Soaring value of overseas second homes

Government figures released today show the value of second homes abroad owned by people from the UK has more doubled over the past four years.

In 2003/2004 people in the UK owned 256,609 properties in foreign countries, collectively worth £23 billion, up from just £11.1 billion four years earlier, according to the Office of National Statistics.

The boom in foreign property ownership has been fuelled by low interest rates and soaring house prices in this country, as cheap mortgages and the ability to unlock equity from their main home has made buying a place in the sun affordable for increasing numbers of people.

Spain is the most popular place for people in the UK to buy a second home, with 69,284 properties owned there, accounting for 27 per cent of the total in number and nearly a third in value.

France was also popular with 51,322 properties owned by people from the UK collectively worth £5.6 billion, followed by Portugal and Italy where 5,132 and 2,566 homes are owned respectively

 Talking to your financial advisor will determine if you could join this growing community and release capital using a  remortgage or loan to either purchase a holiday home outright or provide the deposit to qualify for a foreign mortgage. Many overseas properties are providing excellent returns for investors and providing a bolt hole for relaxation and fun!

 

Author: Grace Sinclair

Overseas homes soaring in value, could be a great investment and provide a home away from home for investors

Published on 4/4/2006.

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