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My experience with investors buying in Dubai extends since 2004 when one of my websites (Homesgofast.com) which promotes international real estate found that the property market had huge potential. Many of our UK based investors did not even hesitate to put a deposit down on a sure fire bet of an off plan property that was going to make them a fortune. Yes it worked many flipped got out and made a great deal of money. House prices seem to go up every year driven by hungry developers demanding more money from even more hungry investors.

That Was Then

I felt at the time that Dubai was different and the bubble would not burst , investors were no buying these luxury apartments with a mortgage but with their own money nothing could go wrong!

Down payments followed by stage payments made it a consumer friendly place to buy real estate. Then human nature took over instead of buying one property investors bought 5 then 6 then 10 etc. It did not take too long before the overseas property investors fast become over stretched.  

This Is Now

The Good new is that investors have changed no longer are they looking at Dubai for a quick buck. It's now about steady investors with an eye on the long term. Inspection trips and detailed information is the order of the day with investors carefully selecting the best of what is available.  We see many prices at 2005 levels which obviously presents opportunities for those investing for the long term. Investing in Dubai by overseas property investors is set to return but it will be to a different type of international real estate investor buying in Dubai.

This could be the future

Dubai appears to have turned the corner with UAE  officials stating that talks on reducing the $24.8 billion Dubai debt were going well and that no more major corporate restructurings were expected.

Confidence in Dubai's residential property market certainly appears to be returning with the Colliers International Q1 2010 House Price Index recording a 4% increase in house prices since Q4 2009. It is the third consecutive quarter in which the index has registered an overall increase, reinforcing a trend of market stabilization.

We can all learn from Dubai it seems...

Useful Resources

Dubai Real Estate

What does it mean when a housing market has an increase in second home ownership? The number of second homes in England rose by 2.6% in 2009 following a contraction in 2008 of -0.4%. This rise, which equated to 6,212 additional second homes, pushed the total to an all-time record of 245,384. Does this indicate further investment in second homes to let or an increase in wealth? Low mortgage rates in the UK could also be a factor as well as favorable currency exchange rates.  On the down side it  could be interpreted as difficulty to sell a second home with a lack of buyers seeking a typical second home.

From a social perpective does second home ownership mean real estate stock laying empty when others could do with a home. Does second home ownership push up house prices making it even harder for people to get a foot on the housing ladder?  

Liam Bailey, head of residential research at Knight Frank, comments: "The number of second homes in England has been steadily rising over recent years. The recession and credit crunch saw this trend falter in 2008 - when the total fell by 912 (or 0.4%). The recovery in 2009 - with an additional 6,212 English second-homes, marked a return to long term growth.

More figures here : Second Homes Increase In England

Barbados real estate tends to be at high end of the scale when searching for property to buy in the Caribbean. Barbados is home to celebrities and the rich who are attracted to the friendly nature of the people and unspoilt beaches not too mention the superb climate.

The small island that has attracted a huge amount of international real estate investment mainly from the UK, Canada and US. Recent property developments tend to be constructed with wealthy buyers in mind.

See an good example at Portico Barbados a contemporary apartment block on the beach with prices starting at a cool $4,950,000

Weston Resort Changes Everything

Weston resort Barbados presents rare opportunity to buy property in Barbados at prices not seen before in Barbados. It is an opportunity to benefit from the real estate market in Barbados where tourism can create a regular income for property owners. Imagine an Investment Real Estate in Barbados

Phase one includes 21 one to four bedroom apartments (many with sea views), large free-form pool area with sun terraces, plus beautifully landscaped gardens and pavilion house reception.

All just 40 metres from the beach and situated in 'The most charming and sophisticated of all Caribbean Island destinations'

Prices

1 to 4 Bedroom Gated Condominium Development

Price: USD 144,000 to USD 480,699

More Here Weston Resort, St James, Barbados

Great news from Florida for international real estate buyers and those seeking a lifestyle buy in the sunshine state. According to the Florida Realtors sales are on the up!

A total of 14,026 homes were sold in Florida during the month of November, compared to 8,694 a year earlier. There were a total of 4,889 condos sold in the month, more than double the 2,320 sold in November of 2008.

What may have driven this increase may be that in the month of November, 2009 the median sales price for existing homes in Florida was $139,000. That is a 12 percent decrease from the 2008 number, $158,000.

Some questions for Florida Realtors

The situation from my point of view living in the UK is not 100 per cent clear and it would be great to get some clarification:

Are prices now bottomed out in Florida?

Are distress sales driving the increase in activity?

Is this still a good time to buy or should overseas property investors hold on?

Is it one type of property that is selling well? if so what

Useful Resources

Find overseas property or promote your real estate to international buyers at www.Homesgofast.com

Florida realtor.com

 Floridahomes4sale.co.uk/

Direct inward investment by overseas property buyers is a fantastic source of income for any country in the world. Regions that are good at attracting the worlds real estate investors tend to benefit from increased tourism and investment to bolster their economies. My experience shows that increased regulation serves to put buyers off and punishing investment with taxation means that buyers will go elsewhere.

