44.4bn pounds spent on property in 2006 - sales driven by desire for 'rich life experiences'

UK and Irish consumers spend around 122m pounds a day on overseas property and 1 in 30 people in the UK and Ireland have invested in property abroad, according to research from Datamonitor for OPP knowledge.

Based on a survey of 4,000 plus consumers and over 850 agents from the UK and Ireland, the 250 page report found that the total amount of overseas homes owned by Brits, including those living overseas, is 3.81m (not including time-share or fractionally owned homes), with a total value of 44.4bn pounds in 2006. Domestic agents expect that figure to reach 93bn pounds by 2012, while consumers expect it to reach 85bn pounds in the same time period.

UK & Irish Wealth

Barclays Wealth Insights last year claimed the UK will have one million 'super millionaires' (those with assets over 3m dollars) for the first time in the next decade.

Meanwhile, the Bank of Ireland's annual Wealth of the Nation report recently showed Ireland's net wealth had risen 19% in 2006, to 805bn euros - the average wealth per head is now 196,000 euros. It's perhaps not surprising then that 48% of those surveyed for OPP Knowledge had bought using cash savings - with only 26% opting to remortgage their UK property.

Presenting the key findings at OPPLive, Datamonitor's director of consulting, for the EMEA consumer markets, Neil Hendry, said property investment is now on a par with holiday homes as the primary motivation for purchase. However, he added that "non-investment driven motivations are related to the desire for buyers to have a life rich in experiences".

Story from OPP Magazine