THE dream of owning a home in the sun turned into reality for more than 150,000 Britons in 2001 - and this year the figure is expected to climb to 200,000.
Despite warnings of a downturn in the overseas property market following events in the USA and Afghanistan, agencies are still reporting a strong market place with UK purchasers continuing to show a keen interest.
Pauline Gallagher of Halcyon Properties, which specialises in Greece and Cyprus, said: "Following the attack on the USA there was a brief blip in the number of enquiries we received, but we are now getting more - almost as if people want to be as far removed from the problems as possible. The Brits' attitude appears to be 'let's get on with life'.
"It has, however, taken out of our portfolio those who were time-wasters. Genuine buyers are still as keen as ever. Low interest rates are counter-balancing the current world problems and those wanting to live in a gentle and warm environment are as a keen as ever."
Steve Williams, who specialises in property in Spain and Tenerife with IPC, said: "The fluctuating stock market versus the lower interest rates and strong pound still make it a good time to buy."
Property values on The Algarve are rising rapidly, particularly at the top end of the market. A luxury five-bedroom detached property was sold at Quinta do Lago in November 1999 at an asking price of £950,000. The owner spent around £20,000 on improvements and remarketed in April of this year. An offer of £1.7m was refused.
Brian Robinson, of Greenbox International, a Portuguese property specialist, said: "The Quinta do Lago area, which has seen an influx of international stars, sports celebrities and business people seeking the Marbella life - style in Portugal.
Buoyant prices
"There seems to be a constant stream of keen purchasers which in turn is keeping prices extremely buoyant."
Equally optimistic is Linda Midwinter who, with husband Graham, runs the UK division of Florida Homes International. Linda said: "After the dreadful events of September 11 we found that business appeared to stop for two to three days - but after that we resumed at a steady pace. Interestingly no one has cancelled an inspection flight."
John Morrill Managing Director of World of Florida said: "The disaster has had an effect but more significantly on the rental side where tourists are more reluctant to book accommodation in the short term."
Buying a home in Europe - or further afield - is a major step and you need to ensure that you have the best advice available.
There are no statutory controls over who can set up in the overseas property business, but you can reduce the risks substantially by dealing only with a company which is a member of the Federation of Overseas Property Developers, Agents and Consultants (Fopdac).
Fopdac was established in 1973 as a voluntary regulatory body which unites agents, developers and specialist consultants active in the international property markets whose aim is to protect the interests of clients buying or selling a property overseas.
Fopdac: 0208 941 5588; e-mail: info@fopdac.comHomes abroad
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