Brazil Property News: Early birds grab property bonus




5th September 2007 05:19


Getting in early into an emerging property market can lead to far greater returns, advises a property expert.

Mike Dunkerley, director of The Global Property Group, explained that property investment usually involves three key stages and getting on board early is the key getting most from an investment.

He explained: "Think of the market having three phases. The first is the 'early bird' phase when prices are rising from a low base. People buying here will make money.

"The second phase is when the supply of property starts to match the popular demand for a home in the sun. This is when the ‘early birds’ sell out at a profit. People buying in this second phase will have to wait for a long time before they make a profit.

"Then there can be a third phase. If too much property is still being built then prices will start to fall until the surplus is removed from the market. This is what is happening in the Spanish market at the moment."

Mr Dunkerley went on to explain the benefits of buying off-plan properties: "Buy for a small deposit, watch the price of the property rise and cash in just before the property was delivered to you.

"In other words buy early in a rising market. It is the same the world over including what has been happening in the UK property market."


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