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Caribbean Property Prices To Increase 10% This Year
April 1, 2010Article by Ray Withers
Caribbean property is to see 10% price rises this year an international property investment consultancy has claimed. Property Frontiers has said that a continuance of 2009′s rising demand will make price rises almost inevitable, and that they could start as soon as May.
There have been several reports since as early as April last year, of increasing demand for Caribbean property from wealthy foreigners, who are particularly focused on prime property. The reports are as recent as last week when a Barbados developer partnered with the well known Cluttons estate agency brand sold a development’s first-phase in 3 days, with no advertising only word of mouth.
There have been a few likely reasons for the increased demand put forward, including that it was only fear that it was only fear that had quelled demand in the first place, and, more recently that the wealthy were seeking to put their wealth into tangible assets like gold and property for fears over currency devaluation.
Property Frontiers said whatever the reasons behind the increase in demand, the increase was unquestionable. T said that the increase in demand seen since last year is unquestionable, mentioning last week’s reports of the aforementioned Barbados developer.
“Because of this massive growth in demand and what is being bought and by who — predominantly prime properties by wealthy individuals –, increases in price are widely regarded as becoming inevitable,” the firm’s spokesman said, explaining:
“In 2009, price was thought as being a hindrance on demand, but the fact that demand has been increasing since fears started to ease show that it was predominantly fear and not affordability that was crippling demand. Now that people are buying again with next to or no concern over pricing, increases in price are most definitely on the horizon and could come as early as May.”
Property Frontiers are currently marketing an award winning Caribbean property in Grenada. The Bacolet Bay Development is a prime property at a mid-range price; with studio cottages available from £333k. The development benefits from an incredible beach-front location and the properties are set in 41 acres of tropical gardens.
Buyers get 30 days free usage per year and a 10% guaranteed rental yield for the first 3 years, after which they receive a 50% share of the net rental yield. The guaranteed rental income is paid up front on completion, and the mortgage and maintenance fees are also paid for the first three years. 1 and 2 bedroom villas are also available as well as 2 bedroom apartments.