In some areas of Spain, such as Mallorca for example, it's almost impossible these days to rent long-term, at least not at a reasonable rental rate. It makes sense, given that Spanish property prices are still comparatively low, to buy a holiday home. However, Spain has been plagued by manifold property scandals, and it's therefore imperative to do as much research as possible before taking the decision to buy. Make sure you appoint a good, reputable lawyer, never leave anything that could become costly in the hands of developers or estate agents, and above all, ensure that every document you sign is translated, if you're not fluent in Spanish!

Unless you have already sold your primary residence and freed up a large amount of cash - or have won the lottery - you are likely to be looking to buy with a mortgage. Since Spain encourages foreign investment, non-residents can obtain a mortgage for residential property in Spain, but there are not as many of such mortgage products open to non-residents as there are for residents, and some restrictions apply.

In principal, getting a mortgage is like this:

Because there are various restrictions to the type of mortgages non-residents can obtain, it is usually best to determine beforehand what your most likely residential status will be, before choosing a product. Are you likely to retire soon or relocate for work purposes and become a permanent resident? This may well open up a better range of mortgage options.

Lenders view a second mortgage as far more risky than the mortgage you may have on your primary residence. This means such mortgages are offered at worse interest rate ranges than homes where you will live all year round. Lenders assume that anyone in danger of defaulting on payments, will do so on a holiday home rather than their main home. For this reason, lenders in Spain are more likely to look for a 30 to 40 per cent deposit, before they will allow your mortgage application to go forward. Some banks in Spain, however, allow 80 per cent mortgages, so you will only need a 20 per cent deposit in that case.

On top of that come costs, which include legal costs for your notary and any translator you might need, and various mortgage fees and taxes. This can all mount up quickly, so it is best to allow for a further 12 to 15 per cent of the purchase price to pay for purchase costs.

This can vary from lender to lender, but most Spanish banks will ask you to provide a list of all your monthly outgoings (you will need to provide proof of this, such as bank statements for the previous three to six months before applying for example), and will take into account any existing loan repayments you are already making. This will show them whether or not you can still afford to take on more debt.

Lenders will use an affordability ratio based on your net income per annum after tax, and will determine if your new debt exceeds 30 to 35 per cent of your net earnings; if so, you will be turned down, but if you stay within that margin, you should see your application go forward. You will typically be required to complete a personal balance sheet to demonstrate your existing financial arrangements, and to show documents that prove how much you earn and how much you spend per month.

Most Spanish mortgages are arranged on a tracker basis, in line with the European Central Bank's lending rates, the Euribor. Lenders offer mortgages at a margin above the Euribor rate, such as Euribor plus one per cent. Here it is important to check the mortgage offer fine print, for Spanish lenders have been slow to pass on any savings to customers, when the Euribor goes down, but very quick to apply increases. At the time of writing, the average interest rates offered in Spain stand at around 4.16 per cent. You should also take into account any exchange rate fluctuations - if you are paid your salary in Sterling, which is weaker than the Euro at present, this will impact on the monthly outgoings for your loan.

Costs of arranging mortgages may also be different to the way lenders handle mortgages in your own country. Expect to pay mortgage deed duty at around 1.8 per cent of the loan, and bank fees typically set at 1 to 1.5 per cent of the mortgage amount. Every single document related to your mortgage must be signed off at the notary office, which means you have to allow a further 0.5 per cent of the loan value to pay for the notary service.

In addition, you must pay a valuation fee, a broker fee, if you're using a broker to arrange your Spanish mortgage, and 10 per cent VAT, if you have chosen to purchase a brand new property. If you are buying a second-hand property, then a sales tax of between 5 and 10 percent of the overall value of the property becomes payable upon completion. The rateable or taxable value of your property varies from type of property and location, and in some parts of Spain there are also local charges to pay. It is incredibly important to hire a reputable, experienced solicitor, preferably a law office that is able to handle all work in two languages, your own and Spanish, so you are not experiencing endless delays waiting for documents to be translated.

Whether you go direct or use a broker is usually down to personal choice. However, there are quite a few fraudsters around who will charge an upfront fee - and never bother to arrange your mortgage with the lender. Before appointing somebody, ask for advice from neighbours, friends or colleagues.

