increased over 4% during 2011. In relation to this, more than 1.6 million visitors established a new historic record in tourism arrivals with revenues reaching nearly US$363 million in 2011, an 18 % increase on the US$308 reached in 2010.

And the positive news continues with The Central Bank’s estimated data indicating that 2012 will continue to show fruitful economic figures with Nicaragua´s GDP expected to grow between 3.5 and 4%.

Marcus Vassiliou, Sales and Marketing Manager of alternative investment experts, Eco Investments, comments,

“With such a strong economic position, now is the perfect time to invest in Nicaragua. Foreign direct investment has grown by 140% over the last 5 years with investors continuing to make the most of untapped opportunities. Of course, it is important to ensure that an investment supports the government’s plan to become a leader in sustainable development helping protect Nicaragua’s natural resources as well as improve the lives of its citizens.

“With this firmly in mind, we are encouraging investors to look no further than the world’s first asset backed fixed income bamboo bond in Nicaragua, Central America’s largest producer of sustainable timber substitute. The great thing about an alternative investment like this is that the plantation which pays the returns on the Bond has created hundreds of fairly paid jobs in Nicaragua, offering many local people their first ever chance of paid employment while bamboo presents a sustainable source of ethically produced timber, reducing the pressure on unsustainable natural forests.”

Located in Rama, close to the Rama port which offers excellent sea access to the key export market of the United States, this investment not only provides employment and social returns in an area of need as well as environmental benefits such as reforestation but impressive financial rewards.

Approved by 15 major SIPP providers, already $8.5 million of the bond has been sold with investors able to profit from over 20% annualised yield with annual fixed returns of up to 55%.

Structured through FSA regulated trustees, investment is from as little as £10,622. To find out how to profit from the timber of the 21st century in Central America’s leading economy please contact Eco Investments today on +44  20 3012 0306 or visit www.ecoinvestments.co.uk.
 

Don’t use your bank and 6 other simple rules to make your property purchase easier, cheaper and safer

by Charlotte Ashton United Kingdom

When buying property abroad, usually one of the necessary obstacles is the exchange of a large amount of currency needed to pay for your purchase.

Many people buying abroad still neglect to think about currency exchange until it is too late, and end up paying more than they need to, with added stress levels too. This simple guide from Currency Index will help buyers to get a good deal while remaining safe, and reduce the hassle that can be involved.

1. Think about currency early in the process

Not many people would buy a property in the UK without knowing the price. But, if you go on a viewing trip and put down a deposit without investigating the exchange rate, that’s exactly what you are doing when buying abroad! Before you start to look at property priced in a currency other than sterling, have a look at exchange rates and set yourself a reasonable rate for your calculations. It is better to be pessimistic with your exchange rate, so that when the time comes to transfer funds, you should be under your budget rather than over. A reputable currency company will help you to budget sensibly.

2. Don’t use your bank – you could pay 4% more

Banks’ exchange rates vary wildly. Some are reasonable, some are awful, and there are variations within each bank depending on who you end up talking to when you get a rate. Generally, the banks are not competitive on rate and rely on consumers assuming that exchange rates are fixed in stone. They are not. By comparing with a currency broker such as Currency Index, you can save up to 4% just on the exchange rate. That’s a huge difference of around £5,000 on a €150,000 transfer.

3. Consider fixing your rate in advance

Another service offered by currency companies, is a tool called a Forward Contract. This allows buyers of overseas property to fix an exchange rate in advance, for a payment in the future. The beauty of a forward contract is that only 10% of the sterling is needed to secure a rate, the balance being due when the foreign currency is required. That way, buyers can know exactly what they will be paying in sterling, without actually paying for their currency. Of course, if fixed when exchange rates are good, this can save a significant amount compared to waiting and buying currency at the last minute when rates may have fallen.

4. Allow enough time for your transfers

Another mistake many people make is transferring funds at the last minute for their purchase. Typically this is a problem when using banks to make a transfer, as they are notoriously slow at processing international payments (the average bank clerk has little or no experience in this area). There are also different clearing times abroad in different countries and currencies, so by liaising with a dedicated point of contact at a currency company, you can ensure you are correctly advised on transfer times to get money to the right place, at the right time. Currency brokers will typically send funds 1-3 days quicker than a high street bank, and can provide all the necessary paperwork for you and your lawyer.

