This is our second release this week. We have been working really hard to release this new products… I am personally very proud of offering this new scheme in exclusivity.
Our newest addition to the apart-hotel range comes with a renewable 10 year rent guarantee at 7% yield. Located on the shores of the Red Sea with its own private beach less than 5 minutes from Sharm El Sheikh international airport and with up to 8 weeks personal usage per year this is not only a great investment but also a fantastic holiday destination. With a diving and aqua sports centre onsite this resort offers easy access to a host of water sports and diving activities in one of the greatest diving locations in the world. For those who prefer dry land there are tennis and squash courts, a health club, gym, beauty salon and shopping arcade.
Located in Sharks Bay, the resort consists of 720 rooms, chalets and villas many with sea and pool views as it is on the seafront with its own 500m private sandy beach. It has Italian, Asian, sea-food and international a la Carte restaurants on-site. Two outdoor swimming pools with artificial waves and a temperature controlled indoor pool. The hotel also contains a convention centre with the capacity to facilitate for up to 1000 delegates.
to learn more… www.colourcapital.com/palmbay
We are releasing a new type of asset class from Colour Investments – our first apart-hotel investment opportunity.
We all know that we are currently in a buyer’s market in the UK where investors have the ability to negotiate terms, which we have not seen for years. Having said that we at Colour Investments feel there is significant value to diversification within your property portfolios, which is why we are introducing more and more investment opportunities this year both in terms of product location but also of asset class. The new apart hotels that we will be showing you represent a completely different proposition and will add a rather colourful feather to your portfolio’s bow!
This asset class is very low maintenance & low risk whilst maximising growth and income through guaranteed rentals
This is our latest French leaseback… and probably one of our personal favorite to date. This is a Zero stress investment with fully managed properties in the South of Paris 5% GUARANTEE FOR 11 YEARS
THE GOLF COURSE WAS DESIGNED BY JACK NICKLAUSS
Ideally overlooking a wonderfully designed by Marc Adam and Jack Nicklauss golf course, the development is within easy reach from the centre of Paris. Adjacent to an authentic 14th century castle that has recently completed an extensive renovation, the property will offer guests every luxury service.
WITH A PANORAMIC VIEW ON THE GOLF COURSE, ONE OF THE JEWELS OF THE FRENCH ROUTE…
It is a major new leaseback development that is to be constructed in the exceptional domain of Cely. The development offers a 10-year construction warranty. Also, as part of the leaseback scheme, your property will be fully maintained throughout the lease period by the management company, at their expense.
On the edge of the very famous Fontainebleau forest the Cély Golf & Country Club, is one of the most magnificent golf courses in France. Often welcoming the Women’s World Championships, the course surrounds a magnificent 14th Century castle.
The ban of the title deed act has now been lifted by a new court ruling on May 1st. The deed system change will be effective within the next few weeks once the official gazette will publish the news. What prompted this action was a constitutional rights contrary that affected article 35 of the Tapu title deed act.
The deed system change will be effective within the next few weeks once the official gazette will publish the news. What prompted this action was a constitutional rights contrary that affected article 35 of the Tapu title deed act.
The new legislation governs that non Turkish nationals can only purchase 10% of a total area covered by a local planning zone in any town. This differs from the original act which allowed foreigners to purchase 0.5% of the total land area of a province, opposed to a single town.
This is excellent news giving the booming potential of the Turkish market. More properties in Turkey will come available soon through Colour Investments.
The credit crunch has ushered in a new era of property investment. As little as 18 months ago, any sort of investor could take advantage of property deals such as ‘no-money in’ or buying to ‘flip’. These investment strategies took advantage of the fact that UK property had good short-term growth and credit was cheap.
However, in the current investment environment credit has dried up. Although we are on a decreasing interest rate trend, lenders are not so keen to pass on cheaper finance to borrowers – partly because they are keen to make up for the losses that many of them made as a result of the credit crunch.
Does this mean that it is a bad time to invest in the UK? On the contrary, it would seem that we are in a buyer’s market at the moment: it would appear that we are experiencing more supply than demand at the moment, putting the power into buyer’s hands. Buyers are in a position to negotiate the best terms for themselves, whereas 18 months ago, sellers were in a position where they could wait for a buyer to match or exceed their asking price.
Property investors could take advantage of our current environment by exploring the possibilities of purchasing off-plan. Off-plan has the advantage that you are buying at a discount from today’s prices, but, you are buying into tomorrow’s market (i.e. the market of when the property completes).
Looking back to the infamous house price crash of the early 1990s and the economic fundamentals: at the time interest rates were around 15%; inflation was around 10% and unemployment was approximately 4 million people. If we look at the situation today, interest rates are currently 5%, inflation is around 3% and unemployment is near record lows at approximately 1 million people.
It is interesting to see that house prices after the 1990s crash were higher than house prices before the crash. This shows us the value of looking at the long term. The important thing to note is that by taking a long term view, investors are mitigating themselves from short-term fluctuations in the market (such as the credit crunch). Combine this with the fact that it is a buyer’s market at the moment, it would seem that now is the ideal time for an investor to add to their property investment portfolio.
There has been a definitive change in the buy-to-let market conditions. This is due to the tapering of lending products caused by the turbulence of high-risk lending over the last five years. However, it is not a time to necessarily worry about property investment. In fact, if you are a scrupulous landlord and have balanced your portfolio correctly, this is exactly where an experienced investor has the opportunity to take advantage of a tumultuous market. Effectively there are two main concerns to consider firstly what considerations to take on board regarding your present portfolio and secondly how to add to that portfolio:
1) What to do with your present portfolio of properties (if you have any)
It is 100% a buyer’s market out there at the moment. On that basis it’s not a great time to sell and undoubtedly, bar a few isolated city centre areas, it is advisable to hold on to your property. As a long term appreciating asset property will always go up and as long as your properties are balancing in terms of mortgage payments vs. rental income it is the best idea do keep hold of them. However, if you are in a situation where it is necessary to re-mortgage and you really cannot find a rate to keep your books balanced it may be time to consider cutting certain losses and cashing in on investment in order to facilitate other acquisitions.
2) How to expand your property portfolio
Simply, ‘cash is king.’ The market is extremely edgy and many vendors that have been on the market for a while or new build developers are offering extremely good discounts. For instance take our BBC site which is due for official release by estate agents on the 24th April, 2008. We have a 8% pre-release discount which in a different market would be unheard of. On this basis if you are buying you have the leverage to buy with a good solid discount from market value.
Paragon Mortgages (who specialize in Buy-to-let mortgages) have quoted a 2.4% rise in rental income over the month of February. With lots of 1st time buyers renting instead, the demand is now outweighing the supply for properties and therefore rents are on the way up. Therefore hold onto your present portfolio and buy only reputable city centre areas that will rent easily and cover your repayments. This strategy will give the landlord the reigns in what some people may consider to be a unstable market .