Trinidad & Tobago real estate was one of our most attractive international investment hotspots for people from the UK, Canada, and the US. I have seen in the last 18 months a complete reverse and now with the new property tax laws proposed 2010 seems to be more of the same.

The Trinidad government concerned with its Tobago land being purchased by overseas investors laid down new laws that restricted ownership. The global slowdown ensued and then crime levels rose making the beautiful Tobago one of the hardest places to sell to an international audience.

International real estate buyers  are allowed to buy up to one acre of property in Trinidad for residential use, as long as the transaction is paid for in an internationally traded currency, such as the United States dollars, said Nicole Ferreira-Aaron, a partner at M. Hamel-Smith & Co., a law firm based in Port of Spain. The same restrictions apply for leasehold properties. All foreign buyers must also give notice of their purchase with the Ministry of Finance. There is no special filing fee to do so, said Ms. Ferreira-Aaron; a buyer's lawyer handles the process.

Now owning a property in Trinidad and Tobago may be more expensive as the government seek to raise more revenue from increased property taxation. A new Property Tax Bill changes the basis on which taxes are levied on property from the annual rateable value (i.e. based on rates) to the annual rentable value.

Has the Trinidadian government shot itself in the foot for overseas property investment?  

Related Item

Fears for Trinidad & Tobago Real Estate Market

Buying off plan or pre construction real estate has huge investment benefits, investors will pay way below market value for a property that is in the planning stage. It also can offer consumers a gradual payment plan that will see the purchase of a brand new property over a few years. Developers use investors the money to finance the build and to put in early profits into the projects. On the face of it its a win win situation however the amount of companies that have gone into administration has put international investors off this type of investment.

I believe off plan property is still viable investment if you tread carefully and secure vital information that you can verify.

Here are 15 questions you need to ask a property developer

1. What guarantees do I have that the developer for this new property will not go into administration
2. Will my deposit be placed in an Escrow account?
3. Tell me about the building company, what work have they done in the past?
4. Has the builder secured planning permission and local permissions for the project?
5. Are there any legal safeguards for investors in the case of non-completion or poor construction work by the developer?
6. If I decided to sell before completion of the project, would that be possible and would I be penalized in anyway?
7. How easy is it to buy and sell property in this country?
8. What if I decide to sell the property before completion?
9. Are there any other fees while the project is being built and what about after completion?
10. What do you anticipate the rental income to be once the facility opens based on current rates at similar properties?
11. What is the payment schedule?
12. What happens if the building is delayed?
13. What is the rental yield I can expect?
14. What are the tax and inheritance implications?
15. What is the buying process in this country?

 In all investments there is a level of risk the more risk the higher returns it is good to get a payment schedule that is linked to a developments progress this will help reduce risk.

A poll of 1100 international property investors has resulted in the US coming in third place for investment in 2010.

Brazil is on every international real estate investor's lips right now. The Olympic effect has seen investment from all over the world and entry into this market is easier with low property prices. France is not a surprise as it's a firm favourite with UK buyers with a huge variety of property and importantly a relatively stable housing market. The USA property market is offering armchair investors superb investments, as an example we're promoting 3 bed houses which include paying tenants for $20,000. Florida is a buyer's paradise with brand new luxury homes going for the price of a cramped studio apartment in the UK. Recent news from the region indicates that Florida prices have bottomed out and the only way for prices to go is up.   

Overseas property investors will read with interest the results of a survey conducted by the International real estate website Homesgofast.com. The survey results include some surprising omissions and put Brazil, France and the USA as the top places to invest in 2010   The prediction comes after 1100 overseas property investors were asked to compile there top ten places to buy abroad in 2010. The respondents were asked to take into consideration the following factors in deciding their top places to invest in 2010   These factors were: 

• Housing market entry prices
• Potential capital growth
• Types of property available
• Ease of purchase for international buyers
• Stability in the region
• Accessibility by international travellers
• The attitude of government towards overseas buyers

The survey results show that Investment Property in Brazil. France and The US showed the most potential for 2010 with Brazil coming in first place. The top ten regions produced some surprise omissions. Despite an abundance of distressed property available in Spain  investors did not place the region in the top ten. Another region that would have been previously featured was Dubai which also failed to make the rankings. Thailand had also failed to make the list this year with investors it seems put off by political instability. New kids on the block for investment potential were Malaysia, South Africa and Abu Dhabi.   The top ten rankings look like this:  

Homesgofast.com Top Ten Places To Invest In 2010  

1. Brazil
2. France
3. USA
4. Egypt
5. Turkey
6. Greek Islands 
7. Australia 
8. Malaysia 
9. South Africa
10. Abu Dhabi