Brokers can be very useful because many Spanish lenders do not offer set mortgage terms, but tend to work on a negotiated, individual basis client by client. Therefore, having someone working for you who speaks Spanish fluently and knows the system inside out can work out very much in your favour. Look out for mortgage brokers who provide you with an initial free, no obligation, consultation, such as SPF or IMS. They will explain their services to you, if you're not sure which route to take.

It will, of course, cost more to use a broker, about 0.5 to 1 per cent of the overall property value in fact. But if the broker can arrange for a good deal for you, you will be recouping this cost over time.

Unless you are fluent in written and spoken Spanish and understand legal jargon, it is not advisable to go direct - Spanish mortgages are legally binding, and thus any mistakes or misunderstanding can be very costly indeed. Look at quite a few major Spanish bank websites to compare rates (use Google Translate, if the sites are only Spanish-spoken) and also check on the nearest Spanish consulate or embassy websites for links to English-language portals that deal with recommended notary or translation services in the area you wish to buy in. Check out websites run by expats - they can be invaluable for advice on who to avoid and who to trust with regard to brokers and estate agents.

If the Spanish lender has a branch in your own country, even better, as you may be able to arrange a mortgage through them for your property in Spain. Abanca for example have an office in London, and Santander, one of the largest mortgage providers in Spain, may also be able to put British buyers in touch with their relevant banking counterpart in Spain. Their website also has a wide range of mortgage products on offer, including tracker, combination deals and fixed rate deals, and you can use their nifty mortgage calculator to estimate the amount you may be able to borrow and find out if you're eligible on the site, too.

All Spanish lenders must be authorised by the Bank of Spain and are subject to the Bank's supervision. If you're using the Bank of Spain (Banco de España), you will have access to banking staff trained to deal with overseas buyers. They will be able to guide you through the home-buying purchase in your own language - but don't forget, they are not on your side money-wise, but want to get the best deal for their bank.

The maximum length of a mortgage term you can get is 25 years and the borrows age at the end of the loan period must not exceed 75 years. The monthly outgoings you present for mortgage eligibility must include home insurance costs, as this is mandatory by Spanish law. Home valuation fees charged should not exceed 500 euros.

News that pop star Madonna went house-hunting in Portugal in June this year seems to have inspired other foreign buyers to go house-hunting in the country again. Great variety of properties on the market, great-value-for-money, good rental yields for holiday lettings and capital gains in areas where prices are going up mean that Portugal is once again a popular destination for foreign investors and people looking for a Portuguese holiday home.

The recovery of Portugal's residential real estate market began in 2014. Portuguese house prices continue to rise, as the country's economy continues to recover from the worst recession in living memory. According to data published by Statistics Portugal (INE), the country saw house prices rise by 3.84% (or 2.97% in real terms) in October 2016, compared to 2015. At the close of the year the average square metre cost 1,081 euros or US $1,130.

Seen by property type, prices for Portuguese villas increased by 4.77% or 3.89% in real terms, and Portugal's apartment prices increased by 3.31% or 2.44% in real terms in October 2016, seen in a year-on-year comparison with 2015.

Lisbon has become the European destination of choice for tech entrepreneurs and digital nomads. Property prices in Lisbon grew by 2.59% or 1.72% in real terms year-on-year in October 2016, now costing on average 1,308 euros or US $1,367 per square metre. Indeed, house prices improved in all of Portugal's 24 urban areas, with Santa Maria da Feira seeing the highest growth rate of all with 12.2% during that period.

Demand has also increased steadily. Total transactions recorded increased by 15.8% to 31,535 year-on-year in October 2016, according to INE data.

Speaking to the Global Property Guide, Chris White of real estate agency Ideal Homes Portugal, enthused that "sales have increased hugely this year and we've seen a significant shift in buyer profile as increasing numbers of investors realize the potential of the Portuguese real estate sector."

As far as foreign buyers are concerned, Portuguese property is excellent value for money, even when buying in the Algarve or in Lisbon city centre. While a 120 square metre apartment in the beautiful Algarve may come with an average price per metre of 1,786 euros (October 2016), and a 120 square metre Lisbon apartment costs 2,543 euros per square metre on average (same period), in Madeira the square metre costs just 1,205 euros on average for a similar-sized apartment.

