Best Real Estate Investment

Real estate investment over long term period of time is giving very attractive return with lesser volatility compare to other asset classes, the question is where is the best real estate investment? Let's look at the top real estate investment destination in the developed and developing countries.

Best Real Estate Investment

1. UK Real Estate Market

United Kingdom is one of the top destination for the investors as it offers attractive rental yield and capital appreciation over the years due to the lack of supply and increasing demand from the local and expatriates. It is reported that average property in London now has surpassed £500,000 and the investment in London property is not only concentrating in the central London nowadays. The high price has created rippled effect to the outer zone 2 and 3 where it is offering higher rental yield and higher property price appreciation.

The ripple effect in London also bring Manchester into the spotlight. As the second largest economy in UK after London, property price in Manchester is just as at a fraction of London. Manchester was overlooked previously, now it has become the top property investment destination in UK. Manchester also has the shortage housing supply issue. According to HSBC research, Manchester is the best buy to let destination if you intend to invest into UK property market and it is the market which gives the highest return to landlord. In addition to that, UK government has pledge their commitment to turn Manchester become the leading of northern powerhouse economy to complement London.

2. Singapore Real Estate Market

Similar to London, Singapore is the best real estate investment hot spot for the rich. Imagine property price rise almost twice within 4 years since the global subprime crisis 2008. Therefore, it triggers the Singapore government to implement policies after policies to prevent the forming of real estate bubble.

Today with the additional buyer stamp duty, seller stamp duty, and total debt servicing ratio. These policy in the nutshell requires higher tax when you purchase and limiting your loan to value based on your income has cooled down the market. If you looking higher return in the medium term, you should not invest in Singapore real estate now. Because the government will try to keep the property market more stable appreciation. We do not put Singapore as our best real estate investment choice right now unless you are looking for low risk and stable appreciation with long term investment plan.

3. Australia Real Estate Market

Property in Australia has been booming over the last decade due to the strong demand from the Chinese buyer who are investing into Australia massively. With the current economic slowdown in China, we expect it will drag the property price and currency to be stagnant. We do not put Australia in our best real estate investment choice for now.

4. Thailand Real Estate Market

Strong local demand for property in Bangkok, most of the new launch which is strategically located within 300 - 500 meters from BTS/MRT station are snapped up by the locals. Bangkok property price are steadily appreciating around 8 - 10% annually and it shows no sign of slowing down in the near future. As investors, if you are looking to invest in Bangkok property, make sure it is near BTS/MRT station because if too far, it will be hard to rent out due to the heavy traffic congestion in Bangkok.

5. Cambodia Real Estate Market

It opens up their real estate market to foreigner since 2010, thereafter the land price has risen almost double. The real estate transaction is using US Dollar, this is one of the reason why foreign investors start diversifying their portfolio to the kingdom.

The tax policy is still very friendly to investors and many local and foreign businesses  is setting up their business in Cambodia because it is one of the fastest growing economy since early 2000 where it averages about 8% per annum.

If you plan to invest in Cambodia/Phnom Penh property, make sure the developer is reputable and it is located in the prime district because in this kind of developing country the risk is higher. Therefore we must pick only the prime location and leverage on the reputable developer who done the due diligence.

6. Vietnam Real Estate Market

Property market in Vietnam just opened up for foreigner since July 2015 with limited 50 years leasehold tenure with the option to renew for another 50 years. There is one condition you should know if you intend to purchase property in Vietnam, you are only allow to purchase if you are able to enter to the country.

Similar to Cambodia, location and developer reputation is very important when you invest in Vietnam because the real estate market is still not very establish yet therefore it contains higher risk and it also offers higher return

We cannot cover the whole country in this best real estate investment article, if you have any question, feel free to send us question by filling up the form below.

Or if you already have plan where to invest, you can contact us too.