Press Release Summary: With the talk of the global credit crunch seeming to seep into every economic topic, those looking to buy property overseas may be thinking of new markets
Press Release Body: With the talk of the global credit crunch seeming to seep into every economic topic, those looking to buy property overseas may be thinking of new markets, places where the economic boom is such that even a global financial crisis cannot hold back growth.
Yet while many investors can look at countries such as Cape Verde and India, there are many who will question the notion that the traditional markets have hit the buffers.
This is certainly so with France Property firm VEF have stated that, far from crumbling, a number of the traditional French markets are seeing a renaissance as many investors are scared off by the uncertain prospects of some new markets.
Founder and managing director Trisha Mason commented: \"With direct enquiries in the office we are finding that there is a return to traditionally favoured areas - south-west France, the Cote d\'Azure, et cetera,\" adding that she believed this was a direct consequence of buyers not wanting to \"take too many risks\" in the new markets.
Nor were these southern french property areas the only popular locations with British buyers, she stated, noting that there was \"enormous\" interest in the north, although it was \"not clear\" if this was down to people wanting to avoid air travel to reach their properties.
Overall, she added, the prospects for France were looking good, with house prices likely to grow in value this year. \"The laws of supply and demand mean that well located properties of this kind increased in value by around 20 per cent last year and are likely to show a similar increase in 2008,\" she stated.
Now, therefore, is the best time there has ever been to invest in France, Ms Mason advised, stating that exchange rates are much more favourable at present than they are likely to be later in the year.
This factor, which has seen sterling at its lowest ever levels against the euro, would appear at present to be only heading in one direction. Despite the news today that the bank of England\'s monetary policy committee voted eight to one not to cut rates last month, the chief economist of Investec Securities Philip Shaw stated that he was still expecting an interest rate cut next month. Bank of England governor Mervyn King has hinted at this as well, with comments in a speech in Bristol last night that the current base rate was \"probably bearing down on demand\".
In contrast with this, the president of the European Central Bank (ECB), Jean-Claude Trichet, told the European Parliament today: \"In all circumstances, but even more particularly in demanding times of significant market correction and turbulences, it is the responsibility of the central bank to solidly anchor inflation expectations.\" This follows previous hints that the ECB may raise rates.
If, therefore, the likelihood is that the Bank of England will cut rates and the ECB will hold or raise them, the value of the pound will indeed be set to decline further against the euro. If so, then maybe now is indeed the time to invest in property across the channel.
In today\'s world Property investment is an excellent investment option especially investment in UK
2025