5. Avoid paying unnecessary charges

When dealing with foreign banks, it pays to make sure you are not subjected to any hidden charges. For example, in Spain, it is common for banks to charge up to 0.5% of an incoming transfer, just as a fee for receiving it! When sending large amounts this can be punitive. Fortunately, again using a foreign exchange specialist, in most cases the charges can be avoided. Currency companies are experienced in sending payments all over the world and will be able to help you avoid falling foul of charges you might not have even known about. In addition, they will also be able to reduce or eliminate charges in the UK, where banks can demand up to £40 for sending an international payment.

6. Shop around

Many foreign property agents recommend a particular currency company to their clients. There is often a commission payment involved here, and realistically that means the client may not be getting the best possible rate. While a recommended company may seem comfortable, it is worth making one free call to an alternative supplier such as Currency Index to see if you can get a better deal.

7. Be safe

The independent currency transfer industry is now FSA-regulated – but not all companies are regulated to the same standard. In practice, it is safest to use an “Authorised Payment Institution”, as defined on the FSA’s website (under “Payment Service Companies” on the FSA register). Crucially, this means your funds must be held in safeguarded client accounts while with the broker (much like holding money with a lawyer), and that the firm has sufficient capital to meet strict requirements, as well as being run without risky practices. The lower level of FSA registration, “Smaller Payment Institution”, does not guarantee these safeguards, so check on the FSA website before you agree to part with any money. Currency Index was one of the first firms to be granted “Authorised Payment Institution” status when the regulation was introduced in 2009.

Following these simple 7 rules will mean that your overseas property purchase can run more smoothly, cheaply and safely than if you leave your currency transfers to chance. Currency Index’s experienced and friendly staff are available to discuss clients’ requirements without any cost or obligation. For more information call 0800 043 2623 or visit www.currencyindex.co.uk for more information.
 

At the Frontier: New way to invest in the USA, voted top destination for real estate investors

by Charlotte Ashton United States

The United States remains the best option for real estate investments this year according to the 2012 annual survey of the members of the Association of Foreign Investors in Real Estate (AFIRE).

The survey, carried out in Q4 2011 discovered that around 60% of respondents, which together hold around $338 billion of real estate in the USA alone, plan to increase their investment in US real estate in 2012, highlighting that investors still regard the ‘land of the free’  as one of the most stable and secure global markets.

Ray Withers, Chief Executive of leading property investment agency, Property Frontiers comments,

“We are firm believers in the current value that can be achieved by investing in the US property market, we at Property Frontiers carried out our own annual Investor Survey and we were not surprised to discover that there still exists an appetite for investment in the USA with investors choosing it as the location they wanted to invest in after the UK.

“In real terms, property prices in the USA today are back to where they were around the turn of the millennium, with prices in some states up to 70% below their 2006 peak and around 50% of current rebuild cost.

“Indeed, property prices have crashed and because of the credit freeze, the rental market is booming. Properties even in good areas can be acquired at huge discounts if you have the right contacts but this window of opportunity will not remain open forever. Increasing investor activity within the foreclosure market is already starting to stabilise prices and in some instances, even rise.”

Based on this high level of interest Property Frontiers have been working hard to find a pioneering new way for investors to enter the lucrative US market.

Withers continues,

“While we remain firm believers in the value that exists in certain states in the USA, the problem for investors up until now has been how they can capitalise and act quickly enough to take advantage of opportunities in the very fast moving US property market however we are very excited to announce that we have found a new solution.

“Using the trustees that administer our hugely successful bamboo bond, our structured US property bond allows people to benefit from the excellent yields in the US property market without the risk or hassle of managing individual buy-to-let properties.”

The US property bond will allow investors to enjoy fixed returns as well as a completely hassle free investment as experts on the ground continuously assess the best properties to invest in across all 50 states. These properties are then acquired, refurbished and subsequently tenanted allowing investors to sit back and enjoy double digit rental yields.

Find out how to enjoy fixed returns of up to 17% by investing $50,000 in Property Frontiers’ US property bond call +44 (0) 1865 202 700 or visit www.propertyfrontiers.com.

Albania – a real contender in the European second homes market

by Charlotte Ashton Albania

Although Albania is still deemed an emerging market for overseas property, it is exactly this kind of nation that presents some of the very best second home opportunities today. With prices in Albania among some of the cheapest in Europe coupled with rising tourism and economic growth, Albania is fast becoming a real contender in the second homes market.

