|
||||||||
|
||||||||
|
European Second Home Prices Wilt in DroughtSpain and Portugal have suffered one of their worst droughts on record this summer, with consequences from empty swimming pools for the tourist to economic disaster for farmers losing their crops and livestock.Roger Munns, Managing Director of Tribune Properties, predicts that property prices in the two European countries could drop as much as fifteen per cent in some areas as more owners decide to put their villas and apartments on the market. ‘For many owners of second homes the original motivation to buy was to have somewhere they could spend time in a relaxing environment. Coupled with the thought of a good investment for the future, the market for overseas homes from buyers in the UK, Germany and Scandanavia has really taken off in the last twenty five years. But soaring temperatures and a strain on the water supply could have consequences for their rental returns next year, which many owners rely on to meet their overseas mortgage. Many holidaymakers want to rent a villa with a pool – but the attraction soon goes if the pool is empty. Some golf courses are having to cut down on watering their greens too, and it won't take a big fall in tourism to mean the difference between breaking even and not being able to meet the mortgage commitments for some overseas property owners. This autumn could see more properties than usual being put on the market, with a consequential fall in prices'. Early warning signs of a potential fall in property prices have already been seen on the Spanish Mediterranean island of Menorca, which has enjoyed better rainfall this year than the Spanish mainland and no water restrictions, but some villas being cut in price by over ten per cent. Water restrictions on the mainland are having an impact on potential villa buyers, with many questioning the value of a swimming pool when they might not be able to use it. Portugal has recently asked Spain for 6 million Euros in compensation, as water levels in the River Douro which runs through both countries fell below limits established in a bilateral agreement,with Portugal coming close to accusing her neighbour of stealing her water. Good Time to Buy ‘For anyone considering buying a property in Portugal or Spain, this September and October could be the ideal time to buy', say Tribune Properties. ‘Unusually many properties were being reduced in price in August, traditionally a good month for sales. We normally see villa and apartment prices being dropped mid September onwards when the tourists and potential buyers are thinner on the ground as some owners are keen to sell and don't want to wait until the following Easter before having a real chance of selling again.' The drought isn't the sole cause of property prices falling add Tribune Properties, saying it has accelerated price falls and come on top of an already poor year for many estate agents in Europe. ‘A good barometer for European property are the tax havens of Monaco and Andorra which don't rely on ‘tourist' buyers, but usually have a steady supply of buyers interested in taking advantage of the zero income tax rate. Andorra is in the Pyrenees and has no water supply problem – but estate agents were twiddling their thumbs this summer waiting for buyers to show – and they didn't. Monaco similarly has had no water supply problems, but has also seen a lack of buyers. The tourists are still visiting the Principality and hotels in Monaco and Monte Carlo have been as busy as ever, but again there is a lack of serious property buyers, and negative property inflation is quite possible in Monaco this year for the first time in a decade. With more property available on the market we would suggest buyers draw up a list of three or four villas they have viewed and liked, and then suggesting to the owners that they would consider buying at fifteen per cent below the advertised asking price to see which ones are prepared to consider it.' Sea Water One possible answer to secure the long term tourist trade and consequential property market is to follow Malta's example of building desaliniation plants, converting sea water to drinking water, sometimes known as ‘reverse osmosis'. The Mediterranean island competes with Portugal and Spain for the attention of second home buyers, and has a healthy tourist industry – despite having no rivers and low rainfall, allowing the island to function normally even in drought conditions. The water from this source can be used for agriculture and ensuring adequate reserves to fight forest fires for example - it might just be the answer too for the swimming pools and golf courses – and would allow a plentiful supply of high quality for domestic use. About the author: For details of hotels in Monaco, Monaco's weather, a map of Monaco, the Grand Prix and direct contact details for the Hotel de Paris, Columbus Hotel and others visit target=_blank>http://www.yourmonaco.com For details of property for sale on the Spanish island of Menorca visit HREF="http://www.propertymenorca.com" target=_blank>http://www.propertymenorca.com and HREF="http://www.menorcaproperty.info" target=_blank>http://www.menorcaproperty.info, for