For the equivalent of €60,000 you can pick up a studio apartment on Margarita Island, off the north coast of Venezuela in South America, which from the outset will pay for itself in terms of rental income, while all the time multiplying in capital value, by as much as 100pc over the next five years, according to local authorities.

The tempting package also comes with 30 days per year for personal use at the property and the entire lot is guaranteed by a European bank at an 8pc yield for 10 years. This should mean that even if current maverick President Hugo Chavez goes off the rails and political turmoil ensues, the investment you have made should remain safe and sound.

Venezuela is overflowing with the riches of its oil. For example a full tank of petrol at home will cost anything from €60 upwards, while in Venezuela it is cheaper than water at $1 for 50 litres. But for such a prosperous society there are still shortages of items such as milk, rice, paper, meat with the vast majority of the population relying on imports. Fishing, tourism and construction are the main industries.

There are no such shortages, however, on Margarita Island, the favoured holiday spot of the wealthy Venezuelans, which is very Caribbean, very beautiful and very cheap, by European standards. Situated 38km off the north shore of Venezuela, west of Trinidad and Tobago, Margarita became a duty-free state in the 1970s and a free port in 1975.

Discovered by Columbus in 1498 with a current population of 420,000, it is bolstered by 2.5m tourists annually, from the mainland, Canada, Holland and Germany, who are attracted by the island's year round sunshine, 50 unspoilt white sand beaches and a low cost of living.

High demand, short supply

However there remains a vast shortage of comfortable holiday accommodation on the island, which has given rise to a merger of The Right Move Abroad and a Spanish development company Immogestion to promote several developments there which they are confident will be in full-time use throughout the year. And demand will expand even further if the island's tender to host a Formula 1 race is successful.

According to Ballinasloe-born Conor Johnson, CEO of the Irish offices of the Right Move Abroad based in Kinsealy, "Margarita is an emerging market with a low entry level that is expected to jump in value over the next five years. We offer a 10 year, 8pc rental guarantee that includes annual maintenance as well as capital growth potential, which is currently running at over 20pc each year. The deal is also underwritten by a European bank."

Situated outside the Hurricane belt, The Right Move Abroad is marketing several different schemes, with prices starting at around €55,000 for a studio unit rising to €250,000 for a two-bed penthouse. The El Aqua Garden Suites are situated just 150 meters from the Playa El Agua, one of the most popular beaches on the island. Comprising 52 apartments over four floors, champion boxer Joe Calzaghe has bought here and the entire complex is due for completion this year.

Not too far away is Caribbean Suites, where one-bed apartments start from €78,600, while on the southern coast El Yaque is considered one of the best venues in the world for wind surfing and is the home of the world championships.

Temptation

Several of the journalists on this trip were tempted by this development, which overlooks the sea and a large nature reserve lagoon and, because of the windsurfing interest, is guaranteed to have surfers flocking there year-round.

On the Isla Coche, a much smaller and less developed island close to Margarita, it is kite surfing that is one of the largest attractions for visitors. The Right Move Abroad is marketing a beach front development on Isla Coche, with 44 chalet-type suites in a courtyard around a five- star hotel. Designed in a semicircle, prices start at €86,000, and it is a wonderful sight watching all the kites and surfers on this charming beach island.

Complete with its own assembly and governor, the Margarita Island government is supportive of these, and other, private developments. There are some 100 projects to build around 4,500 tourist beds on the drawing board, with no restrictions on foreign investments. In fact, the governor there was so pleased to see Irish press visit that he organised police outriders to accompany us on our island tours, which included visits to two national parks, mangrove canals, scuba diving, jeep safaris and excellent food, not to mention a day trip to the stunning Angel Falls, the highest waterfall in the world in the mainland.

One word of warning from this writer, however, is that visitors should, if at all possible, avoid the airport in the capital, Caracas. It was a nightmare with few, if any, English speaking employees and too many over zealous and belligerent officials. The good news is that there are direct flights to Porlamar Airport on the island from Heathrow, Gatwick, Manchester, Birmingham, Amsterdam and Frankfurt. Generally the trip is about nine hours.

Further information from The Right Move Abroad Ireland, 01 866 6168. www.therightmoveabroad.ie

- Cliodhna O'Donaghue