Calabria Property Market to Benefit from Buyers Returning to Italy

Italy has been named as one of the five most popular countries with the Brits currently buying overseas property.

This is according to new data from UK broker of overseas mortgages Conti.com, which showed that the current overseas property buyers are clearly favouring the established market over any emerging market.

This has been put down to people's risk aversion after so many lost their money when the downturn struck, but you can't ignore the fact that most of the people currently buying overseas property tend to be equity rich lifestyle buyers with substantial down payments.

Lifestyle buyers have always favoured the established markets in short-haul Europe because it is more readily and affordably accessible to make full use of for all the family, i.e. you can book a cheap flight and head over to southern Italy for a long-weekend.

This just wouldn't be practical for long-haul destinations, neither in terms of the price of the flights, and the time spent actually enjoying yourself, not to mention jet-lag.

Thus, the fact that British lifestyle buyers are back out there and buying overseas property is always going to be good news for the Italian property market and those throughout Europe. Calabria, the hot new emerging market will benefit from this.

This is because it offers the cheapest property in Italy -- if not all the established markets -- with beach-front apartments for sale in Calabria being for well under £100k. But the main reason is: the properties that were being sold off plan when Calabria became popular in 2007 are now being sold as key-ready.

Calabria Property to Benefit from Increased Off Plan Property Sales

Overseas property agents and developers have revealed that buyers are showing renewed interest in off plan property abroad Overseas Property Professional magazine has reported (login needed).

The article says:

Overseas agents for destinations from Australia to Brazil are reporting successful sales of properties that haven’t been completed or even started, often because there is little other choice for the buyers. Hamptons International is seeing continued interest for off-plan projects in Morocco, while sales are rising in the completely off-plan market of Abu Dhabi, according to consultancy Landmark Advisory.

"The majority of our overseas clients actually purchase property in the off-plan stage,” said Denise Casey of investment agent Australian Property Solutions. Greater choice and tax incentives make off-plan purchases more attractive, she said. “As well as these reasons, Australia has a chronic housing shortage in most of its major cities, thus there is quite a supply and demand imbalance."

Developers, too, are recording strong off-plan sales. In its Caribbean resorts, developer Harlequin Properties is selling around 400 off-plan properties a month, while Barrasford & Bird Worldwide is enjoying one of its busiest sale seasons for two years at Halcyon Hills in Greece.

One reason mentioned for the rise in off plan sales is the off plan property is primarily what overseas buyers find when searching for property online. That rising off plan sales is the natural outcome of rising activity in the overseas property market.

This is certainly true of the Calabrian property market; where there is an abundance of off plan properties, key-ready properties are few and far between, and resale properties are like hen's teeth.

Thus, the Calabrian property market will undoubtedly benefit massively from off plan property's return to grace.

View Calabria property for sale off plan.

Calabria Property Bargains to be found

There are some bargains to be found in the Calabrian property market if you know where to look, it has been revealed.

According to a press release issued today, the cheapest apartments for sale in Calabria now start from £41,000. Previously the cheapest apartments in Calabria started from £50k. The press release also contained details of some 2 bedroom 2 bathroom villas priced from £97,000.

Calabrian property has not seen the same price drops as elsewhere in the developed world. This is because the internationally marketed properties are predominantly off plan, and the developers are in no way reliant on off plan sales to complete the developments, Calabrian Property.com said.

The company acknowledged the fact that off plan property's reputation has been marred by instances of developments being cancelled, mentioning Dubai where the problem was particularly prominent. But, they said, if you do your research, including at least one trip to the country and to the development, the risk can be minimised.

The unspoilt and under-developed nature of Calabria is sure to see it regain its position as a growingly popular tourism destination in the short and especially the long term. Taking advantage of the bargain off plan properties currently available could prove to be an incredibly shrewd decision down the line.