Auction and investment property

What is property securitization and why has it taken on an increased importance in recent years? Primarily because seasoned institutional property investors with liquidity problems look to overcome them, especially when they are associated with direct property investment.This is in addition to enabling access to property assets in a more liquid format.

A range of property vehicles have thus been developed across the UK, US and Australia in order to meet the differing legal structures, economic circumstances and tax regimes. A recently released report into the property market profiles the results of two surveys of major property investors in the Australian region; in order to examine more closely the attitudes of investors to property securitization.

Some of the key issues which have emerged from these surveys include the disadvantages and advantages of property securitization, and identification of preferred ownership structures.