select one of the 4 FAQs from the list below How can I arrange a site inspection tour Should I invest in emerging or established destinations? The Cape Verde Property market What is the current payment structure for buying with Sambala?

Should I invest in emerging or established destinations?

Investors willing to take on a slightly bigger risk and reap greater returns, investing in property in an emerging tourist hotspot could prove to be a wise financial venture.

Owing to the increasing youth tourism market, highlighted this year by the United Nations World Tourism Organisation, investors are fast realising that the more adventurous travellers of today are the investors in property of tomorrow and many investors are taking the opportunity to invest in emerging markets with the promise of strong capital appreciation and resulting rental returns. The UK property market has become untenable for many looking to extend their current portfolios or for first time buyers.

Increasingly, western European destinations are seeing their rental yield decreasing. Saturation of the market and high taxation legislation in several European countries have severely impacted the rental yields of buy-to-let properties.

Similarly, properties in Florida, USA have seen their value slump in recent months, with the Florida Association of Realtors being forced to admit that sales were "slow" at the start of this year. Sales of single family existing homes witnessed a 27 per cent drop compared to last year's totals, falling from 12,906 in January 2006 to 9,382 January 2007. Even Spain has seen a 10.6 per cent drop in house price value in the past year, proving that the smart money is being spent elsewhere.

Tourism hotspots
A clear indicator as to where the next hot property spot will be is a burgeoning tourist industry and this is one of the main factors savvy investors will look for in an otherwise unheard of location.

In the last two years, the Cape Verde islands, located off the west coast of Africa, have been touted as the next Canary Islands in terms of tourist potential and already developers are clamouring over themselves to secure plots of land in this picturesque location.

Having recently been voted the 10th most stable economy in Africa, in addition to several trade and industry dealings with Portugal - where the islands have many cultural and historical links - in addition to investment programmes with the US, China and the United Nations, Cape Verde is fast becoming a recognisable investment venture for those looking for the next big thing.

In particular, the island of Santiago, which plays host to the Republic's capital Praia and has recently opened an international airport, has been noted for its picturesque beauty and unspoilt landscape and with luxury off-plan properties being sold at affordable prices, several of the developments have been sold already.

The facts:

• Political stability with continuing economic growth
• IMF reports expected growth of 7.7% in 2008
• €1.5 Billion private investment scheduled for next 5 years
• Stable economy
• Currency linked to the Euro
• 12 month holiday season
• Year-round sunshine
• Voted number 1 tourist destination for 2007 by Expedia.com
• Member of the 'World Trade Organisation' from 2008
• Tourism expected to rise to 1 million by 2010
• Tourism contributes 10.5% towards GDP
• Low tax rate (20%)
• Capital Gains tax charged if the property's value has increased by 30% or more from original purchase price at 3% tax flat rate
• Capital growth of property in Cape Verde expected to be 80 - 90% over five year period

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