Given how much such a Mediterranean property would cost on the Italian coastline or at the Costa del Sol in Spain, Portugal is remarkably good value for money.

While gross rental yields from Algarve-based apartments are quite moderate, ranging from 3.5% to 3.8% (Global Property Guide data from September 2016), Lisbon's apartments saw gross rental yields ranging from 5.4% to 6.2% last autumn. The country's economy has continued to improve since then, and rental yields have followed suit.

Perhaps surprisingly, smaller apartments remain the most profitable in the rental sector. An average one bedroom, one bathroom apartment with just 50 square metres of floor space in Lisbon sees rental yields of ca. 6.32%. By contrast, according to Global Property Guide research, a 250 square metre apartment returns merely 4.5% in rental yields.

Lisbon villas are also a good investment for buy-to-let landlords. Here rental yields ranging from 5.45% to 6.05% were recorded in September 2016, and have steadily gone up as entrepreneurs and digital nomads are relocating to the Portuguese city. Again, larger villas have smaller rental yields.

In Lisbon, the average apartment can be rented from ca. 12 euros to 14 euros per square metre per month, which means the average 120-square metre apartment can be rented for ca. 1,434 euros per month, while the average villa with 450 square metres rents for ca. 4,185 euros per month or between 9.00 to 11.00 euros per square metre.

At the Algarve, meanwhile, rents range from 4.00 euros to 6.00 euros per square metre per month, which means a rental income of ca. 620 euros from a 120-square metre apartment. As Algarve villa prices are also just 6.00 euros per square metres per month, an average sized 300 square metre villa will bring in ca. 2,356 euros per month.

It is possible to buy a 2-bed apartment in Lisbon for around 355,000 euros, although luxury apartments with three or four bedrooms are likely to cost around 1,225,000 euros in central Lisbon.

By contrast, a 4-bed villa in Obidos can be had for just 695,000 euros, and a 3-bedroom villa in golfers' paradise Vilamoura in the Algarve can be as little as 495,000 euros.

It should be noted that recently Portugal's President Antonio Costa proposed that indirect taxes and levies on real estate should be raised this year to help pay for better pensions and civil servants' salaries. As part of these new tax measures, he suggested a raise in property taxes for real estate costing more than 600,000 euros. The proposed tax increases are controversial and it is by no means certain that they will be approved by the Government, as they are apt to put off foreign investors.

Following an almost meteoric rise of property sales and house prices over the last two years, Hungary may see a slowdown of both this year.

Hungary's capital Budapest is always the benchmark for what's going on in the housing market as a whole. In 2015, mortgage lending for resale homes increased by an amazing 36.% and permits for new builds increased by 38.8% in a year-on-year comparison during Q1 of 2016. According to figures collated by the Hungarian Central Statistical Office (KSH), the average price of both resale and new properties in Budapest rose by 15.53% year-on-year in Q4 of 2015, a stunning turn-around for a property market that all but collapsed in the wake of the 2008 world-wide economic crisis.

However, indicators are there that the housing boom is coming to an end now. The first quarter of 2016 already showed a sharp slowdown of Hungary's GDP with a mere 0.9% growth year-on-year. That was the slowest growth rate for three years, according to KSH, with a weakening construction and industrial growth rate responsible for the slowdown.

In 2017, the OECD's economic outlook for Hungary has been revised downwards from an optimistic 2.4% to a modest 1.6%.

Non-Hungarian buyers must gain the approval of the relevant Administrative Office before they are permitted to buy a property as a private individual. This process can take between two to three months, but is regulated and therefore not permitted to drag on too much. According to Hungarian property law, real estate purchases must be concluded through private contract or purchase agreement that is countersigned by a solicitor.

Most Hungarian solicitors will advise foreign buyers to set up a company that is registered in Hungary to make it easier to buy a property. In such circumstances, a permit is not required, which makes the whole property purchase a lot easier and quicker. It takes only one or two days to set up a business, and all such set-up expenses can be written off.

