How Does The Euro Pound Rate Affect Overseas Property?

The euro pound exchange rate is a huge issue for many buyers. Right now investors completing on properties they may have purchased over a year ago are now having to find 20% more euros than they envisaged.

This is impacting values, and deterring UK pound buyers from buying overseas. We may see the UK pound vs euro in parity territory for some time.

So what are the best options for UK buyers in pounds?

Well, one country still seeing property priced in UK pounds, is Egypt. This is in spite of a devaluation of the pound against the Egyptian pound. This removes currency risk and is an obvious attraction.

I have been commenting for some time that for the foreseable future, that some of the best buys right now are in Egypt. In Hurghada there is a unique set of circumstances combining. Low cost land with low build cost.

Such value is attracting buyers whose budgets in  their own country do not buy anything. But just £12,000 (€14,000) is drawing investors from Eastern Europe who cannot afford to buy in their own country but believe, like I do, that these prices will look very low in five years time.

So do click here for details of La Place. Click here for Cairo’s Royal Residence from Jet2Let Property Ltd.

What do you think? Your comments are welcome. Please register for up to date comment on overseas property, more due diligence advice and be sure to be in the know to benefit from this market.

What Is Cheap Overseas Property?

Yesterday I attended the OPP live exhibition speaking to property professionals and exhibitors at the trade overseas property exhibition in London. I thought a clear pattern would emerge.

Words like, “challenging market”, “nervousness” were banded sprinkled in the conversations. the inevitable with world “financial events” that sales were down. Well these did indeed crop up regularly, but what was really interesting were the very different thoughts emerging from both brokers, developers, lawyers etc.

Investors or Lifestyle Buyers?

Some developers were saying that that all their buyers were investors who focused on rental guarantees. Then there were others who said buyers have returned to how overseas property started. Namely, people desiring a place abroad for mainly own use and possible eventual full, or part, retirement.

There did not seem to be a particular pattern on whether this view was for expensive or cheaper properties.

Cheap or Expensive?

I was then quizzing others as to where the trend in on the maximum property price buyers are prepared to pay. The answers here were unanimous and that is its about low price and cheap. However, I would like to examine what is cheap.

What is Value For Money Property?

Well are we looking for cheap as chips? When we talk about cheap property, I think we usually mean a property at the lowest price possible that satisfies needs. I know we could buy a shack for a few cents - but it wouldn’t satisfy for most of us as a permanent residence.

What I am hearing, is the desire to get the very best value. This means widening the search to other locations and countries that may not have previously been considered.

Where Can I Find Value For Money?

This is subjective but what is clear is that we should as either investors, lifestyle or a mixture of both buyers is recognise there could be some very interesting options worth checking out. If you know where you want to be and there are powerful emotional ties, such as famil and friends nearby then you need only to research a small area.

But if you are after maybe a place to use for holidays and you have a budget of say $100,000, and you want to be overlooking the ocean and have existing infrastructure nearby then your choices could be anywhere from Brazil, Panama, Morocco, Tunisia, Egypt, Cyprus, Malta, Middle East, Thailand, Vietnam, South Africa and so on.

What Never Changes

Most in the overseas property industry know that the focus on the due diligence process is not only smart, but moreover, improves the whole buying experience for all.

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Is Oasis Marina Beach Resort In Hurghada Like A Porsche?

Oasis Marina Resort reminds me of the day I got behind the wheel of a friends’ Porsche 911. A few minutes previously, on the look out for a replacement car I had been test driving a very worthy VW Golf.The difference of the Porsche 911 from the Golf was huge. A different league. Everything feels just so right in the  911. I felt more alive. I could feel the difference. And why my friend feels its worth the extra money fro the best.

Your Porsche costs three times the price. Not worth it? Yes but it is for some folks. And the same holds true for prime property, prestige locations and desirability.

So lets back down to earth and think property investment and not luxury toys.

But when I saw the Oasis Marina building site it was just like that special Porsche feeling.

But there is a difference

This is o Porsche location at VW prices. Clear uninterrupted views of the crystal clear Red Sea. The large protected beach in front your to wander over.

