Real Estate: Investment opportunity in 2012
As 2011 draws to an end, the world economy is in an even more uncertain situation compared to a year ago. The Euro economy bloc seems to be falling apart with major countries not agreeing to austerity measures to keep the euro currency strong. Many analysts predict the recession will happen in 2012. With the impending downturn in economies worldwide, many investors who have held on to their money during the booming time are now ready to enter the market and snap up bargains. An investment opportunity that will become apparent in 2012 is the real estate. It has always been regarded as the best asset enhancement class and with falling prices likely to happen, there is no better time to invest. And there is also no better place to invest than in the Singapore property market.
Whilst the recession has forced many British pensioners and expatriates to give up their new lives in the sun along the Costas their numbers have still continued to multiply in other parts of Spain. As on Lanzarote in the Canary Islands the number of official UK residents has in fact shot up by just over 30% since the onset of the credit crunch at the tail end of 2007. According to census data recently released by ISTAC, the Canarian Institute of Statistics.
The last two years have shown just how much an industry can change, evolve and eventually settle into a new type of normality which people have become accustomed to. The UK property market, which has undergone a huge amount of uncertainty (with the new coalition government and the constant threat of “cuts” over the last year) but recent statistics show that there is still plenty of optimism out there.
Despite speculation that this summer could prove tough for overseas holiday destinations all early indicators suggest that Lanzarote in the Canary Islands will be bucking this trend. As foreign tourist arrivals soared by nearly 30% in July, versus July 2009 figures. With both the British and German markets returning highly encouraging figures.
The National Association of Home Builders just released its latest numbers on the housing market. The overall index slumped to 13 from 14, compared with expectations for a slight increase. That’s the worst level going all the way back to March 2009.
For this considering investing in real estate in the US, the figures seem “interesting,” at the moment and another drop in pending home sales does not point to bottom being reached any time soon. According to Mike Larson, real estate and interest rate analyst at Weiss Research:
The number of foreign tourists arriving on flights to Lanzarote grew by just over 5% during the first half of this year. According to figures just released by the Canarian Institute of Statistics (ISTAC), which suggest that this popular holiday destination and overseas investment favourite is starting to recover some of the ground lost during the recession.
More on Tourist Arrivals Up 5% On Lanzarote In First Half of 2010
The recent FNAIM “state of the market” report is at best obtuse, and at worst a deliberate attempt to obscure the facts. As usual – no sales volumes are included in the report, but the tone suggests some panic amongst the membership. The report claims “slight upward pressure on prices in the short term,” but then states that prices fell 1.4% in the first quarter 2010.
More on Property Investment in France :: FNAIM Hedges Their Bets
Existing home sales figures for May were just released. Here’s a recap:
* Existing home sales fell 2.2% to a seasonally adjusted annual rate of 5.66 million in May from 5.79 million in April. That was far worse than forecasts for a sales rate of 6.12 million, and comes on the heels of a 8% gain a month earlier.
Voit Real Estate Services’ San Diego office is reporting an increase in leasing and sales activity across all commercial property types, having completed more than 30 transactions encompassing upwards of 240,000 square-feet for the month of February alone. “Buyers, sellers, landlords and tenants are all gaining confidence that there are good deals to be made right now,” says Chris Wood, Managing Director of Voit Real Estate Services’ San Diego region. “Our team is actively pursuing opportunities for our clients, often representing both sides of transactions. We are seeing the result of rising confidence in the economy and that it is fueling activity for industrial, office and even retail properties.”
More on VOIT REAL ESTATE SERVICES SEES RISING ACTIVITY IN SAN DIEGO COUNTY’S COMMERCIAL MARKET
