Property abroad: take advantage of the ailing dollar

The weakness of the dollar means that if you want a second home abroad, now might be a good time to buy. And the best place to look is in America’s back yard: the Eastern Caribbean.

Property around the world remains overpriced; but the weakness of the dollar means that for anyone determined to buy a second home, now might be a good time to do so. Not in the US, of course. The weak dollar means that many newspapers are writing about the opportunity to pick up a cheap Florida holiday home, but the US housing market isn't in good shape. The collapse of the subprime mortgage market has led America to experience its fastest house-price slump in 20 years. Prices across the country fell by 3.2% in the second quarter of the year and the data look likely to get worse as the year goes on because of the turmoil in the global financial markets.

But there is still a way for determined property investors to take advantage of the ailing dollar. Several currencies around the world are pegged to the greenback, meaning that these currencies have slipped against the pound too. Although properties are still far from being at bargain levels, a combination of up-and-coming location and dollar-pegged currency can mean an exotic property can be had at a "handy discount", says The Sunday Times. So where are these properties to be found?

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