\nThe richer you are the more likely you are to invest in property which is now regarded as better opportunity for long term returns that stocks and bonds, according to a new survey.\n<\/p>\n
\nTwice as many people plan to increase their investment in residential and commercial property as intend to reduce, the global survey from Barclays shows.\n<\/p>\n
\nIt is those with more than $800,000 to invest that are leading the property investment race and the extent of their plans for real estate has amazed researchers.\n<\/p>\n
\n\u2018I was surprised how big a share of their wealth property represents,\u2019 said Mike Dicks, head of research at Barclays Wealth.\n<\/p>\n
\nWith the global recession having pushed down real estate prices in every region except parts of Asia, it is a belief that properties are now undervalued that was one of the main reasons for increasing investment.\n<\/p>\n
\nReal estate investment among wealthy individuals is set to rise to 30% of the average portfolio for the next few years from 28% at present, according to the survey.\n<\/p>\n
\nThat excludes properties used as a principal residence.\n<\/p>\n
\nIt also found that an emotional attachment to bricks and mortar can mean that rich investors are often unwilling to sell real estate at short notice and may be less rigorous in measuring its performance as an asset.\n<\/p>\n
\nInvestors from Canada and the Gulf region were the most likely to increase their property allocations, with an average increase of 4% being put into real estate.\n<\/p>\n
\nSpain was the only country in the survey where more individuals said they would reduce the proportion of real estate investment.\n<\/p>\n
\nAbout 60% of rich individuals in that country have more than half their assets in property.\n<\/p>\n
\nAlmost 30% of British and Indian investors have more than half their wealth tied up in real estate while about 40% of the total respondents worth more than \u00a330 million have a similar allocation, the survey shows.\n<\/p>\n
\nThree out of four investors surveyed said residential property is looking attractive and two thirds are keen to explore investing in commercial real estate.\n<\/p>\n
\nHowever a large number, some 75% said they feel hampered by borrowing costs.\n<\/p>\n
\nThe US was the most attractive real estate market for investors outside their home country, regarded as having the highest potential for return on investment.<\/p>\n","protected":false},"excerpt":{"rendered":"
\nThe richer you are the more likely you are to invest in property which is now regarded as better opportunity for long term returns that stocks<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[],"tags":[],"persona":[],"class_list":["post-3069","post","type-post","status-publish","format-standard"],"acf":[],"yoast_head":"\n