They are looking at prime vacation locations and areas that are good for retirement, claims David Michonski of Coldwell Banker Hunt Kennedy in New York. He says Americans have always bought property in other countries at a fraction of what it would cost for a similar place in the States, especially in the Caribbean and Latin America.
But with the sagging dollar, money doesn't go as far anymore, and he predicts all the signs are pointing to a huge number of Americans interested in buying abroad.
Firstly, he says, real estate brokers in 32 countries now belong to the International Consortium of Real Estate Associations which has created a transactional referral system and has adopted a code of ethics that members in all nations have agreed to follow and this has boosted confidence among those looking overseas.
Then there are more websites than ever before where would-be buyers can search for property in well over 130 countries. That means an investor can research global markets, check on likely returns, and calculate taxes and rental yields from their own computer.
Michonski says a wider range of finance is also helping. 'Deutsche Bank is offering American-style financing for people who want to own a beachfront villa in Belize or a house in Honduras. This is clearly the trend of the future. They won't be the last to do this,' he said.
A spokeswoman for the bank said they have introduced the new product as Americans like familiarity. 'The number one reason people don't pull the trigger is they can't find the friendly financing they are used to getting here in the States,' said Nicholas Farina, business-development manager.
