Property investors are typically interested in properties that can provide a high rental yield. The best buy to let properties are often situated in or near to Portugal’s major resorts such as Vilamoura or Vale do Lobo and because of this the amount of capital available to the property investor, or their ability to service a loan, will be an influential factor in the buying process. This is because there are large differences in the prices of property, based on their location.

Ideally a property bought with rental in mind will be close to local tourism centres, have good transport links and be situated near to the beach or golf course. Security is also a factor to bear in mind as is access when renting to elderly or disabled tourists. If selected carefully, the buy to let investor can be assured of a good rental income from their property, especially in regions such as the Algarve. Southern Portugal now works as a “non-seasonal” tourist destination, with rental income achievable throughout the year.

Families looking to buy property with a view to relocating to Portugal will need to consider a number of additional factors. A family with children of school or pre-school age will need to consider the proximity of local international schools. These schools often teach to the syllabuses of Cambridge or Oxford and use English as their primary language. An international school facilitates the easy entry of Expat students into the Portuguese education system and avoids the culture shock factor associated with attending a State school where lessons are exclusively taught in Portuguese. International school fees vary in Portugal and a reputable property agent should be able to help families with this type of detail, as well as the obvious property related issues.

A family moving to Portugal would do well to find local Expat centres where residents who have already been through the relocation process can advise on all subjects Portuguese. The best banks, shops and car dealers are all things that can be ascertained by simply talking to someone who has already been through the relocation process and who knows how to avoid associated pit falls.

An ever growing number of people now look to retire to the sun and Portugal is an obvious choice for many because of its large Expat communities and modern democracy. Elderly couples may need to consider the proximity of services that are important to them such as clinics and hospitals that work with international health insurers. Their final choice of retirement property may well reflect such needs and a good property agent should be aware of locations that are ideally suited when it comes to health care, as well as other important factors such as shopping and leisure.

Whatever the motive for buying property in Portugal, the buyer will need to contract a licensed real estate agent to represent them through all areas of the buying process. Only a government licensed real estate agent can offer the buyer peace of mind that everything from registering the property with the local Land Registry to applying for a fiscal number will be dealt with correctly. Licensed real estate agents in Portugal must show their government license number on their websites by law, so any “would be” property buyer would do well to verify this before contacting an agent with a view to purchase.

Tags : Portugal, Property, Real Estate

Turkey is continuing to gain strength as a renowned ideal overseas investment market. The varied reasons why ever increasing numbers of buyers are looking into the Turkish market can be summarised into the main points mentioned below. While every investor has their own personal preferences for investing in particular markets, the selection revised below comprises of five of the location’s main selling points.

Sought after emerging market

Emerging markets often present several optimum investment opportunities for both capital growth and rental yield potential. Prior to an established mass market attraction, prices are often at their lowest. Several other factors normally cause rapid price growth, bringing costs of land and construction up as the infrastructure and ease of access increase. The higher demand for properties usually results in lesser availability, also causing prices to rise dramatically.

Economic stability

Having undergone large amounts of reforms in recent years, the country is now in an economic position compatible with EU requirements. Positioned strategically between Europe and Asia, the country enables important business and trade links between the east and the west. Successful in attracting foreign direct investment, annual economic growth of around 8% has been achieved since the country’s major political reforms. The tourism industry is currently boosting the economy at an incredible rate, assisting with the growth of the real estate investment market.

Ideal buy-to-let market

Whether searching in a city centre, or looking along the resort towns of the coast, rental properties are in strong demand. The fast growth in recent years of the touristic market has placed demands for hotels at an all time high. Unable to construct at a fast enough rates to meet the peak season demands, the self catering market is taking off. Relocation of Europeans to meet resort town employment opportunities from the growth of the real estate sector, places demands on mid to long term rental properties. Both long and short term rental properties feature high yield returns to the early investor. Guaranteed rental returns written into the contracts of new developments feature a beneficial opportunity to buyers, who also benefit from the fast growing capital growth rates.

Pre-EU entry prices

After becoming an official candidate for entry to the EU in 2005, the spotlight has fast begun to turn towards the nation. Foreign direct investment has started to enter the market on a large scale, with developers and investors seeing the attractions of the location. Similarities between the Turkish coastal resorts and previously popular Mediterranean investment locations have drawn an influx of attention. The realisation that Turkey offers dramatically lower priced property built to high standards and with excellent capital growth potential, has assisted with the expansion of the region’s attractions. Tax incentives have been created for long term investors, creating further appeal as the expected entry to the EU in 2015 will create instant capital growth potential. Reforms in the financial sector allowing mortgages to non-resident buyers have also benefitted investors to enter the market at the lowest entry levels prior to EU entry.

Tags : Invest, Rental Properties, Turkey