Expats consider coming home as euro impacts on investment deals

Tuesday, March 09, 2010

Property investment price drop in eurozone may force British expats back home

By Ashley Brunskill

Many British people living abroad are considering relocating back to the UK and curtailing their property investment in Europe, it has been reported.

The Times reported that expats living across Europe are considering the "daunting move" of returning to Britain.

A survey from currency exchange firm Moneycorp in December revealed that as many as 70 per cent of British expats were considering buying property in the UK with the value of the euro a serious concern.

David Kerns, Moneycorp's head of clients, said the survey highlighted "the real impact of the downturn for Brits living abroad".

"As businesses across Europe continue to cut costs, we could see a surge of expats return to the UK," he said.

Property in Spain and Greece has been hit hard by the fall in value of the euro, whereas property investments in France and Italy performed better.

In France, wealthier buyers were strengthening the market and, in Italy, strict criteria for lending protected prices.

Although there are mixed fortunes on the European property market, property prices in the UK have been fairly strong.

London and south-east are considered "top outperformers" by the Royal Institution for Chartered Surveyors as its survey revealed an increase in buyer interest during February.

David Prosser, writing in the Independent last week, brandished claims of a City banker 'exodus' as overstated.

Source: ask-re The Property People LLP