But, for me, this is not enough. Because its no use investing in property right now, unless its at a great low price and its really safe.

Developers can forget about attempting to come to market without full project funding and full plans. No Bank lending? Crunchie Credit times have stopped quite a lot of that.

And the irony is that Egypt has cash rich developers because so little debt was taken out.

We are seeing property here being sold at £12,800 ($19,000 14,000 Euros) because in the almost unique position for very little being paid for the land and exceptionally low labour costs. A good daily wage here is £5 for a site labourer. Now that raw material prices have come back down, then value property is still available. It just will not get cheaper because there’s no need. Developments in Hurghada, like Oasis Marina are selling. People who visit the Oasis site can see the scarcity of this premium location, the infrastructure and the safety of in built resilience to down turns elsewhere.

As property investors are waiting to see where property prices settle, in markets driven by speculation, and debt. So investor demand looks for sound alternatives. Egypt has a place in the property investor’s portfolio.

For those who just want some warmth and sunshine at VW prices, then I think this is one not to miss.

For more details on this Oasis Marina Beach Offer, contact Jet2Let Property Ltd:

http://www.jet2letproperty.com/eg/483-Oasis-Marina-Off-Plan-property-Hurghada-Red-Sea-Coastline.html

Tel: 044(0)113 3131000 or email: info@jet2letproperty.com

Egypt Wins Best Outsourcing Destination

Egypt’s outsourcing sector is getting a boost of international recognition. The country was recently awarded the prize for best outsourcing destination by the British National Outsourcing Association (NOA).

This comes as much needed encouragement, with the government trying to attract more investment to the sector at a time of international economic gloom.

Hazem Abdel-Azim, CEO of the Information Technology Industry Development Agency (ITIDA), who
received the prize in the name of the Egyptian government, stated that it was “a source of pride for the Egyptian communications and information technology sector”, local media reported.

Similarly, other rankings and reports have singled out Egypt among emerging IT services countries. A recent study by the Yankee Group, a US-based consultancy firm, compared several Middle Eastern countries’ base for outsourcing services, concluding that Egypt “has the strongest position in the outsourcing market.”

The report praised Egypt’s IT services against those of countries such as the United Arab Emirates, Oman, Bahrain, Jordan and the Kingdom of Saudi Arabia, and put Egypt on equal footing with India and China, stating that Egypt had a huge advantage in terms of the versatility of its language skills.

“The country’s multilingual capabilities make Egypt attractive to Europe-based countries“, the report said.

“By contrast, China does not have the same level of comfort with Western culture and traditions as Egypt. India’s bailiwick is its strong English-speaking workforce, which works well for US-based and UK-based companies… but the lack of other languages is a disadvantage in India when it comes to EU-based
countries.”

IT Services Exports

These assessments reflect the government’s efforts in recent years to attract investment and develop human resources to work in the outsourcing and offshoring sector. Egypt’s IT exports sector has attracted local and foreign investments worth more than $8bn over the past three years according to ITIDA.

In a recent interview with OBG, Egyptian Minister of Communications and IT Tarek Kamel stated that the country’s IT services exports were currently worth $700m, and that he expected this figure to reach $1.1bn
by 2010.

“Egypt is appearing more and more in the international arena of IT services,” he told OBG. “We help train the talent pool and provide low cost infrastructure and access to well equipped space. We will continue to do this.”

In a bid to expand the attractiveness of its IT sector and create more room for foreign companies, the country is planning to open bids to build a new outsourcing business park in the Southern Cairo suburb of Maadi.

The project will involve the construction of 30 to 40 technological facilities that will cater to Egyptian, Arab and international firms focusing on IT services, local media reported. Furthermore, the Yankee Group report also noted a deal that UK-based company SpinVox has signed to establish a business center in Alexandria.

Changing Business Risk Perception

Egypt will nonetheless face some challenges if it is to increase revenue from this sector. The Yankee Group report reckons that Egypt needs to upgrade some infrastructure as well as reverse a negative opinion about its level of business risk. “Egypt faces some hurdles, including outdated communications and transportation infrastructure, and the perception-especially in the United States-that it is a risky place to
do work”, the report stated.