property and real estate for sale in Malta target=_blank>http://www.maltaproperty.info and for real estate in Andorra target=_blank>http://www.propertyandorra.com , real estate details for Monte Carlo and Monaco can be found at target=_blank>http://www.monacoproperty.net Circulated by Article Emporium Why Bulgaria Because no other European country offers better value for your money! Located in South Eastern Europe, Bulgaria is bordered by Greece and Turkey to the South, Romania to the North and Macedonia and Serbia to the West. Its Eastern Border is formed by the beautiful Black ... How to Buy Your First Condo without Getting Burned Well, here I am buying my first condo and boy am I learning alot. First I learned to pick a real estate agent I know or at least one who has been recommended. There are so many behind the scenes deals going on, with some of these realtors, that you can't tell whet... Fix And Flip - A Real Estate Formula Making money with a "fix and flip" property is a great way to make money in real estate. However, it isn't about repairing drywall and planting flowers. It's all about how you do the numbers. People often buy and sell a fixer-upper without a definite plan. They buy a house... European Second Home Prices Wilt in Drought Spain and Portugal have suffered one of their worst droughts on record this summer, with consequences from empty swimming pools for the tourist to economic disaster for farmers losing their crops and livestock. Roger Munns, Managing Director of Tribune Properties, predic... Where To Invest In Real Estate Where should you invest in real estate? If you know an area well, and have enough experience investing in real estate, you can make money almost anywhere. However, there are always places that are better or worse for real estate investments - places that have a better demand/supply... Low Cost Houses - How To Find Them How do you find low cost houses? Look in the right towns,to begin with. Then you can find the houses you like and make an offer. Where are the right towns? Altoona, Pennsyvania still had dozens of homes for sale for less than $30,00 as I write this (2005). I just saw one l... Florida Residents Here's the Secret to Earning 1% Interest a Month for Four Months on Your Money What's the highest interest rate you can earn now in a safe, government-sponsored program? Did you say 4% per year? Wrong! In Florida, for the next 4 months, every real property and tangible personal property taxpayer can earn an effective interest rate of 1% PER ... Fix And Flip - A Real Estate Formula Making money with a "fix and flip" property is a great way to make money in real estate. However, it isn't about repairing drywall and planting flowers. It's all about how you do the numbers. People often buy and sell a fixer-upper without a definite plan. They buy a house... Real Estate Investment - When, What and Where? Like economy and stock market, real estate often runs in cycles of approximately 7-10 years. The value of real estate often goes up for a few years, tops out, keeps flat or goes down for 2-3 years. The availability of low interest rate mortgage and recovery of economy will eventual... Harness the Web to Sell Your Home The majority of people in the UK who are looking to move house use the internet to find properties for sale. So it makes sense to ensure that your property is on the web if you want to sell. If you are with an estate agent, most will list your property on one of the major propert... Real Estate Research - Talk To Everyone Real estate research might start with a look at the U.S. Census information about a town. It can include inspections of specific properties, too. There are many statical tools and information that can help, but don't forget one of the easiest and most useful research tools: talking... Real Estate: Mark Twain's Case for Investing in the Bay Area & Other "Bubble" Markets Mark Twain took a long-term and somewhat philosophical look not only at life but real estate. Looking through Mark Twain's eyes, there's a strong case for continuing to invest in tight real estate markets such as Bay Area real estate. Real estate is always a good investmen... Community Renewal | Low Costs for High Gains Are you concerned with the lowering value of real estate caused by job loss, businesses shutting down and abandoned properties? Despite the economic growth in major cities across North America, smaller communities are facing this downgrading and becoming targets for increa... Pre-Approval Letter – How To Use It To Get Your Dream Home When house hunting, many buyers make the mistake of waiting to contact a lender until after they have located their dream home. As a buyer, you will be in a much stronger position with a seller if you are pre-approved. Pre-Approval Letter To effectively house hunt... Glen Rose real estate market growing thanks to demand for exurban subdivisions. Although most widely known as the Dinosaur Capitol of Texas and for its travel and tourism appeal, Glen Rose, Texas is quickly gaining a reputation as a highly sought after city to live in. As recently as 2004, Glen Rose was voted as America's Dream Town (www.glenrosearea.com), an...
|
|
|||||||
|
||||||||