Hungarian law requires that real estate purchases shall be concluded through private contract (purchase agreement) countersigned by a lawyer. Non-Hungarian citizens are further obliged to gain the approval of the relevant Administrative Office in order to purchase property as a private person. According to regulations most foreigners should receive a permit within 2-3 months.

Most lawyers advise foreign nationals to set up a company registered in Hungary in order to purchase property. In this case, no permit is needed. This is a fairly swift and easy procedure (taking 1-2 days), and all expenses can be written off.

In leafy-green Buda, investors can expect relatively higher rental yields for apartments, ranging from 6.64% to 6.98% (gross) for spacious apartments, and more modest yields for smaller apartments, according to research conducted by Global Property Guide in July 2015.

In Budapest's less green side, in Pest, where the city's commercial heart beats, apartments provide investors with more moderate rental yields, ranging from 4.75% to 6.15% (gross), depending on the size of the apartment.

In 2015, renting an apartment in Buda cost between 9.00 euros to 10.00 euros per square metre, while tenants had to pay 10.00 euros to 11.00 euros per square metre in Pest.

Budapest's student population is ever hungry for accommodation at the start of term, and this year is no different. This year's rental values are expected to go up by between 5% and 10% in the student dwelling segment of Budapest's rental market.

A 250,000 euro investment still buys quite a lot of "dwelling" in Budapest, and demand for rental property is still high. A modern, well appointed two-bedroom apartment in Budapest's District 8, for example, can be purchased for around 95,100 euros, offering tenants 86 square metres of floor space near the city centre. In District 7, however, a modern one-bedroom apartment with just 72 square metres of floor space will come at an asking price of around 103,600 euros.

So while the rest of the country may see a slowdown in both house price rises and sales transactions, investors buying one- and two-bedroomed apartments with the view to letting to students should enjoy good rental yields in the medium to long-term.

Young Londoners fed up living at home and in search of affordable housing are turning their backs on the expensive metropolis, now looking to Worcestershire and Northhants for their first step on the property ladder. As a result, any area within an hour's commute is now experiencing a mini boom of house sales.

Worcester News reported that house prices in Droitwich, Worcester, Malvern and Pershore rose much faster than in other parts of the country, with Malvern emerging as a hot spot for house sales. In some parts of Middle England, house price growth is now double the national average.

In Worcestershire, year-on-year (August 2016 to August 2017) house price growth currently stands at around 7%, and rising. According to property portal Rightmove, the "hottest markets" are currently those of Derbyshire, Northamptonshire and Norfolk, where asking prices are going up by 7.9%, 9.1% and 7.4% respectively. Seen across England and Wales as a whole, that is more than twice the 3.1% annual increase for house prices.

Rightmove's own data corresponds to that of the Land Registry, where Malvern comes out as the winner with an average house price increase of 8.9% year-on-year (June 2016 to June 2017). Malvern house hunters saw the average home price rise from £239,523 in 2016 to £260,451 in June this year.

Over the same period, house values in Worcester rose by 5.5%, from £189,775 to £200,289. In Worcestershire as a whole the annual increase amounts to 6.9%, rising from £212,320 in 2016 to £226,897 this year.

Land Registry figures are regarded as the UK's most reliable indicator for where the market's headed, as the Registry's figures are based on actual house sale transactions.

Estate agent Colin Townsend, branch manager at John Goodwn in Malvern, believes that there are some signs that the mini-boom is slowing. House prices in his territory may have risen all year, especially for the under £500,000 end of the property market, where it is not uncommon now to get several buyers bidding for the same property. However, Mr Townsend believes it is not going to "continue indefinitely".

With places like Northamptonshire being within an hour's train ride from London, it's not surprising that Londoners are fleeing high prices in the capital for more affordable housing elsewhere. According to Rightmove, asking prices in Northamptonshire rose by 2.2% this August, increasing to £256,642 for the average home.

In Greater London meanwhile, house prices have fallen by 1.9% in August and by 1.6% on an annual basis, bringing the average asking price for a London home to £629,270. Across England and Wales as a whole, house price values dropped by 0.9%.

Rightmove's director and housing market analyst, Miles Shipside, said: "The heat has come off much of the market. A combination of traditional summertime price blues and the chill of uncertainty in the air has cooled house price growth in some parts of the country and affordability remains very stretched."

