Overseas Property Investment Consultancy & UK Property Investment Consultancy

New research from Oxfordshire based property Investment Company, the Worldwide Property Group, shows that interest in buying property overseas has now tipped the balance versus that of property in the UK, with 67% of respondents saying it is a good time to make a foreign investment and 65% actually considering doing so.

Interestingly, countries which generated the most responses were the USA, which has been a firm favourite in the survey for a number of months, as well as Turkey and then Portugal. According to a new city tourism index developed by MasterCard Worldwide, Turkey appears to be the latest ‘hot-spot’, with tourist volumes in Istanbul having surged 30% making the Turkish capital the fastest-growing tourist destination in the world, generating an estimated $10.2 billion in 2011 so far.

For Portugal, its close proximity to England, Spain and France still makes it extremely popular with tourists who can take advantage of low-cost airfares. As a result the country is generating greater appeal for investors looking to scoop a deal.

Kevin Wilkes, Managing Director of the Worldwide Property Group says “it’s hardly surprising that investors are looking beyond the UK for places to invest. Many overseas regions are providing very strong potential returns, the USA being a prime example. The UK has always been a great place in which to invest in property, and will continue to be so. But with some incredible potential for property investment overseas mixed with increasing ease of purchasing a foreign property, people are finding they have much greater choice, and the UK now has some strong competition.”

“Whilst respondents’ interests have slightly shifted this month to overseas, confidence in property as an overall investment still remains high with 67% of respondents opting for it as the best investment over gold, shares, currency and savings. It’s also great to see respondents considering new counties to invest and achieve a great return.”

Latest research from the Worldwide Property Group confidence tracker survey carried out in May, revealed a 20% drop in respondents expecting interest rates to rise, a figure which has previously trended upwards in the monthly survey since the start of the year.

It would seem that despite reports earlier in the year that soaring inflation would force the Bank’s Monetary Policy Committee (MPC) to increase interest rates my May, their defiant decision to hold the base rate at its historic level, has led the public to believe that it could be some time before rates rise. Even more significant was the result that, of those respondents who believe rates could rise, nearly 70% thought this would only be a moderate rise by a maximum of 0.5%. By comparison, at the start of the year, 40% of respondents believed an increase could be anything from 0.75% to 3% or more.

Other results from the survey revealed that only 16% of respondents believe that house prices will fall over the next 12 months, the lowest figure since the survey began. This could indicate that the public are of the impression that prices have plateaued and thus explains why 70% of respondents believe property is the best investment, with the same number of the opinion that now is a good time to invest in UK property.

Of the 58% of respondents who said they would consider making a foreign property investment, all appear to be looking further afield, with USA holding number one spot, followed by the Caribbean and Brazil.

Commenting on the survey results, Managing Director of the Worldwide Property Group, Kevin Wilkes said: “By maintaining the base rate at 0.5% in May, the month that many had marked as the changing point, the Bank of England has offered renewed confidence to those expecting a rise and highlighted that the fragile state of the economy makes this an unlikely event for some time to come. Whilst homeowners continue to the reap the benefits, savers are undoubtedly suffering and are being forced to consider alternatives such as property in order to see a long term return on their investment. I am not surprised the USA is most popular for those looking to make a foreign investment, a recent report by housing analysts Zillow stated that the cumulative decline in US house prices since the market peak in June 2006 now stands at 29.5%, it’s hard to see how the market can drop much further.”

With the commodities markets looking decidedly shaky, property is once again increasing in investment popularity according to recent figures from the Worldwide Property Group. Results of the company’s April confidence tracker survey reveal that 80% of people surveyed ranked property as their number one investment of choice. This is the highest figure since August 2010 and the second highest figure since the survey began in August 2009.

With the recent bursting of the Silver bubble during which its value fell by a third, and substantial declines in many other commodities including Copper, Nickel and Tin, investors are looking for a steadier and safer place in which to put their money. Four out of five people surveyed believe this to be property.

In second place with a respectable 14% of the vote was Gold, an investment that is currently resisting the fate of other commodities with sales of Gold coins on track for their best month in a year. Shares and currency each received 3% of the vote whilst savings unsurprisingly received nothing as interest rates remain historically low.

Looking at other aspects of the survey 73% are expecting an increase in interest rates at some point during the next 12 months. However, with lenders continuing to reduce rates on many fixed mortgage products, renewed confidence has led 91% to be of the opinion that this will be by no more than 1% and subsequently led 83% of respondents to believe that right now is currently a good time to buy a property in the UK, whilst 63% believe the same of overseas property.

Commenting on the results, Kevin Wilkes, Managing Director of the Worldwide Property Group said: “It is great to see that property is the investment that people turn to when many others show signs of instability. It just reinforces that property is still widely regarded as a safe and secure investment, an investment that has demonstrated great resilience in the face of very difficult economic conditions. I have always been of the opinion that property is a great place to invest your hard earned money as generally its value has been shown to rise consistently over the long term. It appears that an increasing number of people share that view”.