Whilst this Balkan nation offers a typically Mediterranean climate with an undeniable picture perfect landscape and an inspiring ancient history to tempt buyers, there have been limited opportunities for overseas property purchasers to confidently enter the Albanian property market. Nonetheless, with the Tourism and Culture Minister Aldo Bumci stating that €2 billion has been spent on improving the country´s roads and utilities infrastructure to help support increased tourist numbers combined with GDP growth, predicted to hit 4.3% this year according to the Albanian government, Albania is already on its way to becoming one of the best holiday and second home havens in Europe.

Ravin Maharajah, partner of Lalzit Bay Resort & Spa, a five star luxury residential development located on Albania’s Adriatic coastline comments,

“There is no doubt that the outlook for Albania is positive and we are excited to be delivering one of the most exciting and innovative developments in not only Albania but Europe. Offering a slice of paradise for an unbeatable price, we at the 5* Lalzit Bay Resort and Spa have now finalised the construction contracts with building set to start on Phases A and B weather permitting, with excavation, levelling and foundations all to start shortly.

“Our villa apartments offer a premium, exclusive product to buyers who want the benefits of villa ownership including private gardens and terraces, exclusive services, and more privacy. We are also including additional exclusive services available to villa owners, including membership of the Adriatic Club, priority access to facilities, concierge service for cleaning, home-delivery, airport pick-up and access to private beach areas.”

For those thinking about investing in a second home, look no further than the stunning apartments and villas at Lalzit Bay Resort. Only moments away from the beach, the stunning resort villas are designed to be the ultimate beach properties in Albania affording private swimming pools, BBQ area, tennis courts and superb restaurants priced from just €38,000.

Lalzit Bay Resort and Spa are in the process of establishing new group buying discounts for villas and villa apartments in 2012 as well as scheduling seminars for interested buyers but for now, why not take a look at their 3D video, highlighting the wonderful features of the resort www.lalzitbay.com/video.

For more information please contact Lalzit Bay on 0845 125 8600 or visit www.lalzitbay.com.
 

70% of landlords more confident about UK B2L according to expert online lettings agency

by Charlotte Ashton United Kingdom

A Private Rental Sector Health Check for January 2012 from market leading lettings agency Upad, has revealed that almost 70% of landlords are more confident about the UK buy-to-let market in January than they were at the end of 2011.

Asking 592 landlords whether they were more or less confident about the buy-to-let market in January compared to the previous month a total of 411 (70%) respondents highlighted rising tenant demand, high rents and reduced housing stock as the main reasons for boosting their assurance in the buy-to-let market.

James Davis, CEO of online lettings agent Upad comments,

“By conducting this survey we gain great insight into the optimism of landlords in 2012. Indeed, more and more people are choosing to rent as they struggle to get on the property ladder and with and estimated double-digit increase in the number of people who will choose to become “professional tenants” this year, landlord confidence in 2012 is on the up.”

Of course, each landlord questioned had their own reasons for being confident in 2012. One landlord highlighted that they were confident about the buy-to-let market in Winchester because of the good student housing demand and professional lets in the area while another landlord explained that their confidence derived from the lack of rental properties on the market in South East London stating: “My last let was snapped up immediately without any negotiation on the asking rent.”

In addition, landlords have noticed that interest among renters is increasing with one such inspired landlord commenting: “I am more confident due to the amount of response I have had to my recent rental property. Having sold a property last year, the difference in the amount of viewing for my rental property in comparison to my property for sale has been very encouraging.”

Meanwhile, confidence among one of London’s best private student and graduate landlords is strong according to the feedback given to Upad, declaring:  “We had around 170 groups of students register with us for housing for summer 2012, that’s basically 850 – 1200 separate students based on 5/ 6 per group in just 8 weeks who registered and then all viewed our houses with the last 7 days. This is just for summer 2012! And, they are looking now and willing and able to pay top rents for the right sites. That’s why we are more confident and that’s why we are investing.”

With confidence in the UK buy-to-let market growing, landlords looking for an innovative new way to do business should look no further than the UK’s market leading online lettings agency, Upad. Last year they let over 3,500 properties nationally following one simple belief, that ‘landlords are better than agents at showing tenants around properties. 

Upad enables both professional, self-managing and the rapidly growing group of accidental landlords to find tenants in a professional agency environment, whilst retaining the ability to meet tenants and show them around their property personally. The cost savings are remarkable, driving down agents’ fees across the sector. Tenant-find services start from just £99+vat per property and an even cheaper price for rooms.

For more information on the Private Rental Sector Health Check from Upad or to find out more about the services available please contact lettings experts Upad, on 0333 240 1220 or visit www.upad.co.uk.