International Investment Property
The world is only so big and land is limited. Thus real estate is an investment that often pays off in the long run.
Those of us that share a passion for investing property, tend to have a preference for International Investment Property or local investment property. And then of course there are people that like to invest in both. When investing internationally, it is recommended that investors try to invest in countries which are steadily improving. Early investing certainly yields a higher profit.
The term Investment in the property category, applies to any property that you own but don’t occupy i.e. it is property you own purely to generate profit. This could include real estate and apartments or commercial, retail, and industrial buildings. There are typically three main investment types and they are:
The Pre-construction investment- where the investor purchases the property before any ground is broken for building. This type is more popular in high demand areas that experience housing shortages. These shortages often cause prices to rise quickly and the units are quickly sold before they are completed or any actual money changes hands. This is a highly speculative and risky but very rewarding sort of investment that booms or busts with the times.
Rental Income / Capital Appreciation- Property normally gains value over time. This type of investment is by renting the properties to tenants while the property values are increasing. The tenant covers part of the cost of the property making the venture less risky. There will still be the risks of dealing with tenants, such as property damage, failure to pay the rent, and possible legal problems of poor tenants.
Buy and hold- Purchasing properties and holding on to them for as long as necessary before selling can often lead to financial gains. The longer these properties are held the better, providing a greater opportunity for the value property to increase. At the same time, you may use it as a Vacation Home while you are making holiday in the overseas or let your children to live in while they are pursuing their education in the foreign land.
So you can see that there are quite a few things to know about Investment Property, and my focus tends to be on International Investment Property.
One guide that I think every serious collector must have, is the Where to Buy Property Abroad 2008: An Investors Guide. As it is excellent in giving you a guide on where are the prime hotspots around the world likely to show the greatest capital appreciation and rental income. It is essential reading for anyone considering buying property abroad for investment.
It not only covers all the factors a potential buyer needs to consider, such as how to analyze housing markets and assess opportunities, raising finance, and taxation of overseas property, but also covers in detail 25 countries in the Americas, Europe, Asia, Africa and the Middle East Americas including many that have the greatest potential, describing their current situation and likely future prospects.
I think this is an absolute must have for someone who really is serious about building their International Investment Property and/or International Investment Property Portfolio. .
