Why Invest in Property
These days investing in property whether international off plan property or traditional buy to let in the UK is a cornerstone of many clients investment and retirement plans.
In the 19 years that the OPAC directors have been involved in the UK investment market and the international property market we have seen the demand for property investment soar massively and filter across all aspects of society.
Thirty years ago investing around the world in an investment property or buying that dream holiday home in Spain or France was a luxury only the very wealthiest in society could afford, these days OPAC has clients who are already building extremely profitable property portfolios from totally normal beginnings by utilising the financial products and low deposit off plan investment opportunities OPAC offers it’s clients.
Property has always been seen as a wise investment as it has tended to be a much smoother ride than for example the stock market where so many people have seen their savings and pensions massively reduced thanks to the .com boom and bust and this combined with various investment scandals relating to the pensions and insurance industry and the continuous eradication of Final Salary Pension Schemes has made more and more people turn away from the stock market and choose bricks and mortar as the home for their investment ambitions.
Many factors have helped turn overseas property into the massive market there is today such as the huge growth in the low cost airline industry that has fuelled the desire and the ability for people to travel abroad far more frequently and further than they ever thought affordable, the ability to easily and cheaply release equity as the value of many peoples homes has rocketed in the UK and Europe over the last ten years, historically low interest rates and the wide availability of fixed rate mortgages allow people to borrow more and budget easier than before.
Low deposit off plan opportunities that allow people to buy a property with only a small deposit such as 30 or 40% and then arrange a mortgage in the country they have bought in.
The Internet has also helped as people can now view properties online and study e-brochures and videos in the comfort of their own homes before making an investment decision.
Property many clients understandably feel is also a far more enjoyable investment than a pension or a unit trust, if you decide to complete on your off plan investment you can rent it out and achieve an income but you can also spend quality time in the property yourself with family and friends something very hard to do with your annual pension statement.
Historically property in the UK has achieved a nominal rate of return of 11.59% per annum over the 20 years to 2005 according to leading worldwide actuarial firm Watson Wyatt.
An impressive statistic but one that is even more impressive when you use the ability to gear up your investments by releasing existing equity and then only invest a fraction of the purchase price as a deposit, in many markets like Spain a few years ago and now in emerging markets like Morocco, Brazil and Egypt annual returns of in excess of 25% per annum have been achieved by OPAC clients.
OPAC’s expert view is that property investment will continue to prove an excellent investment both over the short and the long term depending on the market you invest in, with properties to suit all budgets and investment strategies and exclusive pre release developments that have all been through our strict Due Diligence process then with OPAC you can feel reassured your property investments are on the right track.