Overseas Property Focus
 |
|
 |
||
 |
||||
| Added 20/01/08 | ||||
| French lenders in healthier position than those in UK says MGM | ||||
The firm reports that the rental market remains strong with the number of winter bookings looking promising ahead of the ski season. This, says the company, is good news for the buyers of investment properties who, when using one of the leaseback schemes available from MGM, can purchase them at almost a third off the list price. Funding of a property purchase in the French Alps can be easier than it is for a property in the Britain, claims Turchet. She said: “Unlike the UK and the USA, France always has had very strict mortgage lending requirements. Today, French lenders generally are in a healthier position than those in the UK, especially since Nicolas Sarkozy confirmed the government’s bank support plan. Interest rates in France are set to drop in the course of 2009, so that will be a good time to borrow. “France remains one of the most popular countries with British second-home buyers and holidaymakers, and this is unlikely to change in the foreseeable future. However, if a Labour government implements the predicted hikes in income tax and National Insurance for middle and high earners, it could have a negative effect on some would-be purchasers and might prompt even more Britons to make a permanent move to France. “The first falls in the French Alps in October prompted potential buyers to get in the mood for skiing and think about having a place of their own on the slopes. The result is that we have seen a steady rise in the number of enquiries for ski properties since November.” Experience indicates that demand from clients with higher disposable incomes will remain stable, according to MGM which currently is selling properties at prices ranging from €130,000 in Bourg Saint Maurice to more than €3 million in Courchevel 1850. Typically the buyer of a property priced at £693,741 (€795,000) would save £208,122 (€238,500) under a leaseback option whereby the price paid is reduced by 30 percent, representing a waiver of VAT at 19.6 percent and a further reduction in lieu of rental income during the 11-year term of the lease agreement. • The recent changes in global exchange rates have made Malaysia an even more favourable location to invest in for British Fly to Let buyers claims an overseas market analyst. Liam Bailey from property portal Property Abroad stated that some properties in the country can now be bought for up to £30,000 less than they could when they were launched. Bailey said: “It is not just exchange rate fluctuations that make Malaysia an attractive market, we are currently listing the Axis development, with 2 bedroom apartments in Panda, Kuala Lumpur for just £57,650. Six months ago the prices would have been twice that and the growth potential will be equal to what it was then when the markets begin to recover, if not better. “One thing I will say to prospective overseas property investors, and not just in Malaysia, is find out the price of the property in its local currency, and make sure it matches the price you have seen it at in pounds. I have come across several properties lately that need their price in sterling changed to match the new exchange rate.” Other existing benefits of buying property in Malaysia says Bailey is that there is no capital gains tax and no inheritance tax, as well as the extra benefit that all contracts are in English and the buying process is almost identical to that of Britain. This is because Malaysia is an ex British colony. |
||||
|
||||
External resources
EU Rights
Maps
Tax on Fly to let Investments
Translation
World Weather
Email Marketing
Email Design
Buy to let investments
UK Investment Property
UK Property Auctions
Buy to let mortgages
Landlords forum
UK Property News
Landlords Insurance
Investment Property UK
© Fly2Let.net Ltd 2010 l Terms
of use l Contact l Free Subscription l Webmaster |