British and Irish own 4m homes abroad

New research has found British and Irish citizens own up to 3.81 million homes abroad.

The number excludes time share and fractional ownership, meaning the true total could be higher still, according to research from business intelligence organisation Datamonitor.

Up to 1.21 million of these properties are owned by permanent UK and Irish citizens and residents.

The research found the total overseas property market to be worth £44.4 billion in 2006.

Growth of 13 per cent annually is expected by UK and Irish estate agents between now and 2012 – almost doubling the size of the market, according to Datamonitor.

A growing proportion of overseas property investment growth is being driven by younger buyers – purchasing property as a mixture of property for personal use and investment.

However, over 70 per cent of property owners still claim their purchase was driven by a desire to improve their lifestyle.

While long-term favourites, including Spain, America and France, are still popular destinations for overseas investment, younger buyers are increasingly looking to more exotic markets.

Brazil, Egypt and Croatia are all gaining popularity as buyers look further afield for their property.

The study was carried out between June and September this year, and is among the largest of its kind ever undertaken in the UK and Ireland into the overseas property market.