Property investor John Dolan is among the latest to be drawn to the boom in homebuilding as prices continue to rise and real estate prices in Britain fall.
The former chief executive of the US-based property firm Westfield Group, who sold his company to London’s Grosvenor Group for £1.3bn in 2014, says he has been drawn to “buyers beware” as the housing market starts to wobble.
Dolan says he is “not an optimist” about property investment, but he believes there are plenty of opportunities to profit.
“We’ve been talking about that for some time,” he told the BBC.
“You don’t need to be a millionaire to buy property.
We’re not a household name to buy houses, so the opportunities are there.”
He said the UK was “a good place to be” as property prices have been rising since the Brexit vote.
“You can take a risk on buying in a country where prices have gone up 20% or 30% since the election,” he said.
“If you are willing to take a small loss and put the cash into the property, the returns are huge.”
He added that “there is an opportunity to invest” in real property stocks.
“The property market is about to explode again.
There are lots of opportunities.
You have to understand how to take advantage of those opportunities.”
In recent years, property investment has grown across the globe.
China and India are the main markets for overseas buyers.
The US, Europe and Japan have seen record-high prices for homes.
In Europe, property prices are now higher than they have been since the recession.
The UK has been the hottest market in the UK for a decade.
The country’s property sector has seen an 80% increase in sales since 2014.
The average price of a house sold in England rose by 8% last year, while sales in Scotland rose by 4%.
The property sector is growing in Britain but it is also growing slower than in the US, where the housing bubble is still bursting.
Drake is not alone in his enthusiasm.
“There is no doubt that the property sector can do very well,” said Simon Wren, chief economist at the Institute for Fiscal Studies, a think-tank.
“It’s certainly more robust in terms of the market than it was during the recession and it’s more diversified.
There’s a very strong correlation between growth in real house prices and the growth in property prices.”
He also said there was a risk that investors will be attracted to the US and Europe, where property values are now rising faster than in Britain.
“This is partly because they have the capital to invest,” he explained.
“In America and Europe the capital that’s available is much greater than in Great Britain, and they’re also investing in other sectors like technology.”
Investors are buying more than ever.
UK property is now worth more than $US20 trillion ($25 trillion), according to data from the Office for National Statistics.
Dorsey is confident his firm, Westfield, will make a profit.
“I’ve got good assets in place, I’ve got a lot of money on the books, and I’m confident we can continue to grow our company,” he added.
“I’m also confident that we can attract more investment.”