The Best And Worst Global Property Investment Opportunities

The Organisation of Economic Co-Operation & Development published a study in 2014 that looked to highlight the cheapest and most expensive property markets across the world.

The report in which this study features was based on economic prospects, although the study itself proves to be a fascinating insight into where buyers or potential investors may be able to find a bargain. The study outlines the fact that many people are overpaying while others are getting excellent value for money.

Overvalued properties were prominent in many of the countries that make up the Commonwealth, with Australia, Canada, and New Zealand all showing property prices that were surging ahead of the rest of the world.

House - By David Wright

Some of the stand out property markets in the study included Germany and Portugal, where properties seem to be widely undervalued and France and Norway which have property prices that are way above many of the other OECD countries.

The cheapest market within the OECD is still Japan, which has come about as a result of a stuttering 25-year decline.

Here are some of the cheapest and most expensive property markets in the world today. We’ve included a few tips that’ll help you to decide whether or not the country in question really is a worthwhile investment opportunity.

The Cheapest Property Markets

Ireland

House prices in Ireland have been falling gradually in certain areas for some time and The Economist had claimed back in 2012 that Irish properties were almost 5% undervalued.
If you’ve ever considered pursuing a vacation home in Ireland, now could be one of the best possible opportunities. Some of Ireland’s most attractive locations are available at very attractive prices, so there’s certainly some potential for a good investment here.

Portugal

Portugal is starting to rebuild after a dramatic fall in property prices that meant you could get hold of a pretty heft bargain back in 2013. Portugal’s property market is slowly starting to stabilise and this has been boosted by major investments from Chinese buyers and taxes on the wealthy in France.
However, the opportunity for a bargain in Portugal hasn’t disappeared entirely, especially when you consider that properties in Portugal were 32% cheaper compared to the UK at the start of 2014.

Japan

Real house prices have been edging down for years in Japan, although land prices began to stabilise towards the end of 2014 and there was a buoyant feeling about housing investments as well.
However, this seems to have now faded and when you consider that Japan are hosting the 2020 Olympics and were one of the best performing stock markets in 2013, there’s no reason why you shouldn’t consider the bargain opportunities on offer.

The Expensive Property Markets

UK

The UK housing market saw an annual rise of 3.5% in 2013 and London remains a safe-haven with regards to property markets. There’s a property boom still going on in the UK which makes it a very expensive place to invest.
Much of the investment opportunities in the capital have been taken up by those from Africa, Asia and the Middle East since 2013. The popularity of the UK as an investment opportunity has continued into 2015 and you’re unlikely to find a stand-out bargain at this point in time.

France

France remains an expensive investment option and the OECD findings seem to suggest many properties throughout the country are overpriced. Like the UK, you have to consider the fact that places such as Monaco will always attract the super rich investors.
Real estate in Monaco benefited after moving away from Paris and prices climbed in 2012 by 2%. Investors are also scrambling for opportunities in places like Monaco as they don’t have to pay business or income tax there.

Australia

Australia is third in the list of the world’s most expensive places to buy a house, with Canada and Belgium making up the top two. One of the reasons why Australia seems to be so expensive is because it didn’t suffer as badly as other countries during the Global Financial Crash.
While we’re looking at Australia as a difficult place to invest, Australia is becoming increasingly concerned with the reasons behind their rising property prices. All we know is that this almost certainly isn’t the best option for a bargain at the moment.

Mike James
Content Editor
www.navasassociates.co.uk

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Mike James

Mike James

Mike James is content editor and word-smith based in the UK.