The future of the sector also depends on how fast the government and the private sector can train its workers to join the country’s growing IT force. “It’s a question of the speed at which the country can educate the pool of talent,” Adel Danish, chairman of Xceed, Egypt’s biggest call centre, told OBG.
“Human resources are the main challenge in Egypt. But the good thing is the government is aware of it and taking the right actions.”

Egypt Credit Crunch Beneficiary

The country is also hoping that the global slowdown triggered by the credit crunch, which is affecting US and European economies, will not deter the growth of its outsourcing sector. As European and US-based
companies represent the majority of Egypt’s customers, a slowing in consumption might curtail the demand for support services from Egypt.

“It will be interesting to see what happens”, Danish told OBG. “Some people believe the recession will make companies cut costs, and so outsource even more services to lower-cost countries like Egypt.”

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Bulgaria Forecast GDP To Grow 4.5%

Bulgaria is expected to experience leaner economic times over the coming year, but reports of an impending crisis appear to be somewhat unfounded, reports by the Oxford Business Group.

The report read, “The On November 3, the European Commission (EC) issued a warning that Bulgaria is set to face slowing growth, consumption and investment over the coming year, while the current account deficit and inflation will remain high.

The commission expects Gross Domestic Product (GDP) growth to be trimmed from 6.5% this year to 4.5% next, as a slowing European economy acts as a drag on Bulgaria. Meanwhile, it forecasts inflation of 12.4% by year end, the second highest in the EU, while the current account deficit is expected to hit 23.9% of GDP - the bloc’s largest.

Europe has been hit by a serious economic slowdown, exacerbated by the global credit crunch. The wide EU economy is expected to grow at only 1.2% this year, according to the EC, while the international press has reported that the eurozone (which does not include Bulgaria) will grow at a meagre 0.1%. As European countries - particularly in the eurozone - are Bulgaria’s key trading and investment partners, it seems inevitable that the Balkan country’s burgeoning growth will be curtailed.

The EC expects inflation to fall over the coming years, to 7.9% in 2009 and 6.8% the following year, easing one of the key pressures on the economy, though not as much as policy makers would like.

The EC also predicts that the current account deficit will remain stubbornly above 20% of GDP in 2009 and 2010. This might seem surprising, given that a slowdown in growth would seem likely to scale back imported consumption, and that lower levels of investment should lead to lower imports of capital goods.

On the other hand, Bulgaria’s export markets are in trouble, and the prices of the products it sells overseas, such as steel and agricultural produce, are falling. International bodies such as the International Monetary Fund (IMF) have long warned that the external imbalance is unsustainable, and serious concerns are now spreading. The deficit has been financed by inflows of capital from abroad - inflows that seem likely to fall considerably due to the credit crunch and lower growth in the eurozone and Bulgaria.

Bulgaria has limited scope to tackle the current account and inflation issues through monetary policy, as it is in a currency board arrangement that fixes its exchange rate against the euro. This obliges the Bulgarian central bank to track the European Central Bank’s (ECB) interest rate movements, and rules out devaluation of the Bulgarian lev to cheapen the country’s exports. At present, the ECB is loosening monetary policy at a time when higher interest rates in Bulgaria could help lower consumer demand, and therefore inflation and import levels.

The government and central bank have repeatedly ruled out the possibility of abandoning the currency board, which has helped underpin Bulgaria’s economic stability for the past decade. Indeed, adjusting the fixed regime at a time when currencies are fluctuating wildly could prove to be a disastrous move.

Furthermore, with growth expected to fall, and inflationary pressures easing, it may be that the ECB’s rate cuts will help buoy the Bulgarian economy. There is an increasing perception that a sharp drop in growth is rapidly overtaking inflation as the country’s primary economic concern. Some reports in the international press have cited the possibility of growth levels falling to well below the EC’s forecasts - 3% or even lower.

Indeed, on October 28, Kristalina Georgieva, vice president and director of strategy and operations at the World Bank, urged the Bulgarian authorities to prepare an emergency stimulus package to be activated if the economic shocks turn out to be greater than expected.

