More than one place in the sun?

Research reveals 95 per cent of overseas homeowners want more properties.

19:07 08 June 2004

Research has revealed that 95 per cent of overseas homeowners intend to buy more properties abroad.

In fact, 50 per cent of those are planning to extend their portfolio within the next year.

It comes as confidence in the overseas market continues to grow. Factors such as the expansion of the EU, the strength of the pound, and soaring house prices in the UK are all helping to fuel further investment.

Almost one in five foreign homeowners now owns more than one property abroad.

The result comes from a survey carried out by the Property Investor Show North, the UK's biggest event to cater for landlords, property entrepreneurs and buy-to-let investors.

For 46 per cent of those asked, investment was the key motivator when buying property overseas, with good returns expected mostly through capital gains (32 per cent) rather than rental yields (14 per cent).

However, 36 per cent of overseas purchasers say they bought their property abroad as a second home for themselves and a further nine per cent say it was bought as their main home, with a better quality of life the main motivator for making the shift.

Spain (33 per cent), France (24 per cent) and Florida (19 per cent) remain as the most popular locations. Eastern Europe and South Africa are both beginning to see considerable interest.

Location is the most important factor when choosing a property, according to 73 per cent of those asked. Nearly two thirds want their property to be within an hour's drive from the airport.