Property remains the number one investment choice for financial gain; however, 2011 will not go down in history as one of the more successful years for some property investors! With this in mind, we have compiled a report outlining “The 5 Worst Property Markets To Invest In 2011.”

5. The Czech Republic

In fifth place was the Czech Republic where annual property price increases of between 20 to 30% are a distant memory and now a combination of high prices, oversupply and some of the lowest rental yields in Europe have made this a property investor’s bohemian nightmare.

4. Bulgaria

In fourth place was Bulgaria which was once regarded as the ‘the new Spain’ for overseas investors, not anymore! Property prices are in freefall and with the exit of British and Irish buyers, Russian investors now dominate the market and their strong bargaining skills result in continued falling prices.

3. Greece

In third place was Greece. With a debt to the tune of 340 billion Euros and property prices falling by 10% in the first half of 2011 alone, it is deserving of its podium placing.

2. Cyprus

In second place was Cyprus. A long time favourite with British investors, but now even its biggest advocates are losing interest. A stagnant economy and its vulnerability to the Greek crisis with two of its largest banks exposed to a total of 5 billion Euros doesn’t bode well.

1. Ireland

Finally in first place was Ireland. It seems that ‘the luck of the Irish’ has finally deserted them. Once the envy of the world when the property markets boomed between 2000 and 2006, the sheer scale of their downward spiral becomes apparent when you recognise that apartment prices fuelled by yet another painful 15% fall in 2011 are now down by a massive 60% from their peak.

Download Your FREE “The 5 Worst Property Markets In 2011” Report

To download the full report – “The 5 Worst Property Markets In 2011”, please click the link below.

Click here

Loxley’s Views

For a property market to be of interest to savvy investors it needs certain qualities in order to make it viable; a stable economy, good capital growth prospects, a reliable rental market and accessibility to mortgage finance.

Ultimately, property should be an investment that pays for itself; however, anyone investing in any of the 5 featured countries will probably have ended up losing money in the last 12 months.

It is significant that all five countries are from the European arena and no surprise following the recent rekindling of the debt crisis in the Eurozone and the impact this has had on those countries struggling to recover from the economic slowdown within its borders.

The current market conditions pose a challenge for the portfolio property investor in 2012 and on the flipside, opportunities. With uncertainty still a major factor in Europe it is no longer the case that focus can be switched to other countries and markets that show signs of growth without doing the research.

The interesting thing about this current property slump in Europe is that it has spread to all areas from the emerging capitals of Central and Eastern Europe, to popular coast and ski resorts.

Some are showing signs of recovery, but the property markets within weak economies are still sliding, which is why it is no coincidence that those who have struggled most in 2011 are all in our top five.

So as we take a break to consider what’s in store for 2012 it is right to feel cautious, but there is also cause for optimism. There are now unprecedented opportunities to invest in the types of housing that would have been unthinkable back at the peak of the market in 2008. These kinds of opportunities also exist beyond Europe’s borders in the US.

Understanding the market you invest in is now more important than ever. Bulgaria, Ireland and Cyprus should provide a warning for those who don’t consider the underlying fundamentals of a property market before investing.

In a market where the some of the old rules don’t apply, we still believe it is important to ask yourself one basic question before you invest; will this be a property that pays for itself?

Download Your FREE “The 5 Worst Property Markets In 2011” Report

To download the full report – “The 5 Worst Property Markets In 2011”, please click the link below.

Click here

Kind regards,

Loxley McKenzie
Managing Director

P.S. What other property markets should be included in the worst places to invest in 2011?  Please leave your comments below.

Tourism in Greece has declined just 7% in the first half of 2009, compared to declines of 12% in Spain and 22% in Portugal
according to the website ?emportal’. The tourism markets are volatile, but Greece occupies a strong position. A traditional holiday favourite, combining the character of its ancient history and charm of its white-washed villages, Greece will continue to flourish as the financial crisis wanes.

Overseas property developers Barrasford & Bird Worldwide have seen an increase in enquiries for their Halcyon Hills development on the Greek island of Samos, resulting in a record 7 million sterling in sales in just two weeks. Robin Barrasford comments, “We are definitely seeing a vast improvement in the market with the last couple of weeks bucking the worldwide trend and proving to be one of the busiest for over a year.”

Luxury property at Halcyon Hills can be purchased from £176,000 with luxury frontline premier villas available from £735,000. Buying options include assisted finance, fractional ownership from £19,000 and guaranteed rental returns. A refundable reservation fee of £1000 applies.

Click here for more details: http://www.colordarcy.com/property.php?id=52  

Contact: +44 (0) 207 100 2393 or email: info@colordarcy.com, for ‘Halcyon Hills Brochure’.

 Halcyon Hills is a uniquely luxurious spa resort on the south eastern coast of Samos. The resort offers world class facilities, including a 1200sqm spa with its own signature treatments and an exclusive 36 berth marina. Situated within a 30 minute flight from Athens, and within 65 kilometres of the new super marina at Didim, Turkey; Samos occupies an excellent location making it easily accessible from all over Europe. Click here for more details about Halcyon Hills: http://www.colordarcy.com/property.php?id=52

Tourism has always been popular on the islands but as the demand for luxury property increases this popularity is set to flourish with a 3.9% growth in Greek tourism predicted by 2011 (World Travel and Tourism Council).

Samos was chosen by the developers of Halcyon Hills for its unique mix of verdant vegetation, striking topography and historical sites. The island is a popular stop-off point for yachters, with a state of the art marina at Pythagorio just 12km from the actual location of Halcyon Hills.

Mayor Filippos Petrouskas has always supported the development of Halcyon Hills Marina Spa Resort. During his recent meeting with the Managing Director Robin Barrasford, Mayor Filippos Petrouskas took the opportunity to admire the new computer generated flythrough of the resort in addition to congratulating the developers on the beautiful and sympathetic design of Halcyon Hills. Click here for more details about Halcyon Hills: http://www.colordarcy.com/property.php?id=52

Mayor Filippos Petrouskas reiterated how important Halcyon Hills is to the future of tourism on Samos. Robin Barrasford commented, “We’re delighted to be working with the Samos authorities and are genuinely pleased by their continued support in Halcyon Hills. It’s important to nurture a good working relationship with the local population and local government. Samos tourism is flourishing and the development of Halcyon Hills will boost this expanding tourism market over the coming years.”

Loxley McKenzie, Managing Director, Colordarcy Investment commented, “We are very impressed by the Halcyon Hills concept and it goes to show why this development is one of our most popular projects”.

Luxury property at Halcyon Hills can be purchased from £176,000. Buying options include 100% assisted finance, fractional ownership from £19,000 and guaranteed rental returns. A refundable reservation fee of £1000 applies. Click here for more details about Halcyon Hills: Click here for more details about Halcyon Hills: http://www.colordarcy.com/property.php?id=52