He added that the average house price in Derbyshire for example was £200,000, that's less than one third of the average house price in London. No wonder therefore that property investors are looking towards the Midlands, where returns are far better.

Shipside said: "With a shortage of suitable choice in many parts of the country, buyers are becoming increasingly adept at hunting down property that fits their budget."

Adam Wellesley, director of Horts estate agents in Northamptonshire, said the growth in property prices in his area was “likely to be down to the close vicinity for commuters to get to London Euston, as you can now get there within 48 minutes. You can also get to Milton Keynes by train in 10 minutes, where prices are 20% higher than Northampton."

He pointed out that the buy-to-let property market was also booming, as investors were still able to get returns of up to 10% on properties of multiple occupancy.

Last autumn, Italian house sales increased by nearly 17%, following on from a strong performance in the double digits in the first half of 2016. Summer 2016 saw the highest number of completed house sales for four years, a picture that could be seen across the country, not just in the hot spot Tuscany, which is still the preferred destination for foreign buyers.

Northern Italy especially surprised housing experts by getting more attention than usual from investors. Both Milan and Genoa saw the biggest increases among Italy's main cities, although generally speaking, it is still villages and small rural towns that attract most foreign investors.

The higher end of the market has been particularly lively. One Italian property website stated a rise of 67% in the number of searches its users made for residential property costing more than 1 million euros.

But it's no longer British buyers leading the trend - Germany's investors are currently the ones showing the greatest interest in the luxury end of Italy's residential property market, followed by investors from the USA, Switzerland, UK and France, Belgium, Netherlands, South Africa, Sweden and Canada.

Any type of luxury property is of interest, not just newly built luxury city apartments or high end conversions of historic properties. Palaces, mansions, villas, even castles are among the searched items, according to Italian estate agents. Rustic farmhouses with plenty of land attached as well as properties along the Italian Riviera are all of interest to high end house buyers.

Tuscany, however, is still the region every foreign buyer seems to look at first. Blessed with stunning landscapes filled with verdant vineyards and olive groves set against a backdrop of mountains, Tuscany has a wide range of property to offer, from traditional farmhouses with sweeping views to palazzos, mansions and luxury apartments in Tuscany' gorgeous historic cities.

Foreigners are now also looking to Puglia, Sardinia, Lombardy and Liguria for their property searches, as these regions offer more affordable Italian apartments and relatively cheap Italian farmhouses, although there is also a noteworthy luxury market in these areas.

According to Luca Dondi, Nomisma's general manager, who was speaking to the Global Property Guide, "the general tendency remains positive" for 2017's house transactions. He even predicts a 7% increase year-on-year for 2017 for sales.

House prices, however, have not recovered from their 2008 crash as much as expected. For eight years running, prices fell by ca. 16.9% from quarter three in 2008 to quarter four in 2016, according to the European Central Bank.

In the first quarter of this year, prices for Italian resale homes fell by 5.7% year-on-year to 1,869 euros per square metre, according to data collected by real estate website Idealista.it. European Central Bank's own, more comprehensive house price index, however, shows that house prices were up slightly by 0.21% in the year to quarter four 2016, but when adjusted for inflation, this melts away to an overall house price drop of the index by 0.01%.

Venice, not Rome, boasts Italy's most expensive homes. The average Venice property costs around 4,401 euros per square metre, according to property portal Idealista.it. Florence is the second most expensive hot spot, with an average asking price of 3,440 euros per square metre. Compared to that Rome feels positively affordable with an average asking price of 3,274 euros per square metre, while Naples offers buyers a little bargain at 2,790 euros per square metre.

Other hot spots included Bologna, where house sales rose by 23.7% last year, according to estate agency Agenzia delle Entrate, and Turin, which lead with sales growth of 26.4% year-on-year in 2016. Milan's sales transactions rose by 21.9%, while Genoa's real estate sales grew by 22.9%. Rome and Palermo, on the other hand, saw relatively modest increases in home sales of 10.6% and 9.2% respectively.

Overall, Italian residential property sales rose by 18.9% with ca. 528,865 property sales recorded in 2016. This year Italy's house prices are likely to start surging upwards due to increased demand from both domestic and foreign investors.

