Although Interest in investing in overseas property is still high but the credit crunch, which is preventing many taking the plunge. Fewer British investors are buying overseas property due to the fact that many of them being unable to sell properties in the UK because of the credit crunch. Without this equity from the sale of a house, they don't think they can fund their dream move and so are putting their move off.'

According to overseas currency specialists hifx.co.uk there is a 30% increase in the number of people enquiring about moving abroad compared with the first half of 2008 but those actually doing so has only risen by 10%.

2007 was a record year for emigration, the fact even more people are looking to move abroad this year shows that there is now a very real desire to escape some of the problems in the UK economy,' said Mark Bodega, director at HiFX.

International removal firm anglopacific.co.uk has detected a similar trend. They have indicated that interest in their international removal services is at a record high, but the number of customers actually moving is down on last year.

Traditionally the British investors expect to find bargains abroad and when they don't they don't buy. 'The current credit crunch is giving the UK buying public false expectations of dramatic price reductions, but this is not really happening quite as expected since most sellers that don’t have to sell, take their properties off the market.

The upper end of the market is suffering more. However, whilst the number of British investors is declining the Russians, Dutch and Scandinavians and Middle Eastern Investors have no such qualms. Many are buying on the French Riviera, in the south of Cyprus and the Costa del Sol or anywhere that bargains exists.