PROPERTY INVESTMENT

With the worry of pensions and job security, it has never been more important to plan for a secure financial future. Most people believe that the best way to do this is to build a diversified portfolio of assets – and that portfolio must include property.

The value of property is driven by supply and demand and there is currently a shortage of housing in developed countries. More demand, and less supply, can mean only one thing over the medium to long term – house prices will rise. Even though there will be short term fluctuations, the future trend is clear.

To be a successful property investor you must have a clear and effective property investment strategy. When to buy? Where to buy? When to sell? How to finance your portfolio? How to buy below market value? What are the risks and how can I manage them? How can I make money in a market that is flat or falling?

1. VOCABULARY: Circle any words you do not understand.

2. PROPERTY INVESTMENT DISCUSSION

Where do you think is the best place to buy property?
What is a common investment in South Korea?
What is the benefit of renting versus buying a home?
What specific risks are associated with buying an apartment?
What effect do you think property developers have on an economy?
Would you cash in on property booms and invest in property?
How important is home ownership to you?
How much does a standard apartment in Seoul cost?
Is there a big difference in price between house prices in Seoul and other cities in the country?
What happens when the rich get richer and the poor get poorer?
Do you make sure that your money is working for you?
What do you think is the best way to invest capital?
Have you ever invested abroad?
Do you have an offshore bank account?
Have you got an investors tip for me? I need all the help I can get!
Does property investment match your investment goals?
How liquid is property investment? How easy would it be to sell if you needed the money right away?
Do you get charged more tax if you own more than one apartment?
Do you hate the taxman?

2. SYNONYM MATCH: Match the following synonyms:

a. expectations..................................................... increased
b. figures............................................................... altered
c. rose.................................................................... falling
d. awesome.......................................................... boosted
e. sagging.............................................................. forecasts
f. worried.............................................................. amazing
g. suffer................................................................. small
h. lifted.................................................................. be affected
i. modest................................................................ statistics
j. adjusted.............................................................. concerned

4. INVESTMENT IDIOM:

As poor as a church mouse: means that you are very poor
The young mother is as poor as a church mouse and she has little money to feed her family.

Below par: Lower than average, below normal, less than the face value of a bond/stock/currency
The government bonds were selling at a price that was below par.

Feel like a million dollars/bucks: To feel wonderful, to feel well and healthy
Although I have been sick for a few weeks I feel like a million dollars today.

Born with a silver spoon in one`s mouth: To be born to wealth and comfort, to be born rich
The new student in our class was born with a silver spoon in his mouth and he has never worked in his life.

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