Cheap foreign property attracts first-time buyers

Cheap property prices overseas are proving to be very enticing to first-time buyers in the UK, according to an expert.

Paul Collins, property editor of the BuyAssociation website, said that many people are having difficulty in getting on the British housing ladder because house prices are too high.

This has led to many people seeking various means of generating wealth to afford a purchase, including investing in a foreign property market.

Mr Collins said that places that offer relative bargains have proved to be especially popular, particularly those where prices have been going up quickly.

He commented: "They're finding that it’s better off going overseas and building up a little more equity and owning a property."

Mr Collins added that Spain has been one of the most popular locations among this group of buyers during the last few years.

Fair Investment Company recently revealed that nearly one in ten first-time buyers have already bought their first property overseas, while 44 per cent are thinking of doing so.