The ongoing credit crisis is prompting some people to take the plunge and invest in a foreign property, an expert has said.

According to Paul Collins of the BuyAssociation website, foreign property ownership is becoming more and more popular in the UK.

This was partially attributed to economic issues such as the slowdown in the British housing market, as this has prompted some investors to seek potential opportunities overseas.

He added that the credit crunch is also having an effect, as many are losing confidence in the amount of money they have in their UK property.

Mr Collins commented: "When things start to show signs of taking a downturn it can actually steel people into making a decision."

This comes after Exchange Bond predicted that the number of foreign properties owned by British and Irish nationals will increase by at least eight per cent this year.

Overseas property buyers have been reassured that the Spanish market will pick up again in the future.

The Spanish Property Owners Guild said some consumers' confidence in the country has declined as a result of negative media coverage in the market.

However, spokesperson Paul Bradley insisted that all markets tend to go through "peaks and troughs".

He insisted that the fundamentals which support the Spanish property market, such as its easy accessibility and year-round-weather, will ensure that it remains a hotspot for British property buyers.

Mr Bradley commented: "Spain will continue as a popular venue for both holidays and second home ownership."

He added that the market is currently benefiting from growth in the tourist sector, as visitor numbers have gone up by seven per cent in the last year.

This comes after the Association of International Property Professionals revealed that Spain was the most popular foreign market among Britons in 2007.