The Worldwide Property Group has released figures from its latest confidence tracker survey and the results reveal that confidence in property both here in the UK and abroad remains high.

The survey was conducted throughout March and focused on a number of areas such as house price and interest rate expectations, general confidence, buying intentions, and views on property as an investment.

Significantly, 84% of respondents stated they believed right now to be a good time to buy a property in the UK. The last time the survey recorded such a high percentage was back in November 2010.

Just 28% of those interviewed expect UK property values to fall over the coming year with an even split between those who expect prices to either increase or remain static.

On the subject of interest rates, 85% expect the base rate to rise at some point over the next 12 months. This is a substantially lower figure than last month’s 96% and actually represents the lowest figure in 4 months. 65% said that they were still benefitting from the current low level of interest rates with 58% saying this had increased their desire to buy a property.

Looking further afield, 56% are of the opinion that an overseas property purchase represents good value in the current market with the United States still the most popular region in which to buy. Greece, Turkey, Spain and Portugal also ranked highly, and China was also mentioned for the first time in the history of the survey.

Three in every four people surveyed believe property offers the best investment potential of any major investment. Gold was in second place with 13% of the vote and shares received just 7%. Currency and savings received 4% and 2% respectively.

Commenting on the survey results, Managing Director of the Worldwide Property Group, Kevin Wilkes said: “It is interesting to see a drop in the number of respondents who are anticipating an increase in interest rates. Given the positive CPI inflation report earlier this month, I expect next month we’ll see a further decline in those people expecting a rate rise.”

New research from the Worldwide Property Group suggests that the general public are split regarding the direction of house prices over the coming 12 months. The results of the company’s monthly confidence tracker survey reveals that 37% of respondents believe that house prices will rise over the course of the year whilst 35% are of the opinion that prices will remain static. 28% indicated that they are expecting prices to fall during this time.

The survey, which was conducted throughout February, also revealed some interesting figures on the subject of interest rates, a subject which has begun to receive a great deal of media attention in recent months. A huge 77% of those who took the survey believe that rates will increase during the next 12 months, although two thirds of these are not expecting any more than a half percent increase in total. This lends weight to the market expectation that rates are set to rise relatively soon. Interestingly, 5% indicated that they anticipate a further reduction in interest rates during this time.

Overall, confidence in both domestic and overseas property continues to ride high with 72% of the opinion that right now is a great time to buy a property in the UK. 77% feel that this is also a good time to make a foreign property acquisition and this represents the first time since the survey began in August 2009 that overseas property has received a higher confidence rating that the UK. 69% indicated that they are currently considering an overseas purchase with the United States still firmly in the number one spot.

69% of those who responded to the survey placed property as their first investment choice, some way ahead of gold in second place with 22% of the vote.

Commenting on the survey results, Managing Director of the Worldwide Property Group, Kevin Wilkes said: “The results of this survey show that, in general, people are expecting house prices in the UK to further consolidate during the course of the year. The UK market has fared pretty well during the recent economic storm with minor declines compared to the likes of some other countries, the USA and Spain being obvious examples. The continuing stability of UK house prices is good news and I don’t foresee this being impacted in anyway by minor rises in interest rates.”

“Affordability for first time buyers has improved substantially in the last few years, whilst for second home buyers there has not been a better time for many years to make that purchase. For property investors there is currently a whole world of unbelievable opportunity.”

According to recent research by the financial services group Hargreaves Lansdown, the 20 biggest self-invested personal pension (Sipp) funds have comfortably outperformed the UK’s 20 biggest pension funds overall. They have risen by an average of 89% over five years to December 2010, according to the inaugural Hargreaves Lansdown Sipp Index (a new index to chart the performance of the 20 most popular funds held by investors in its own branded Sipp). That compares with an average return of just 26% from the biggest 20 pension funds and 24% from the FTSE 100 index over this period. Over all 36 periods analysed, the Sipp funds on average did better than the big insurance company pension funds.

So, what accounts for such a stark difference? Well, Sipp investors – generally more sophisticated than your average personal pension investor – can be more comfortable taking greater risks.

The biggest 20 Sipp funds hold investments across 11 sectors, including emerging markets and natural resources – areas that are considered higher-risk and, therefore, have the potential for higher growth. Some of the funds in these sectors have notched up stellar performances over the past five years.

Most of the largest 20 pension funds (representing over £100 billion of assets) are ‘balanced managed’ funds, investing more conservatively and, therefore, returning less over the long-term.

Indeed, Sipps usually afford a far wider investment universe. Most pensions enable investors to hold things like unit trusts, open-ended investment companies (Oeics), gilts and corporate bonds.

The views expressed in this article are those of the author and should not be considered as advice or a recommendation to buy, sell or hold a particular investment. They reflect personal opinion and should not be taken as statements of fact nor should any reliance be placed on them when making investment decisions.

Past performance is not a guide to future performance. All investments you make in a Sipp are subject to risk and the value of these investments and any income from them can go down as well as up, and you may not get back, in the form of pension benefits, the amount you originally invested. Where a trust invests overseas, exchange rates can also affect value and income. Current tax rates and reliefs and the tax treatment of pensions may change.

