“A Place in the Sun”: 20 Best Places to Make Money

I recently posted about my thoughts of 2005 in which I discussed, the “A Place in the Sun” programme this time last year. Well after watching the 2006 programme this evening, I wanted to post a summary.

The programme was based on predictions of where the best place to invest your money in property will be in Europe over the next 10 years. Amanda Lamb stated during the programme that the UK and Denmark would have been in the list. The UK had been ruled out of this list, as there were better places to invest in Europe? Also Denmark was ruled out as it is very difficult to invest there as a foreigner. After discussing this over dinner with some Danish friends of mine, I am inclined to agree.

Please remember this is only a guide and was predicted through the help of number crunchers. World events can affect every market over a 10-year period and with potential earthquakes, more bird flu outbreaks and globalisation, caution should be taken in every property investment. Always consult a lawyer when purchasing a property abroad.

So as Amanda did tonight, I am going to count down front 20 summarising her predictions.

Number 20 – Cyprus

With great weather and beaches, this former British colony is a home from home, as they drive on left and speak English in most places. The market has been strong in last few years.
Cyprus joined the EU in 2004
Average Price: £100000

Predicted Price Growth:

Spend £100000 today
It could be worth £288000 in 10 years time.

This is based on an increase in prices, plus rental income.

Number 19 – Spain

Most visited country by the British and most popular to buy property abroad, it is the sunny option to living in the UK. Valencia is a potential hotspot and is being smartened up for Americas cup in 2007.

Predicted Price Growth:

Spend £100000 today
It could be worth £289000 in 10 years time.

Number 18 – Italy

Land of the Dolce Vita where £118000 will buy you a 2-bed farmhouse. Sicily is a new hotspot, where you can buy a 4-bed villa for £192000

Predicted Price Growth:

Spend £100000 today
It could be worth £290000 in 10 years time.

Number 17 – France

Property is still cheap in many parts of the country. Limousin can offer you a renovation project for £50000

Predicted Price Growth:

Spend £100000 today
It could be worth £301000 in 10 years time.

Number 16 – Netherlands

Holland has a lot to offer with the most liberal people in Europe and shrewd investors. Prices have risen steeply over the years with an average price of £150000, but there is still money to be made. They have the lowest interest rates in Europe and as it is the most densely populated country in Europe, property is going to increase in price.

Predicted Price Growth:

Spend £100000 today
It could be worth £308000 in 10 years time.

Number 15 – Austria

A mountainous country based in central Europe with an average price of £130000

Predicted Price Growth:

Spend £100000 today
It could be worth £311000 in 10 years time.

This is based on an increase in prices, plus rental income.

Number 14 – Ireland

The Emerald Isle offering an investment closer to home. The Irish have the highest home ownership in world, but it only reaches position 14 as surging demand has put prices up with an average house price of £165000

Predicted Price Growth:

Spend £100000 today
It could be worth £322000 in 10 years time.

Number 13 – Czech Republic

Formerly know as Bohemia, many go in search of profit and Prague has established itself as a tourist destination with an average price of £45000
Joined EU in 2004 opened up to foreign buyers.

Predicted Price Growth:

Spend £100000 today
It could be worth £360000 in 10 years time.

Number 12 – Germany

Germany is Europe’s dark horse, just out of recession with the housing market in doldrums; property prices are now on the up. With a new German chancellor who is predicted to encourage citizens to buy rather than rent, the potential for massive house price increases is possible. Also the World Cup this year will add to countries exposure.

Predicted Price Growth:

Spend £100000 today
It could be worth £361000 in 10 years time.

Number 11 – Luxembourg

Luxembourg is the 6th smallest country in the world but the richest. As a tax haven and banking centre it has the highest average price of property at £190000

Predicted Price Growth:

Spend £100000 today
It could be worth £363000 in 10 years time.

Number 10 – Hungary

Budapest is a city hotspot. Hungary’s average house price comes in low at £37000
International companies are opening local offices and this is a good sign for the future as demand for property increases.

Predicted Price Growth:

Spend £100000 today
It could be worth £369000 in 10 years time.

Number 9 – Finland

Finland is the 2nd most northerly country in Europe and as such is the coldest and darkest.

Predicted Price Growth:

Spend £100000 today
It could be worth £373000 in 10 years time.

Number 8 – Slovenia

Slovenia has a buzzing capital city and has risen since it joined the EU. Average prices stand at £45000 and represents better investment potential than the Swiss Alps.

Predicted Price Growth:

Spend £100000 today
It could be worth £378000 in 10 years time.

Number 7 – Slovakia

Meteoric rising property market, this former communist country is developing fast. With low flat rates and taxes, there is incredible money making potential.
Hotspot tip: Tatra mountains £35000 apartments near ski slopes.

Predicted Price Growth:

Spend £100000 today
It could be worth £426000 in 10 years time.

Number 6 – Belgium

The home of Europe with the capital city Bruges, at present you can buy a city centre apartment for £50000 and rent it out for approx 500 pounds per month.

Predicted Price Growth:

Spend £100000 today
It could be worth £440000 in 10 years time.

Number 5 – Sweden

Mountains, forests and lakes are its appeal and it is the least populated country in Europe. Average property price is £52000, but it is famously expensive with beer at £4 a pint.

Predicted Price Growth:

Spend £100000 today
It could be worth £452000 in 10 years time.

Number 4 – Baltic States

Comprised of Estonia, Latvia and Lithuania. These countries have low interest rates and the local populations income is rising. Talinn the capital of Estonia has studio apartments from £31000 studio with rental potential of £220 pcm.
Joined EU in 2004

Predicted Price Growth:

Spend £100000 today
It could be worth £456000 in 10 years time.

Number 3 – Portugal

Housing market is still booming in this established market. Future predictions are that the property market still has room to grow and is not overvalued.
Hotspot tip – Silver coast – No frills airlines fly into Porto in central Portugal. The average price in Portugal is still only £50000

Predicted Price Growth:

Spend £100000 today
It could be worth £460000 in 10 years time.

Number 2 – Poland

Poland is undergoing a massive transformation with international companies settling and the property market picking up. Average price is £35000.
Hotspot tip – Krakov - £80000 will buy you an interior designed apartment in prime location in city with potential rental income of 370pcm

Predicted Price Growth:

Spend £100000 today
It could be worth £493000 in 10 years time.

Number 1 – Romania

Not due to join until 2007, Romania has a very low acerage price of £17000. This country is definitely for the more adventurous investor as the infrastructure is basic with only one short motorway. This market is in its infancy!
At £2500 for a fixer upper and £20000 for a 2-bed cottage it could be well worth the risk.

Predicted Price Growth:

Spend £100000 today
It could be worth £514000 in 10 years time.