“For instance, what are we going to do to stimulate domestic demand if unemployment increases?,” she asked a conference in Sofia.

Three days later, the IMF and the Bulgarian government scotched reports that they were in the midst of negotiations for a Fund bail out scheme. Such “rescue packages” have already been extended to Hungary and Ukraine, and fears are growing that more countries in Eastern Europe may follow them.

As the government has pointed out, however, Bulgaria is in a relatively strong position in that it has a large fiscal surplus. Thanks to an IMF-designed plan aimed at securing stability and reassuring investors, the country has been running a remarkably tight budgetary policy for several years. Fiscal reserves are expected to reach $8.3bn by the end of the year, theoretically providing ample scope for government stimulus measures. Hungary, on the other hand, has been scrambling to tackle a widening budget deficit.

As Georgieva has warned, any fiscal boost would have to be well designed, particularly given continuing worries about corruption and misallocation of official funds. And the government would be wise to ensure that new spending rounds do not exacerbate external imbalances or the long-term budgetary position. Furthermore, a reinvigorated drive for structural reform to tackle the economic weaknesses exposed by the current situation should prove beneficial in bolstering stability and future growth.”

Over the coming weeks we will see important detail on how individual countries across the world will fare. A countries e conomic prospects are one of the key indicators for savvy property investors to study.

If you would like to be kept up to date with these important economic announcements as well as news and views of property opportunities then subscribe to www.OverseasPropertyTalk.com now.

Why Is Vila Jardins dos Oceano The Best Buy In Cape Verde?

Quite simply the best in Santiago island has just got better with a special 15% discount on Vila Jardins dos Oceano until 30th October and just 15% down.

SPECIAL OFFER

15% Discount Until 30th October

€3,000 reservation (refunadable off final payment)

15% Down

85% On Completion

So Nothing To Pay Until Final Completion - June 2009

Contact Us Now To Meet The Developer.

Discover why we think Vila Jardins dos Oceano is the best investment in Cape Verde.

CNBC award winner for best development on Cape Verde. Front line development with two bedroom villas at just €299,999 and three bedroom villas at €369,999. 50% sold and will be the first on Santiago to be totally complete in July 2009.

With finance at 6.9% and close to future world heritage site, Cidade Velha, Vila Jardins dos Oceano is a property investment that makes sense for those for whom a smaller and exclusive, low density villa development is there.

Eleven of the Villas are detached, in their own plot (approx 400m2 - 500 m2), have their own private fresh water pool and are built right on the coast - all villas have stunning sea views.

The Villas are of the very best quality and in fact the 3 bed Villas are actually larger than some of the competiting front line 4 /5 beds Villas on Sal yet amazingly half the price!

The resort also boasts Cape Verde’s first Infinity pool (communal), 2 tennis courts, bar / restaurant and a small supermarket.

So with construction well under way obviously all the licenses are in place. CONTACT JET2LET PROPERTY for all the due diligence. Special Permission has been obtained to build right on the coast.

One front line villa available which is literally 10 metres from the sea!

There is a small town with real character just 5 minutes away. In addition the new golf course is on target to complete in 2010.

Why Santiago?

Santiago has spectacular scenery, existing infrastructure, excellent rental, excellent communications with the most flights and it has the culture.

Santiago island has the real tropical island feel and, for many, this makes it the most interesting island in the Cape Verde archipelago.

The infrastructure is far more advanced than Sal or Boavista, from water supply, to ports for shipping to labour supply (over 250,000 inhabitants) will mean that tourism will have the support it needs.

Real rental potential as front line villas with sea views are most in demand.

As a place to provide more than just a beach, with all year round climate, Santiago island is well worth investigating. Even better go out and see for yourself. Call +44(0)113 3131000 for relaxed no stress inspection tours.

You Don’t have to be Rich to own Overseas Property

Its no surprise that many buyers are looking at spending less on their overseas property. The average spend in 2007 was £100,000 approx. However, that is still far too much for many people as I can assure you that you can spend a lot less and get an all year round climate thrown in - read on.

Property or a car?

