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I own some units. China is looking like its about to correct if youre looking for a bargain. The UK market is usually very good especially in London which is doing well but its also headed for a downturn if interest rates go up which they eventually will. Other than that, London is usually in very high demand and youll never have quiet periods on the rental. There are a lot of risks in the UK market particularly on the sterling currency.
Property is a good way to make money if you buy in the right location and there are opportunities globally but just make sure youre buying into the market at the right time.
My rule of thumb is to look at how other people are buying into the same market place. If mortgages are prevalent, interest rates ultra low and the property wont yield more than say 3% (ie gross rental yield in one year as a percentage of the purchase price) then I be careful. A seller can set any price they like so the yield is one thing you should use to help determine the value. I generally look for at least 5%.
Right now, whilst I dont particularly want to buy in Ireland, I do think its attractive on a valuation basis in both Dublin and Belfast. Some 1 million euro properties (pre-2008 crisis) there are selling for as little as 250k euros.
Id be interested to hear from others on locations which offer excellent value and good long term growth opportunity.....
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