Wednesday, 28 July 2010

Interesting Times: New Seminar Series on Property Investment Launched By Property Frontiers

‘May you live in interesting times’ is reputedly an ancient Chinese curse, although the phrase was probably coined by the Americans or the British! In terms of property investment, no times could be more ‘interesting’ than the present period of financial meltdown followed by economic austerity.

This is why Property Frontiers, the international property investment consultancy, has launched an innovative new series of seminars to help investors navigate their way through present market conditions and turn crisis into opportunity.

Our first complimentary seminar took place on Thursday 22nd July 2010, 630 - 930pm at the Hilton London Metropole, 225 Edgware Road, London W12 1JU. The themes were as follows:

  • ‘Property Investment in the Age of Austerity’, presented by David Cox, Director of Property Frontiers and Aidan Rankin, PhD, PF’s Economic Analyst.

  • ‘The Other Side of the Coin: The Upside of the Downturn’, presented by Edward Stevenson and Robert Du Toit. Edward is a member of the UK Society of Investment Professionals and Robert is the founder of QI Properties, an investment company enabling access to discounted residential properties across the UK.



Property Frontiers aims to look beyond both the doom mongering headlines and the feverish predictions of ‘recovery’. The changes in the property market are profound and part of a wider economic trend that is likely to be long-term or even permanent. Instead of pessimism, however, we must embrace these changes creatively and learn to think about property in new ways. Today’s story is the increasing numbers of below market value properties this will create for investors who wish to climb onto the property ladder or diversify their portfolios.

More information: Contact Property Frontiers about property in Brazil, by emailing info@propertyfrontiers.com or calling +44 (0) 1865 202700.

Property Frontiers is the only company dedicated to supporting investors in the world’s most investable property markets and concepts. Our mission is to research new investment opportunities, to educate and inform about all aspects of the international property markets and to support our clients at all stages of the investment process.


Below Market Properties to be Plentiful during Austerity


Now the term has become synonymous with investment opportunities, and whatever our thoughts on the impending doom of government cut-backs, it is almost certain to increase the number of "investment opportunities" and the value that those opportunities need be below will also almost certainly fall.

For those that don't know, this is because the recently elected Conservative/Liberal Democrat coalition government has been left a roaring budget deficit to bring down. This means austerity and cutbacks and the government has made no secret of its plans to make a large portion of those cutbacks in public sector employment. Reports have suggested that this will be to the tune of millions of jobs.

These job losses will lead to a massive increase in supply, both because of people selling up to move and find work elsewhere, and because of the people forced to sell because they can no longer make their mortgage repayments. Heaven forbid the next round of defaults and subsequent repossessions that present opportunities for investors while further constricting the mortgage market much to the detriment of the wider housing market and the economy as a whole, but that's another story.

It is also likely that demand for property to let, as those selling up will still need somewhere to live.

Supply has already seen a marked increase due to the actions of the new government. In what could easily be looked upon as a government-warming present for prospective home sellers; the government acted quickly in making good on their mutual pledge to abolish the Home Information Pack.

According to leading property portal Rightmove supply increased immediately following the announcement. New listings went up by 35 per cent in the following seven days the portal said.

Looking forward one must assume that those selling below market properties in the UK will have plenty of new stock in the coming months. At the same time yields may increase due to falling prices and increasing rental demand. It can therefore be hoped that demand for such property investments will also increase, to the benefit of the wider market.

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