Back in April 2017, Bloomberg warned that the hotting up of Sweden's residential real estate market presented an investor risk, because banks like Swedbank and Dansk were overstretching their mortgage lending.

However, when the world-wide recession hit hard in 2008, Sweden's housing market suffered far less than other countries' did. The severe shortage of housing stock and a swift countermeasures undertaken by Sweden's government and central bank meant that Sweden's real estate market did not see a great deal of adverse change.

Olof Manner, head of research for Swedbank, a Stockholm-based financial services group, explained that prices had risen by about 50% since 2008. “I don’t think we have a bubble. But it’s very richly priced.”

He added that there were signs the house price boom was slowing down. Prices rose by 15% in 2015, compared to 2014. By 2016, this growth rate had dropped to 10%, and in January 2017, house price rises were merely 7% higher than they were in the same month a year earlier.

This is mostly due to tough intervention by Sveriges Riksbank, who ordered banks to apply stricter lending criteria when assessing mortgage applicants' debt-to-income ratio. Sweden's government also applied the brakes in June 2016, introducing mortgage amortization rules that force people to pay off their loans faster. Fixed mortgage rates have also gone up slightly.

The government's intervention meant that, from 1st June 2016, mortgage loans exceeding 50% of the property's value have to be amortized - paid back - at 1% every year for the duration of the loan term. Loans exceeding 70% or more of the property's value have to be repaid at 2% annually. This has had a calming effect on the market, but prices are still very high.

Speaking to The New York Times in June of this year, Elisabeth Hallberg, a broker and manager with Per Janson, a Stockholm-based luxury real estate agency, said how it was still a seller's market. “The problem for the real estate agent is not to find buyers; it’s to find sellers.”

She estimated that around 70% of house sale transactions undertaken by her real estate agency in the last 12 months all had multiple offers, and many sellers had actually received an offer before the first "open house" event had even taken place.

Stockholm's most sought-after residential area is Djurgarden, a leafy-green part of the city with lovely villas. Here a luxury apartment can easily sell for between 20 million Swedish krona (about $2,312,640 back in June 2017) and 100 million Swedish krona (ca. $11,563,200).

In Ostermalm, another well-to-do part of Stockholm, luxury real estate prices range from 3 million Swedish krona or $346,896 and 10 million Swedish krona ($1,156,320) at the lower end of the residential property scale. At the higher end, Ostermalm homes can easily command prices of 70 million Swedish kroner (ca $8.1 million) up to 100 million Swedish krona.

Due to the chronic lack of housing stock, Sweden's rental market is strictly regulated and not an investor's dream. Rents are set far below what could provide investors with a reasonable return on their investment, but it is for this very reason that housing stock is now in such short supply, many experts claim. There has been no incentive for developers to build new homes for lease with rental yields being so low.

Industry experts like estate agents, builders and developers and buy-to-let landlords have urged the government to abolish rent regulations and stimulate the construction of new homes by doing so.

Rental yields in newly built properties rose by a modest 3.9% year-on-year in 2015 to an average of 9,200 Swedish krona, according to Statistics Sweden, following from a rise of 1.7% in 2014 and 2.2% the previous year. With such low yields, the rental market has declined sharply over the last 20 years, meaning there are even less homes available for newly arrived tenants. Sweden's residential rental market has in fact developed a thriving black market. Bribes paid to get one's hands on a rental contract for a small apartment in any of the cities can be as much as 100,000 Swedish krona per room.

“Rent controls were supposed to enable people to live in central locations, but now it is having the opposite effect," explains Billy McCormac of Fastighets�garna property association in an interview with Global Property Guide.

McCormac added, “It is almost impossible for immigrants and new arrivals to penetrate this market – it is all about who you know and how much money you have.”

This picture isn't going to change until Sweden's government drops rent regulations in their present form and does what ever it takes to stimulate house building. House price rises will therefore remain robust, even if the market as a whole has cooled off a little.

Property investors from the UK have been advised to look overseas if they wish to collect good returns.

Homes Worldwide recommended that Britons avoid the domestic market as mortgage rates are rising while house prices are falling.

