Partners/Affiliates
Newsletter - August 2006
Have you ever dreamed of owning an overseas property to which you can escape whenever you feel the need? Maybe it is a place where eventually you would like to retire with warm sunshine, mild climate and a low cost of living compared to the U.K. Or perhaps you want to look at overseas property purely as an investment opportunity. Either way SIPS can support and help you whatever your aspirations. In this month's newsletter we cover the following items:
- Partnering with Ocean View - Buy to Let Overseas
- Looking for an Overseas home
- SIPS supports Canine Partners
- Some useful data
- Comment
Partnering with Ocean View - Buy to Let Overseas
The headline in the Sunday Times Money Pages on 7th May 2006 was "Landlords look abroad for richer returns." Investors concerned with rental yields in the U.K are looking abroad to seek out better returns. This will always be an issue where property prices are increasing but income from rents fails to keep pace.
SIPS have teamed up with Ocean View Properties to access the overseas Buy to Let market. This is with some difference as the model used by Ocean View is somewhat unique. They are able to offer guaranteed returns by putting the property into a rental programme via their travel company, Ocean View Travel. SIPS are delighted to be able to support overseas property investment using this innovative approach, which also delivers a measure of security for the investor and higher income potential.
Ocean View Properties have established business links with over 1,000 independent financial advisors, accountants and solicitors to ensure clients receive the very best professional advice when considering overseas property investment. The Directors have many years experience in investing in ‘off-plan’ exclusive developments along the coast of Spain. Careful selection and joint venture projects secure the keenest possible prices in order to maximise medium to long-term capital values and the very best rental returns from the moment clients take freehold title.
Ocean View Properties are the only UK overseas property investment company with its own in house travel company, OVP Travel, creating a dynamic marketing strategy and generating outstanding rental income.
So what is the Ocean View proposition?
Clients purchase at the pre-build licence stage and achieve an initial saving of up to 15% from the developers' price list. This creates a solid opportunity to achieve healthy capital growth during the course of construction and future medium to long-term asset value. A deposit of 20-30% is required on reservation with the balance not then due until completion.
During the construction phase, a team of Quantity Surveyors and architects continually monitor all of the developments. Prior to completion the Ocean View Properties’ Completions Department will then assist in the snagging of the property and will oversee the installation of the furniture, which has been specifically chosen by an interior design team to maximise the 'WOW!' factor for the rental market:
Working in partnership with the developers and having close links with the local planning authorities Ocean View Properties are able to create developments ideally positioned, not only to maximise capital growth, but to also offer a perfect product for the 365 day tourist market.
Our current developments come complete with on-site leisure amenities including indoor swimming pools, spa, gym, tennis, restaurants and shopping facilities. These developments are also ideally located near to superb golf courses, beaches and local marinas with their own unique restaurants and bars offering everything you would need from a holiday.
For further details of available developments please contact Glenn Hanson or use our enquiry form.
Looking for an Overseas Home?
If you have ever been to an overseas property exhibition then you will have certainly come away wondering where do you start. There are so many different countries, developers, agents, and types of property, price ranges and finance options. No wonder it is difficult to know how to proceed and often many people give up on realising their dream.
How can SIPS help?
- Firstly, Glenn Hanson has first hand experience of buying abroad and understands the issues.
- Secondly we can help create your own personal project plan.
- Thirdly we work with a limited number of developers/agents and will not over face you.
- Lastly, but not least, we ensure your project plan is properly implemented to achieve your aims endeavouring to support you every step of the way.
There are so many factors to consider, other than just price, when considering an overseas property investment:
- Distance – Is travelling time an issue for you? What is the maximum flight time acceptable to you given the usage of the property for your own purposes?
- Weather – Are you simply looking for somewhere to have a summer holiday or are you looking for an escape from the U.K winter months and seeing warm sunshine for most of the year round? This will influence where you look for property.
- Facilities – What do you expect to have included in the property? Do you want your own private swimming pool or will a community pool on a development suffice. Remember a private pool brings added maintenance costs and things can and do go wrong.
- Amenities – What local amenities would you want? Would you need to be within walking distance of shops and the beach or are you happy to drive for such services.
- Cost of living – Is part of your criteria to reduce your living costs and make your retirement income go further? Remember whilst living abroad may bring savings in every day expenses you may incur expensive medical costs in the event of illness – will you cover this by insurance?
- Infrastructure and management – Any investment needs to be properly managed in order to maximise your return. Management and maintenance of the property are important issues to address as are consideration for the local support services.
Glenn Hanson, Managing Director at SIPS, has invested in property abroad and has first hand experience of the issues involved and the concerns that you as an individual will have.