A recent enquiry of overseas property was wondering whether they could afford an overseas property. However it quickly became apparent that there was a way. We got chatting about cars and how people are buying smaller ones these days. Their current car a seven year old Toyota, that they were looking to replace, still did the job required of it and it was clear that there was a choice to be made.

As they were thinking of buying a nice new VW Golf costing around £20,000 / €25,000 / €35,000 they realised that by foregoing this luxury a miss for a few years, they could free up spare savings to spend on an overseas property - with no mortgage. They were happy to take a ten year view and in the meantime they reasoned that the property will give them far more enjoyment than a new car.

There are still quite a few countries you can buy new property for £20,000. You, like many, probably don’t know where to start and are uncertain of the risks involved.

Which country?

I market several developments in Hurghada area in Egypt. An area that really surprises my clients when they visit. The challenge is on to find anywhere else at these prices with this level of infrastructure and tourism within 4.5 hours flight of anywhere in Europe. Hot year round sunshine must be guaranteed and it must have existing tourist and business infrastructure.  Parts of Morocco may be in contention - but infrastructure on the coast is in its infancy and accessibility is patchy.

25% Shared Freehold Ownership - £12,500

An alternative to buying an outright property is to buy in a new scheme, which has won international property award called Meltimi Residences.

There are a limited number of off plan apartments available on Meltimi Residences, this award winning development in Gulluk, on the Bodrum Peninsula, Turkey with 25% shared freehold ownership and 5 year TAX FREE exit strategy. Just 15 minutes from Bodrum airport.

Here is the scheme - suitable for people looking for both an investment and a place in the sun at a fraction of the cost:

All apartments have sea views and construction well under way, with the project fully financed for completion.

Ownership: There are 4 shares per property and each has a 25% share of the freehold with the shareholders name on the Tapu (property deed). Owners can of course purchase more than one share and benefit from a higher potential return and personal use.

Personal Use: Each owner has a minimum of 12 weeks personal use per annum on a rotating calendar. The calendar ensures that each owner has a minimum of 2 weeks occupancy between July and August with the rest of their weeks spread throughout the year in 2 and 3 week blocks. Owners can of course rent out their properties direct or through the rental pool.

Exit Strategy: Unique to our offer is a 5 year exit strategy which provides owners with the benefit of an excellent ‘lifestyle’ or rental opportunity, 5 years capital appreciation and 0% capital gains tax under the current Turkish tax system. In the event that all shareholders are in agreement then this term can be extended or individual shares can be sold.

Prices: Prices start from £12,500 for a share in a 1 bedroom apartment and go up to £19,500 for a 3 bed apartment. Payments are made in stages through a secure escrow payments system ensuring security and peace of mind.

Most property in Turkey is bought for cash, and therefore the consequences of over exuberant lending and credit crunch fall out, apply to Turkey probably less than most countries.

So, be it Egypt or Turkey, being rich to buy overseas property is not a requirement.  The current climate may prove in hindsight the perfect time for those wanting to get in at low prices. Please register for more details and more articles like these and, wherever you are thinking to buy property, be sure to register for my free download “What Everybody Ought to Know About Property Due Diligence”

Crunch time for UK property market as 42% look to buy abroad in next two years

As the credit crunch takes its hold on British shores and the housing market senses an ever-increasing slowdown, more and more people are looking overseas for their property purchase. A new survey by Cater Allen Private Bank, part of the Santander Group who also recently purchased Bradford & Bingley’s branch network, has found that 2.3 million British people are already owners of a property overseas, with over 3 million people likely to buy abroad in the next two years.

With the UK credit crisis tightening its grip, high UK property prices and a worsening lending situation mean that Brits are finding it more and more difficult to purchase real estate in their own country, and are therefore looking elsewhere for both second homes and investment properties. It is this second category, however, that Cater Allen believes will be the most affected by the increasing crisis.

