Why Currency and Exit Strategies Matter in Overseas Property Investments

Video description from @notgpodcast

Join us on this episode of "NOTG (Nuggets On The Go)" by PropertyLimBrothers as we delve into the complexities and risks of investing in international real estate. We’ll focus on the crucial aspects of currency risk, interest rates, and market liquidity, particularly highlighting the challenges faced by investors from countries with stronger currencies investing in regions with weaker ones. This discussion will cover how fluctuations in currency value can affect the returns on investment and the additional burden posed by higher interest rates in foreign markets, which can reach 5% to 7% compared to controlled rates like the 3.2% SORA rate in Singapore. We'll also discuss the liquidity of real estate as an investment, considering the ease of entry and exit from the market, and whether properties abroad offer viable resale opportunities. This episode aims to equip potential investors with the insights needed to make informed decisions, evaluating not just the potential returns but also the substantial risks involved in foreign property markets.