Overseas buyers should look to Cyprus and Bulgaria this year, says property investment specialist Assetz. With help from its own International Property Investment Tracker, it has identified these countries as the best bets for overseas buyers.
Stuart Law, managing director of Assetz, says, ‘Southern Cyprus is set to become the overseas investment hotspot of 2006, with deposit levels falling to just 15 per cent in many areas for higher income clients and with Swiss Franc mortgages now available with rates of just 3.25 per cent, making borrowing even more affordable.’
Bulgaria also looks set to continue its reign as a lucrative long-term investment, with ski resorts delivering year-round rentals and yields of up to 12 per cent – as much as double those in the coastal resorts, says Law. ‘The ski resorts thrive through the summer months, offering activities such as hiking, fishing and mountain biking. The low cost of living (a pint of beer for example, costs 50 pence), new cheap flight routes and world-class ski facilities mean Bulgaria is now providing healthy competition to the French and Austrian ski markets.’
Law points out that Bulgaria is still an emerging market, however, and ‘although investment prospects are strong, the resale market is not guaranteed and investors should exercise caution.’
France and Greece were also singled out as hot overseas investments for 2006.