According to the survey, currently around 500,000 (less than 25%) of those buying overseas purchase for investment reasons but they are predicting that within the next two years, this figure will almost double to 42%. According to Steve Dawkins, Managing Director of Real Estate TV, the UK’s dedicated property channel, this is because property is becoming increasingly out of reach to many UK buyers:

“British buyers are becoming increasingly disillusioned with the market here in the UK and this has the knock-on effect of turning their thoughts to buying abroad instead. Overseas bargains become more appealing at times like this and people are beginning to realise that there is investment potential out there, it just may not currently be on their doorstep.”

Of those surveyed who said they were likely to buy abroad in the next two years, those over 45 years are the most likely - with 17% of this age group responding positively. The 18 to 34 age group is also likely to buy property abroad, with 10% of this age group surveyed looking to purchase overseas, spurred on by the problems hindering first time buyers here in the UK. Interestingly, 60% of this 10% will look to buy property purely as an investment showing that it is this age range that most recognises the good profit potential of foreign markets.

The effect of the current UK property market on the amount of people buying property abroad is further highlighted when Cater Allen looked regionally. Here, it was found that those living in London are the most likely to buy real estate overseas - with 10% currently owning such property - an interesting reflection on the effect of residing in the most expensive city in the UK and the third most expensive in the world (according to the Mercer Worldwide Cost of Living Survey 2008).

Given these findings and ever at the forefront of property programming, Real Estate TV are showing Uncharted Territory a series that allows viewers to discover new investment frontiers by taking them to places as far-flung as Romania’s Black Sea Coast, Fez in Morocco, Kerala in India, Placencia in Belize, and Buzios in Brazil. A behind the scenes look at property markets in less well known destinations, Uncharted Territory - presented by Juliet Morris - will help those interested in buying abroad in coming years to uncover a hidden gem of a destination, whether it be for use as a holiday home or for investment purposes.

For those interested specifically in buying overseas for investment - like the 42% uncovered by Cater Allen - Real Estate TV’s Next Big Thing series is essential viewing. Presenter Jo Sinnott visits up-and-coming destinations such as Abu Dhabi, Egypt, Ras al Khaimah and Ajman, Calabria and Cape Verde to look in depth at the reasons why these markets are set for property boom.

Watch Uncharted Territory on Real Estate TV Mondays at 9.30pm and Next Big Thing nightly at 8pm on Sky channels 262 and 263 and on demand at www.realestatetv.tv.

Vila Jardins do Oceano, Santiago

Before I review Vila Jardins dos Oceano, Santiago in Cape Verde island, lets look at what recent events mean for buying property in the Cape Verde islands.

Tourist diversification

Whilst sometimes I’m surprised the media don’t announce that the sun, against all odds, did in fact rise today, you could be forgiven in believing that no one is going on holiday or retire - or ever will again.

The reality is that some destinations will lose flights due to airline collapses. Recession worries are real, particularly for those in UK and Ireland. All these concerns highlight the need to buy where there is a well served international airport with many flights from many different destinations and that your visitors hail from many different countries.

One such place is Santiagio island in the Cape Verde archipelago off the west coast of Africa. As an ex Portugese colony it brings huge advantages compared to other destinations. There is a robust legal framework and there is a Portugese banking system actively approving mortgages for property investors.

Caribbean alternative

The advantages of Cape Verde islands are that you get much of what you like about the Caribbean, blue seas, all year round weather but also at a much lower cost of living than most of Europe and the USA.

Some property investors are looking ahead to Santiago island as an ideal place to live permanently or part of the year as a retirement destination. Santiago has an existing population and a mountainous and diversified landscape full of interest.

For European visitors you get around 5 hour flight time, no let lag and no hurricane season. Already most popular amongst German and Scandinavian visitors many flights are booked up well ahead. Santiago International airport is the main airport of the islands and has more flights from more cities than anywhere else.

Why Vila Jardins dos Oceano?

Its not often that I find a development that is low risk and such incredible value. All villas have sea views from their individual pool areas. Even the ones furthest away from the sea, 110 metres are closer than most other villas are from the sea.

Its low risk because:

1. the due diligence is all done
2. the first villas are less than six months from completion
3. final villas complete in July 2009.
4. CNBC AWARD: Best African Development

That’s right, completion July 2009. Many developments in the Cape Verde islands have ben very badly delayed. This is because they had not received the Cape Verde Investment authority approval, relevant planning permissions and/or proper land title.

