Second foreign homes market booming

25 April 2005
The number of Europeans buying a second home abroad is currently booming according to a market review by the Royal Institution of Chartered Surveyors (RICS).

The RICS European Housing Review has found that many people across Europe are purchasing a second home in a foreign country, usually for holidays and to rent out, but also for investment purposes.

Countries in southern Europe, such as Greece, Italy and Spain, are the most popular, with as much as ten to 15 per cent of the housing markets in those countries formed of second homes, the review suggests.

The report's author, Professor Michael Ball, said he believed that the second homes market was reaching its peak.

"Europe has had some of the liveliest second homes markets over the past five years, but if people are looking for a second home as an investment rather than a holiday home, it is probably too late to expect good returns as the market is currently at its peak," Professor Ball stated.

However, the housing expert added that the low cost of living abroad and the explosion in cheap, accessible European flights would see the boom continue.

"The trend for second homes is likely to grow in the long-term because of cheap flights and lower living costs abroad," said Professor Ball.

Earlier this week, a survey for Homebuyer events found that as many as three-quarters (72 per cent) of young people in the UK are considering moving overseas.
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