You can end up being torn between destinations, but before you make any decision to purchase you need to weigh up the “pros” and the “cons” and compare these to your overall objective. SIPS will work with you to help realise your property investment objectives.
SIPS works with a range of overseas property developers and agents. Each are scrutinised for their experience and stability in the respective countries, in addition to professionalism and service standards.
SIPS will:
- Establish the client’s individual criteria.
- Discuss affordability and sources of finance.
- Introduce individuals to suitable overseas property opportunities.
- Through our agents, arrange inspection visits as part of the process. In some instances they offer subsidies towards the cost of travel and accommodation.
- Organise local personnel to arrange viewings of selected properties who are able to impart local knowledge and advice.
- Introduce you, if appropriate, to a firm of international property lawyers, based in the UK, to guide you on process and check that your title to the property you purchase is well secured.
We do not expect clients to make hurried decisions, but to ensure they feel supported and secure in coming to an investment decision. Affordability is always established at the outset so all parties understand the client’s requirements and ability to proceed if so desired.
SIPS will always act in the interest of their client and will monitor the purchase carefully ensuring the right advice is being delivered at the right time.
SIPS can provide introductions to property developments in:
Please click on a country to take you to further information or contact us using the enquiry form on our contacts page.
SIPS Supports Canine Partners
On
Saturday, July 8th 2006, Canine Partners held a simulated driven
clay shoot at Holywell Estate, Hampshire. SIPS was delighted to be
able to support the event and offered a week at a luxury villa in
Lanzarote as an auction prize.
Pictured here is Paul McFerran, along with his wife Jill, who successfully bid for the prize.
The day raised £35,000 through gun fees, auction and raffle prizes. HRH The Duke of Gloucester also took part and everyone enjoyed the day which was professionally run, but in an informal atmosphere.
Canine Partners aims to transform the lives of people with disabilities by partnering them with highly trained assistance dogs, enabling them to live independently and enjoy an enhanced lifestyle.
For people with disabilities, everyday tasks such as picking up dropped keys, reaching for a pedestrian crossing button or opening a door can be impossible obstacles. Increasing reliance on carers can lead to loss of independence and self-esteem.
Many of Canine Partner’s beneficiaries have shown a courage and determination to improve their quality of life, working with their canine partner to help them regain confidence and live day to day without being totally reliant on carers.
If you would like to know more about the work of Canine Partners and how you can help then please look at their website, www.caninepartners.co.uk.
Some Useful Data
- Retail Price Index: 3.3%
- Annual house price rise: 9.4%
- Average U.K house price: £176,509
- Bank of England base rate: 4.5%
Comment
Our newsletter is issued this month shortly after when yet again the Government has performed a dramtic U-turn, this time on HIPS. My frustration over this, and of course the previous fiasco over residential property in SIPPS, is that private industry expends so much in terms of time and cost in preparing for the proposed legislative changes only to have it all wasted by last minute U-turns. The Government seems to totally ignore the fact that such firms, and individuals, financially commit themselves to develop processes, systems, products and training in order to meet the needs of the market place as a result of the proposals. Alas, there is no compensation forthcoming when the U-turn is made.
HIPS will no longer make it mandatory for a Home Condition Report (HCR) to be produced from June 2007 when selling a residential property. It was widely believed the cost of the original proposal would have been in the region of £1000. An energy rating and local searches will still be required, but at a much more modest cost of around £150.
The Goverment needs to work closer with the related and relevent representative bodies before steaming ahead with unworkable proposals, only to then have to call a halt having wasted so much time and money. This Goverment spends £70 billion in consultancy fees each year - that comes off money available to front line services. It even needed to bring in consultants to help them make the decision not to proceed with HIPS as proposed! I wonder at what cost - the NAEA has been opposed to the HIPS proposal from the start and been giving that advice for free. Forgive the cynacism, but I believe we have all been there where if a consultant says something it somehow is believed, but the advice from those who really do understand the issues and are involved on an every day basis, is ignored.
Moving on, we are planning 2 seminars in mid-October,
date to be confirmed. This will focus on overseas property investment
and the lunchtime seminar will be aimed at professional advisers,
i.e Accountants, Solicitors, IFAs. We will then have an evening seminar
aimed at the private investor. More details will be given, in our
next newsletter, but if you have an interest in attending or have
clients that you would like to bring along then please register your
interest to info@sips- ltd.co.uk.
Finally, can I remind you of our prize draw - use of a luxury villa
in Lanzarote for 1 week. See details in our last newsletter or check
out the website, www.sips-
ltd.co.uk.
Glenn Hanson, Managing Director, SIPS Ltd