Property market recovery predicted in the US

Predictions have been rife concerning when the housing market in the US will bounce back, but now two of the world's most successful property investors have lent their input into the debate.

Both Warren Buffet and Sam Zell have claimed the market will begin to post signs of recovery by next year.

"Everyone is basing the real estate recovery on the general economic recovery, but we forget that the economy was driven by real estate growth and development between 2004 and 2006," Mr Zell commented.

Meanwhile, Mr Buffet wrote in a letter to shareholders that he expected recovery to occur by 2011.

He conceded that prices would still remain low but was confident that residential housing problems would no longer be a concern.

In addition, earlier this month Overseas Property Professional reported that foreign investors were contributing towards the creation of a "mini-boom" in the Florida real estate market.

Around 70 per cent of the total numbers of transactions taking place have been by overseas investors, drawn by the appeal of picking up a bargain foreclosed property.

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