Another busy, but enjoyable week goes by.  Monday we had an evening seminar in Liverpool which was well attended with some investors flying in for the night – a classic “Ryanair effect”  I had 2 days in London, on the radio for one of them which I enjoyed immensely and the other spent meeting a major overseas development company which has worldwide interests.  Back to Liverpool, Jet-to-Let Magazine design pitch today and off to the Lake District at the weekend for some R&R.

Global interest rates

The Bank of England left rates on hold at 4.75% and the European Central Bank raised by 25bps to 3.25% which is in-line with market expectations.  My view would be that UK rates have further to go – likely 25bps before Christmas and another in the 1^st quarter 2007 (based on the latest data), the ECB is likely to have another 25bps in the pipeline, possibly before Christmas and then we will be somewhere near the peak in this cycle and the Fed, well, we may be close or even at the peak presently.

For those of us with UK and overseas investments at variable rates this may help you with your planning although as always you are advised to take professional advice on your investments from an authorised person.

Eastern Europe

More and more stories are creeping out concerning the inability of investors to sell their paper profit properties in parts of Eastern Europe and also the inability of many to rent.  Like any investment due diligence and visiting the site are important factors as well as common sense.

Cyprus

Many readers of this newsletter are aware of my considerable interest in Cyprus (South).  I am also aware that a considerable number of readers have investments in Cyprus so I thought that you may be interested in this:

“Property, apartment and detached house prices are expected to increase by seven to 12 per cent in the immediate future, the House Commerce Committee heard yesterday.

According to the head of the Land Registry Department, Andreas Christodoulou,

’From studies that were carried out by the Department, it appears that the value of land will increase when it comes to plots of land, apartments and detached homes, and this is mainly due to the great demand that exists from European citizens’ said Christodoulou.

He stressed that the increase in prices would be within a legal framework and it would be estimated at between seven and 12 per cent, depending on the area.

In some areas the price increase would be higher than in others, he added.” {I think we all know where these are!}

Source:  Cyprus Mail

Jet-to-Let Magazine

There will be further news on the Cyprus property market in the first edition of the Jet-to-Let Magazine published later this month.  In addition we will put the spotlight on 2 other potential investment countries and will take a look at the latest UK property news.  Further details and your FREE subscription application can be found at:

www.jet-to-let-magazine.com

Have a great weekend

Best wishes

Dominic Farrell