Antigua is renowned for having 365 beaches, yet it is just 108 square miles in size, which is precisely why one expert predicts good things for Caribbean property on this island. "There is a finite amount of land available for construction purposes," says Arthur Rooney of The Just Group. "This means excellent prospects of capital appreciation in future years."

Belize is another Caribbean property spot tipped to be hot in 2008 by the experts. However, in this case, it is the government driving forward the local property market. "The government is proactively seeking to encourage tourism and foreign investment," says Charlotte Williams of emerging market specialists Someplace Else. "It's seen as paramount to the future growth of the country's economy – with tourism increasing by 27 per cent over the past five years."

A range of properties are currently being built on this Caribbean isle – from jungle lodges to five star beach resorts. "Prices vary enormously," says Williams. "On average new build condominiums with sea views range from $215,000, and jungle properties in an eco-resort start at £55,000 for a three-bedroom cabana on a quarter acre plot."

It will come as little surprise that Barbados features on a list of Caribbean property hotspots. The World Travel and Tourism Council estimated travel and tourism in Barbados generated over US$1.9 billion of economic activity in 2007 – 43.4 per cent of the total GDP. The future also looks bright – with tourism predicted to grow by 4.1 per cent annually between 2008 and 2017 – and should result in good returns for for buy-to-let Caribbean property investors.

Meanwhile, the Dominican Republic is fast rising the Caribbean property ranks. An impressive 10,000 visitors arriving every day means the Dominican Republic is fast becoming one of the Caribbean's most popular destinations, foreign property investment is at a seven year high, and there is a huge amount of redevelopment and construction underway to help boost the economy and infrastructure of the country. For buyers looking for a long term investment, changes to the law made last year promise a fast track residency programme completed in just 45 days, which should bring even more interest to the country.

Grenada has long been a top stop on the Caribbean cruise circuit, but the plus for property investors here is that more tourists are staying to enjoy longer beach holidays than previously. During the first eight months of 2007 the number of visitors staying over on the 'Spice Isle' increased by 9.16 per cent – translating to a total of 92,901 people in the island's hotel rooms. Caribbean buy-to-let Investors should look to the southwest beaches – such as Grand Anse – within easy reach of Grand Salines airport.

The government of St Kitts and Nevis have a strong hand in whether the Caribbean island will fulfil its 2008  property potential, by improving the local investment climate. The newly created Investment Promotion Agency (IPA) is to direct these improvements.

"The Investment Promotion Agency is geared towards the creation of a highly competitive business environment intended to increase investment inflows," Minister of State for Information Sen. Nigel Carty said.

Saint Lucia may have previously stood in the shadow of its popular island neighbour Barbados, but now it is increasingly emerging as a Caribbean property investment hotspot in its own right. Six new golf courses are planned within 10 miles of the Rodney Bay area, which also saw a new multi-million pound marina development –The Landings – launched at the end of 2007. The private yacht harbour has received awards for 'Best Marina Development Worldwide' and 'Best Caribbean Development' at the Bentley International Property Awards. 

 The second phase of properties on sale at The Landings are on sale, with one-bedroom apartments starting from £304,000.

When an area is opened up by improved access the local property prices are always likely to benefit, and this is no different for Caribbean property on St Vincent. The island will see the completion of an international airport in 2011 and – as a result of this – St. Vincent is expected to experience an average annual tourism growth rate of over 4.5 per cent between now and 2017. The next year may be the time for Caribbean property investors to enter and benefit from these improvements.

The last in our round-up of Caribbean property hotspots for 2008 may be a surprise to some people as we recommend Venezuela. However, to defend this selection, it is the Venezuelan-administered Caribbean island of Margarita that is likely to be of interest . The domestic politics of mainland Venezuela are dominated by the country's domineering President Hugo Chavez, but there are undoubtedly economic benefits to living in an island administered by Venezuela. Petrol prices are around £1.50 for 80 litres – Venezuela is the only country where petrol is cheaper than water. Meanwhile Margarita lies outside the hurricane belt, is said to have two million visitors annually and a $500 million racetrack – construction of which began in October last year – is to hold the inaugural Venezuelan Formula One Grand Prix in future years.

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Article first published 17 January 2008