The website has suggested that investing on the other side of the English Channel could be a more lucrative move, as the French market is currently experiencing growth.

According to the website, house prices in France went up by four per cent last year, while their values are about a third cheaper than the UK.

This means that investors could collect the proceeds of capital growth in a relatively cheap market.

Furthermore, Homes Worldwide believes that France is holding firm in the face of global economic problems.

The website said: "The market does not seem to have been affected by the so-called credit crunch that has unsettled the US and UK markets."

This comes after currency exchange firm HiFX said that last year, France accounted for more than a quarter of all the enquiries it received from prospective property buyers.

Foreign property buyers from the UK need to carry out thorough research before buying, experts have said.

According to the Your Mortgage website, purchasing a home in Spain or France can be just as stressful a process as buying in Britain.

Therefore, it has recommended that people who are thinking of entering a foreign market try to reduce the likelihood of encountering problems.

The online portal said prospective buyers need to find out as much information about their chosen market as they can.

In addition, it suggested that people try to avoid letting the prospect of buying a dream home cloud their judgement.

Your Mortgage added: "Dedicated research is even more important when negotiating a sale in another country and, presumably, another language."

According to research by A Place in the Sun magazine , France and Spain are currently the two most popular markets with British property buyers .
 

The conditions that led to the credit crunch will not be allowed to recur in France even as it seeks to extend home ownership, the country's finance minister Christine Lagarde has said.

Speaking about the future of property transactions in France, Ms Lagarde told the BBC : "Expect two conditions - a down payment of 20 per cent of the value of the house plus mortgage [repayments] which will not exceed 30per cent of income."

She added that there is already a good "safety net" in place and there is no sub-prime lending in France.

Those looking to invest in French property may decide it is a safer bet because of the cautious way its banks proceed, preventing the kind of problems seen elsewhere.

Anyone buying a home in France now is likely to get a more appropriate price than in the last few years when some vendors have tried to artificially inflate the figures they were asking for, the founder of French property specialist firm VEF Trish Mason wrote this week.
 

Mortgage lenders in France are still keen on providing homeowner loans to non-residents, it has been claimed.

According to French Mortgage Direct, many of the country's lenders are willing to allow buyers to borrow 100 per cent of the purchase price of a property with a capital repayment mortgage throughout France, deals that were previously only available in selected regions.

Sharon Hill of the firm described the news as "fantastic", adding: "A 100 per cent mortgage will go a long way to help enable the purchase of a French property and could help dreams come true."

She noted that such loans are available at either a fixed or cap and collar rate, with interest starting at 5.3 per cent over a 15-year period on properties priced above 300,000 EUR (263,000 GBP).

Earlier this month French property expert Patrick Joseph described buying property in the country as a "safe investment", noting that interest in the country's housing market still exists despite a recent dip.

An increase in the number of individuals applying for overseas European mortgages is a sign of the rising confidence in the property market, it has been suggested.

Overseas mortgage specialist Conti has reported that March has been its busiest month in terms of applications for almost a year.

The financial services company witnessed an increase of 48 per cent over the period in comparison with previous monthly averages.

Among the more popular destinations for property investors was France, with individuals tempted by the country's accessibility and favourable rental prospects.

Clare Nessling, Conti's operations director, said that falling prices mean that now is a good opportunity for British buyers to enter the market.

"Confidence is definitely growing, but there's also an element of buyers snapping up bargains in traditional hotspots while they have the chance," she explained.

"Even if you're lucky enough to be a cash buyer, it may be worth taking out a mortgage until the exchange rate improves."

Furthermore, potential investors may be interested to note that France is the number one destination in the world for international tourism, according to the World Tourism Organization.

French fixed-rate mortgages have hit historic lows, making now a good time to search for properties in Languedoc-Roussillon and Rhone-Alpes property .

Some mortgage companies are offering rates as low as 3.3 per cent for a 15-year fixed period or 3.6 per cent for 25 years.

John Busby, director at Athenamortgages.com, said: "For UK investors looking for a safe, long-term investment, second home buyers or people looking to relocate to France, there has never been a better time to purchase French property."

He added that borrowing conditions are as good as they have ever been and property prices are well below their peak, meaning property investors can pick up some real bargains.

