Interest holds firm in international property

The results indicate that, despite the controversy ahead of the rise in Capital Gains Tax to 28%, financial pressures do not seem to be dampening interest in the international property market.

The statistics chime with the findings of recent research that showed one-third of those interested in international property were looking to relocate abroad permanently.

Barely one-fifth (20.4%) of those questioned as part of the Primelocation International MyHomeLife panel, said that the difficult economic climate had affected their intention to buy abroad.

Both sets of data suggest that, rather than deterring potential buyers, the uncertain financial climate is acting as a spur for international househunters where the finance is available. With many in the UK now set to work longer before retirement, relocating abroad can make financial sense, as well as being an appealing lifestyle choice.

Primelocation International Development Manager Ann Wright said: "Interest in international property has barely dipped from its recent historically high levels, despite the uncertain financial outlook.

"The controversy surrounding the eventual 10% increase in Capital Gains Tax in the Emergency Budget, which was lower than expected and limited to higher earners, seems to have had little effect, with the slight decrease in searches more likely attributable to the arrival of the summer holiday season."

She added: "While transactions have not yet recovered fully to return to their pre-crash levels, with finance and buyer caution remaining an issue in many cases, this broad range of different buyers is undoubtedly an important factor in explaining the current stability of the international property market.”

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