First Person; Why I Chose to Buy Foreign Real Estate

What do the emerging markets of the world have to do withmy real estate investing? Simple, when ever you see the words "emerging markets" you should be thinking "growing middle class." Why is that important? Again, simple; a growing middle class means an increasing demand for goods, services and you guessed it "real estate!"

As more and more people around the globe are thrust into a rapidly growing economy they inevitably find themselves with more disposable income and as such the number one demand most of them have is for better housing.

Take a look at India, with a population of over One Billion people and with one of the fastest growing economies; what do you think is the demand for better quality housing?

Here is a snippet from a recently published article I found while doing my research;

( http://www.rncos.com/Press_Releases/Affordability-to-Drive-Housing-Demand-in-India.htm)

"According to our latest report "Indian Housing Sector Analysis", housing industry in India has emerged as the most dynamic segment of the real estate industry. Despite tough global economic conditions, housing industry in India has experienced upward growth trend, specifically in affordable housing segment. It is anticipated that the affordable housing market will continue to account for the maximum share in the total housing demand by 2013 and the market will grow at a CAGR of around 13% during 2011-2013."

So, the question that begs to be asked is this. Currently the real estate market in the United States is in a tail spin with no relief in sight so doI keep buying real estate in the United States? I know all the experts say to buy real estate in a depreciated market but how long can you hold those investments without turning a profit? Or worse yet, the very real probability that we have not seen the bottom of the market yet and you loose equity in the property? I bought a house thinking we had hit the bottom of the market only to be crushed by another $50,000 loss in equity in the property. Because there is no relief in sight and no one knows how low this market can go I seriously started looking at overseas property.

There is currently a plethora of emerging markets in the world. We already talked about India and everyone is talking about China but take a closer look at Singapore. Currently in Singapore they have seen an increase by over 33% in total number of millionaires in 2010 alone, an incredible 1.9% unemployment rate and one of the fastest growing economies in the world at 22.5% growth.

With incredible growth in their economies, incredible growth in not only the middle class but the affluent as well, why would you not want to consider investing in real estate in foreign countries? So I started looking for places that still had relatively cheap real estate, with a rapidly growing economy, low unemployment and strong central government with strong economic laws. Believe it or not, I found several different countries that fit the bill.

I don't want to say exactly where I purchased, but I will say that a.) I partnered with an overseas real estate developer and b.) I have decided to focus on multi family units.

An added benefit is that these countries also have very strong currencies so I keep my money in their currency and not the US Dollar and so I have seen realized gains in the sell off of the real estate as well as the increase in the foreign currency value against the US Dollar. So far, it has been a win-win situation for me and one of the best decisions I have made.

More from this contributor;

Should I get an Annuity?

http://www.associatedcontent.com/article/6184036/should_i_get_an_annuity.html?cat=3

First Person: Common Questions and Answers about Health Savings Accounts

http://finance.yahoo.com/news/First-Person-Common-Questions-ac-4017799821.html?x=0

Retirement Plan not working? Here may be why

http://www.associatedcontent.com/article/6068516/retierment_plan_not_working_heres_why.html?cat=3