Property Investment in Capital Cities

We believe that to make the very most from a property investment, a would-be buyer should look to urban centres rather than to holiday hot spots. While appreciating that in many traditional – and emerging - lifestyle markets there is still a buck to be made, it is away from the sun, sea, sand and snow that one can find the most profitable properties, and the most secure investments.

Consider this: for the first time in human history, over 50% of the people on this planet – in other words, well over three billion individuals - now live in urban areas. Cities are expanding at a faster rate than ever before; tens of millions of people each and every year move from rural locations into towns and cities, driven by the need for employment, resources and a better way of life.

In China alone, the equivalent of a city the size of Manchester needs to be constructed every single month to cope with the immense exodus from the countryside, and this situation is mirrored in almost every other country on Earth.

Demand for urban property has never been higher – and will continue to grow for decades. If the worlds leading economies take the hit which has looked on the cards for a while now, one of the first sectors to suffer will be the leisure and tourism industry.

Less spending money means fewer holidays; fewer holidays mean fewer holidaymakers; fewer holidaymakers mean a substantial drop in rental income – and for those reliant on that rental income to pay a mortgage the consequences could be catastrophic.