British investors with overseas properties are confident the market will continue to bloom and are expanding their portfolios as a result. A recent survey, carried out by the Property Investor Show North, revealed that 95% of overseas homeowners intend to buy more properties abroad, with 50% planning further purchases within the next year.

Confidence
Confidence in the overseas market is strong, with the expansion of the EU, rocketing house prices in the UK and the strength of the pound fuelling further investment. Almost one in five foreign homeowners now own more than one overseas property.

Investment returns
Investment remains a key motivator for 46% of people buying property overseas, with good returns expected mostly through capital gains (32%) rather than rental yields (14%). However, over one third (36%) of overseas purchasers bought their property abroad as a second home for themselves and 9% as their main home, with a better quality of life the main motivator for making the shift. The prospect of better weather (23%) and fewer taxes (18%) also proved to be persuasive.

Of the 95% of overseas investors planning expansions abroad, many are planning on expanding further into new markets. The most popular locations for overseas properties remain Spain (33%), France (24%) and Florida (19%) but Eastern Europe and South Africa are both beginning to make their mark as new hotspots.

Location, Location, Location
Almost three quarters of homebuyers (73%) cite location as the most important factor when choosing their overseas property. Nearly two thirds (68%) look for a property within an hour’s drive from the airport, as well as near to shops (55%), sports facilities (46%) and the beach (36%).

Other Findings
- UK homebuyers spend approximately £129,248 on their overseas properties, including renovation and decoration costs
- 68% of overseas homebuyers speak the language of the country they own property in and 19% intend to learn
- Apartments are the property of choice for 50% of overseas homebuyers

The Property Investor Show North (18 – 20 June 2004, Manchester G-Mex) will feature a number of seminar speakers and exhibitors providing expert advice on buying property overseas.