|Luxury Property Investment That is Hassle Free|
Hassle free luxury property investment
What could be more perfect than owning a luxury holiday home at a World Class Resort and receiving rental revenue whenever you are not using it?
The serviced apartment and condo hotel concept is a fairly new concept to UK investors, but is quickly becoming one of the most popular and profitable ways of owning overseas property. The concept which began in Europe in the late 1950’s combines the rewards of property ownership with the privileges and facilities of a World Class Resort.
Greg Walters of offplanpropertyabroad.com explains the concept:
“It is simple and one that investors and holiday home buyers are snapping up in huge numbers”.
“A typical buyer can purchase a property within one of these developments and will have full deeded ownership of the property, with the difference from a traditional property purchase being that once complete, when the owner is not using the property they have the option of placing the unit into the Resorts Management Programme”
“The property owner then receives a share of the room revenue generated through the rental of the property, which is often guaranteed, allowing you to enjoy your property when you want to and have your investment working for you”
These investments are not the timeshares of yesterday. These are luxury hotel properties, complete with all the amenities and services you’d expect from a four- or five-star hotel.
Buyers have full ownership of their property unit and are not restricted to a one or two week stay or a particular week of the year. In most cases they can stay 30-60 days per year in any configuration of time they choose. Plus, they can elect to place their unit into the hotel’s rental management program when they’re not using it and share in the revenue it generates.
Typically owners of properties within these types of resorts receive a higher level of income than they would from a traditional holiday home.
As part of the rental agreement, the resort management programme pays for most of the operating expenses such as house keeping, administrative and marketing costs. The investor can sit back and watch their investment grow and produce a profitable income and positive cash flow and the property can be sold or transferred at any time, just like normal property ownership.
Buyers have sophisticated taste
Who’s buying? Most condo hotel buyers are affluent, well-educated and well-traveled. They enjoy all of the amenities and services provided at a luxury hotel, including chic décor, personal concierge services, access to spa and fitness facilities, fine dining and often perks such as premier club access or a years golf club green fees and membership is included.
The Hospitality Industries premier names such as Ritz Carlton, Elegant Resorts, Four Seasons and Hilton are names all associated with the management of these types of schemes, and in fact around 90% of all hotels in the Caribbean and Mexico are Condo Hotel Resorts.
So here are the benefits of investing in a Fully Managed Resort Developments:-
• The investor owns the property and can sell it at any time at market value.
• Investor receives a share of the room revenue typically between 50% and 60% per year and is often guaranteed.
• No need to worry about renting out your property.
• Have the advantage of a global recognized brand and professional worldwide marketing of your property.
• Operating expenses are taken care of by the management company.
• Resale of the property will potentially be easier as it is more profitable than a normal property.
• Investors can use the property free of charge during the year normally up to 30 days.
• Easy to finance, banks like the Condo Hotel concept and see this as low risk.
Information on investing in managed resorts can be found at www.offplanpropertyabroad.com