These days, international real estate investors are placing their money where they believe it will not disappear overnight, such as the United States, Asia, and Western Europe.
Colliers International's new Global Investor Sentiment Survey came to this conclusion.
Investors consistently pursue properties in the same, "secure" markets, according to the study, including London, Paris, Frankfurt, Hamburg, Munich, and New York.
"Investors from other regions have described London and New York as main investment areas," the report says. used cars in qatar under 10 000
"Investors will continue to focus on these markets in 2013, while keeping an eye on the impact of the U.S. election and the Eurozone's ongoing problems. London, Paris, and major German cities are among the most popular destinations.
The study claims that "From a global perspective, investors have shown a clear preference for the office market. The industrial sector ranked first in the United States and Latin America, while shopping center investments grew in popularity in Australia, Canada, and New Zealand."
The survey received responses from approximately 500 real estate professionals from the United States, Canada, Latin America, Asia Pacific, Europe, and the Middle East.
"Major investors are becoming more critical when choosing their investment locations," Tony Horrell, CEO, U.K. and Ireland, Colliers International, said in the study, highlighting the most significant trend this year.
The underlying trends we discovered while asking respondents about their investment plans support this. They are more likely to look at opportunities in their own backyard first, and when they do look at foreign opportunities, they are much more precise about the markets and sectors in which they are involved."
"As stringent lending criteria persist and LTVs remain poor," Horrell added, "the survey also found that the availability and price of debt finance will remain an issue in a number of territories, especially in EMEA."
This is allowing new lenders, such as insurance firms, to enter the market, as well as a revival in the provision of mezzanine financing."
Through 2013, investment volumes in Western markets are expected to rise slowly and gradually, and core investment opportunities will become more difficult to come by as investors focus on only a few main locations.
Investors from Asia, Europe, and Latin America were the most likely to seek funds from outside their areas.
According to the survey, Asian investors sourced just 40% of their funds locally, with the United States (20%) and Western Europe (19%) supplying substantial funding.
The United States provides about a third of all funding in Latin America, with Western Europe contributing just under 15%. With about 78 percent of investment coming from within the country, Canadians are almost self-sufficient.
While many investors prefer to invest in their home markets, a quarter of them (approximately 25%) are venturing into international real estate. Western Europe is favored by international investors. In addition, some Asian investors are likely to look for property opportunities in Australia and New Zealand, which are closer to home.
The majority of investors still prioritize wealth preservation and reliable profits. However, investors in the United States, Asia, and Latin America are most likely to take on more risk in the coming six months, according to the survey.
In 2013, most markets in Europe, the Middle East, and Africa (EMEA) will continue to struggle to secure debt, with specialist debt funds chasing higher returns expected to see increased activity.
Investors in Asian markets were found to be the most likely to take on further debt, while investors in Latin America preferred to avoid it.
"In 2013, we will see more new lenders and mezzanine funds to partly replace the vacuum created by retreating conventional banks," Horrell concludes.
More broadly, 2013 will be a year of sustained recovery, with moderate growth in investment volumes as investors adjust to the new normal and sentiment improves."