Investing for retirement is a complex subject and a Sipp is just one of the many different pension options available. If you are unsure whether a Sipp is suitable for your circumstances you should contact a financial adviser.

Latest research from the Worldwide Property Group reinforces recent news from the Council of Mortgage Lenders (CML) that repossessions and mortgage arrears have fallen, in large part, as a result of the continuing historically low levels of UK interest rates.

Results from the company’s confidence tracker survey shows that a huge 72% of respondents indicated that they are currently benefitting from low interest rates.  This is the highest figure since April 2010 and the second highest since the survey began in August 2009.

When asked whether they thought rates would rise, fall or stay the same over the coming 12 months, 66% said that they believed rates would rise, although the vast majority felt that this would be by no more than 0.5% over the course of the year.

When questioned on the state of the housing market, 74% were of the opinion that now is a good time to invest in UK property with 69% feeling than overseas property also represents good investment potential at the current time.  In fact, 65% said that they are currently considering an overseas property purchase with the USA the most favoured location followed by Brazil, Spain, France and the Caribbean.

As an investment, property was considered to be the best, gaining 71% of the vote. Gold was second with 17% and shares came third with 8%.  Currency and savings received just 3% and 1% respectively.

Commenting on the survey results, Managing Director of the Worldwide Property Group, Kevin Wilkes said: “In maintaining the base rate at 0.5% the Bank of England has undoubtedly spared many people the horror of repossession, whilst allowing many others to reduce their mortgage payments faster and therefore strengthen their finances.  Our survey has consistently shown that high numbers of people are benefitting from low interest rates and I hope that this remains  the case for many more months to come.”

Results from the November confidence tracker survey carried out by the Worldwide Property Group reveal that the number of respondents benefitting from low interest rates is at a seven month high of 71%, which could explain why the company has recently seen increasing interest in property investment.

Interestingly, for the second month in a row, respondents remain equally divided between whether interest rates will rise or stay the same. Of those that that did predict a rise, 93% believed the base rate would not exceed 1% within the next 12 months.

This is excellent news as it is highly possible that current low interest rates have been a major catalyst for increasing interest in buy-to-let. This is re-enforced by the fact that 84% of respondents are of the opinion that right now is a great time to invest in UK property.

Looking at overseas property, year on year comparisons have indicated that there has been a 26% increase in the number of respondents who believe now is a good time to make a foreign property purchase, and even more significantly a 21% increase in respondents who are actually considering making a foreign property purchase.

This month Spain continued to ride high as the most popular overseas location in which to buy with nearly a third of respondents saying they would consider a Spanish property purchase. The United States also ranked highly with one in five stating their interest in American property.

Commenting on the survey, Kevin Wilkes, Managing Director of the Worldwide Property Group said: “Once again this survey reveals the confidence that people have in property. Even though it has faced strong headwinds the market has demonstrated remarkable resilience and surprising stability. Improved affordability in large part due to low interest rate levels has reignited interest in buying property in the UK, whilst around the world many locations such as Spain and the USA now offer rock bottom prices, leading to resurgence in their popularity with buyers.”

“I fully anticipate that the increased interest in property will not only continue into next year but will increase substantially as the year progresses.”

New research from the Worldwide Property Group reveals a 50/50 split regarding the potential direction of UK interest rates.

Results from the company’s October confidence tracker survey show that respondents are equally split, with half expecting interest rates to rise over the coming 12 months and half expecting rates to remain unchanged during this time. Not one person indicated that they expected rates to fall further.

The expectation of a rate rise has reduced from a high of 79% in April, thereby adding further fuel to the growing belief that interest rates are set to remain at historically low levels for the foreseeable future.

65% of the people who completed the survey also said that they are continuing to benefit from low interest rates. 67% (considerably higher than the 12 month average of 57%) indicated that the current low level has actually increased their desire to buy property.

Confidence in property remains high with 83% of the opinion that today represents a good time to buy UK property. This is only slightly down on last month’s record of 86%.

On the subject of overseas property, 58% of those surveyed are currently considering an overseas purchase, with the United States, Caribbean, Spain and Brazil leading the table of most desired locations. Portugal, France and Italy also ranked highly.

Property still continues to be the preferred investment route amongst survey respondents with a huge 75% saying that in their opinion this currently offers the best investment potential.

Commenting on the figures, Kevin Wilkes, Managing Director of the Worldwide Property Group said: “It is clear to see that low interest rates are continuing to benefit many people and as such it is encouraging to see that general opinion appears to be moving in the direction of these remaining low for quite some time.

Property here in the UK and in many overseas locations currently offers some exceptional opportunities, and an increasing number of people are taking advantage of this whether for investment, lifestyle or residential purposes. I am not surprised to see that the United States is one of the most sought after areas, as rock bottom prices and the increasing strength of sterling against the US Dollar has created some unbelievable opportunities. In recent months this has enabled us to secure some fantastic property for our clients at truly irresistible prices.”