The internet is now the most common way property investors and home buyers search for new homes for sale, according to research. UK firm Badger Holdings has released details of an investigation into how business is generated, saying the web is now crucial, while only a tiny fraction of transactions are now generated by traditional newspaper advertising.

Figures show around 56 per cent of buyers registered and 41 per cent of all viewings arranged during January 2008 were created by online activity. The firm said only about three per cent of business during the same period came from adverts in local newspapers.

Kirstie Ayres, Marketing Manager, comments:

“Based on the figures, our advertising strategy has changed by rationalising the amount of pages within the local papers and also changing their focus to communicate and build relationships with both vendors and landlords by replacing some of our conventional property adverts with advertorials.

“Our advertorials are now produced monthly and include a variety of useful and interesting information such as market commentaries, tips for landlords or sellers and other local news.”

The firm said whereas space in local newspapers had previously been a “must have”, internet take up among buyers has been quick, meaning agents have had to realign communications strategies.

Sites such as Rightmove and Primelocation have sped the trend, with property investors rather than conventional home buyers also turning to the web.

Dubai developer emyproperty is launching a prime real estate investment opportunity in the growing emirate of Ras Al Khaimah (RAK). The group has sent out invites to an official preview day on June 9th, when property investors will be able to get a close look at the plans for a mixed-use commercial and residential development.

Modestly tagged ‘Gateway to the Moon’, the Bab Al Badr project will feature residential towers including serviced studio apartments, townhouses and duplex apartments. The firm said:

“Through the launch of its new projects emyproperty is aiming to attract greater investment into Ras Al Khaimah, which will further boost the real estate sector within the emirate.

“Ras Al Khaimah is a modern and flourishing destination that can capitalise on its huge tourism and commercial potential.”

Promising “meticilous” planning, the group is hoping to attract property investors from all over the world to an area where real estate prices have risen by 20 per cent annually for the past two years.

Bab Al Badr will see six towers, incorporating a total of 916 residential freehold apartments, 18 townhouses and 260 serviced apartments.

The company added: Bab Al Badr is located only 20 minutes from Ras Al Khaimah international airport and 45 minutes from Dubai.

“The resort will be landscaped to have a tropical look, with coconut trees, flowers, shrubs, stones and waterfalls designed to allow for easy internal and external accessibility flow of residential and visitor traffic.”

Property developers are demanding a 0.5 per cent cut in interest rates to help prop up the slumping UK housing market. The Home Builders Federation (HBF) called on the Bank of England the reduce rates saying Britain faced an

“serious economic slowdown”.

Saying a rate cut was “imperative”, the group warned the housing market has been brought to a halt in the past thanks to higher interest rates. The Bank of England’s monetary policy committee meets on Thursday to discuss rates, but a cut or change of any kind is not predicted.

HBF economic affairs director John Stewart said:

“Previous economic crises have led to housing market slumps, but this time the cart is leading the horse, with the speed and depth of the downturn threatening a serious wider economic crisis.

“We just cannot rely on lessons learnt and solutions based on past downturns as this is a completely new situation in which we find ourselves.”

Federation officials added members had been “shocked” by the downturn, which has seen approval for mortgages fall by 43 per cent. The HBF’s 300 member firms account for some 80 per cent of all new homes built in England and Wales in any one year.