The firm stated that it has seen a sharp rise in the number of UK buyers looking to take out a mortgage in August, and September promises to be an even better month.

Figures released by Primelocation last month highlighted that established countries such as France are currently dominating property searches.
 

France is proving more popular than ever with investors buying property abroad, according to mortgage firm Conti.

According to the company's figures, the country has a massive 43 per cent share of mortgage enquiries made this year, marking an increase of 12 per cent and suggesting that a greater number of people are looking at Rhone-Alpes property and Aquitaine real estate listings .

Spain was the second most popular nation in terms of mortgage enquiries, accounting for 24 per cent.

Clare Nessling, Conti’s operations director, said: "The percentage of people enquiring about French mortgages has more than tripled over the last two years, and it’s currently out on its own as far as popularity goes.

"Not to be outdone, however, Spain is still holding on strong, and has experienced an increase in enquiries over the last year, despite the negative headlines, and still accounts for a quarter of enquiries received."

She added that the figures suggest people are favouring tried and tested locations when it comes to investing in overseas property.

Last week, it was reported that French fixed-rate mortgages have hit historic lows.
 

Individuals looking to buy property in France may be interested to learn that Paris is the most popular location for British buyers looking for homes in the country, Overseas Property Professional reports.

According to new French statistics, the majority of Brits living in the country have their permanent home in or around the capital city.

One of the primary reasons that Paris remains popular is the good transport links which exist, the news provider claimed.

"Arts, culture, jobs and rental opportunities attract UK buyers and the latest figures from the French statistics office INSEE showing that 135,000 Britons [are] living in Paris," OPP added.

In addition, the tourist market in the country is also attractive to potential property owners, with many buy-to-let investors reporting that there is no 'out of season' time in Paris.

Meanwhile, French mortgage specialist Athena Mortgages said last week that borrowing in the country is at its lowest level since the Second World War.

Average property values in France are expected to experience modest rises throughout 2011, while some regions will see significant increases.

This is the forecast from Leggett Immobilier and the FNAIM, which also noted that mortgage rates in the country are at their lowest levels since World War II.

Real estate in the country has had its ups and downs over the past few years, with considerable falls occurring in 2009 - in some areas by as much as 20 per cent - followed by a period of stability last year.

With this increased stabilisation and with prices now standing at more realistic levels, there has been a rekindled interest in these sectors, Leggett Immobilier added.

Trevor Leggett, chairman of the French-based estate agents, believes that the market lows of 2009 are now a thing of the past.

"I have been selling houses in France for over 18 years now and am confident that the worst of the market is behind us," he confirmed.

House prices in France have increased for the first time in eight quarters, new figures have revealed.

Research conducted by the Federation National de L'immobilier (FNAIM) has found that home values in the destination have started to rise once more following a period of stabilisation in 2010.

Speaking to Overseas Property Professional, Tracey Hudson, sales manager at local agency Leggett Immobilier, said that current historically low mortgage rates in the country will prove to be beneficial for the real estate market.

The expert believes that the French property sector will see "a modest rise in prices throughout 2011 with substantial growth in some hot spots".

Indeed, Ms Hudson also thinks that some UK buyers will choose to buy property in France rather than at home so that they do not risk entering the British housing market too soon.

According to the Global Real Estate Trends report, during 2010 France was singled out as one of the top-performing markets - alongside Canada, Australia, Sweden, Switzerland and the UK.

Despite an increase in perceived risk causing a slowdown in property lending by banks, those looking to buy property in France can still get a good deal.

Athena Mortgages has highlighted the fact that not all banks in the country have decided to increase their margins, meaning that there is still an opportunity to capitalise on competitive lending rates.

"It is interesting that the market is increasing the prices for long term interest rates, indicating a belief in growth and inflation in the medium term," John Busby, director of Athena Mortgages, said.

"The demand for loans for purchases in France is certainly there and it will be interesting to see what effect if any these increases have."

It comes after a report from the European Central Bank claimed that a large number of banks across Europe have steadily declined and tightened procedures relating to property lending.

This is despite many euro-based banks reporting an increased demand for mortgage loans in the last quarter of 2010.