Vila Jardin dos Oceano will be ready July 2009 and there will be no further building on the site.

Situated next to a soon to be assigned UNESCO world heritage site, I expect buyers of these villas will be amongst the most satisfied I have seen.

Prices

€239,000 for a 142.3 m2 net (including 64m2 of terraces) in a 431.3m2 plot to a

€399,000 188m2 villa (including 130.8m2 of terraces).

This compares to over €700,000 for comparable sized villas selling on Sal island and

Quality of construction and level of insulation is superior to anything else I have seen. The UK developers have impressive attention to detail so I recommend investors meet or speak to them personally before committing to fully understand why Vila Jardin do Oceano represents such good value.

So for a very low risk with high capital appreciation prospects, Vila Jardins do Oceano sets the Cape Verde standard. Call for full due diligence pack.

If you are worried about keeping cash in the bank these days, then its bricks and mortar like this that offers a sensible alternative - an alternative to be enjoyed for many years ahead.

If you want to find out more on Vila Jardins dos Oceano, Santiago then please register for due diligence guidance download. then email me: Lance at overseaspropertytalk dot com or call on 0044(0)113 3131000.

Property viewing process

For my real estate business, viewing trips, sometimes known as discovery tours or inspection trips, are a key part of the due diligence and decision making process for my customers. This is the time that we should really invest wisely our time and money in the buying process.

Many people go on them, but many participants do not maximise the opportunity they offer to improve investment success.

Viewing Trip Preparation

Most people like to have some information on the properties they wish to view before traveling. It is important to have undertaken some pre selection work as it is not possibe or indeed sensible to view everything for sale.

Too much choice does not help our purchasing decisions and this is where property pre selection process is so important. With my clients we discuss how much of the due diligence work is available for each property and we review locations and prices. We then discuss which properties fulfill their criteria.

At this stage I send the PVP sheet (Property Viewing Process) sheet for an inital review of their chosen properties. This can help establish which developments and locations will not be of any interest and frankly a viewing will be a frustrating and unrewarding experience. Once we have between two and six developments to view on this sytem some morre details can be added and an adneda put together.

Second Viewing

Not everyone is the same for viewings but consider how much staminer you may have in the heat of the day and be sure to stop for lunch. Ideally allowing a week to view which would include the first day to relax and just get the geography sorted and enjoy the visit then the next two or three days with two viewings per day.

By the second day of viewing you may already be there and decided. However, before committing then remember to go back and view your top two favourites with an eye on the specific units.

We ask all our clients to provide their feedback on viewings and their thoughts on property.

Why do I do this? Very simply we have all found that it makes for better property investment decisions from clients and, at the same time, it helps us improve our service for you as we optimise the balance between location and value for money and risk.

The Property Viewing Process (PVP). This simple 10 point tool I developed for my own investing when I discovered too late that I had made a mistake by not being able to recollect the properties I had viewed.

I also found it can be hard to always remember exactly why you preferred another - and for what reason. It also helps our investors to be sure they have made the right decision taking into account price.

1/   general pros (+ve points) and cons (-ve points) of each property

2/   rate your own view on property location (marks out of 10 - for example 7/10)

3/   rate on perceived design (marks out of 10 - for example 7/10)

4/   rate on expected build quality (marks out of 10 - for example 7/10)

5/   rate on rental prospects (marks out of 10 - for example 7/10)

6/   rate on capital appreciation prospects (marks out of 10 - for example 7/10)

7/   rate on perceived value for money (marks out of 10 - for example 7/10)

8/   rate for personal own use, i.e How much would you like to stay in the property and development yourself?  (marks out of 10 - for example 7/10)

9/   rate property overall on how close the property matches your personal buying criteria (marks out of 10 - for example 7/10)

10/ rate for exit strategy - how easy will it be to sell  (marks out of 10 - for example 7/10)

add your own notes to explain rating in more detail and add comment on each viewing itself.

If you have your own viewing system or have any comments then these are very welcome.

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