International Property News

News from around the world regarding property values and markets. No one could possibly disagree that a major correction is going on across the world. With property prices falling almost as fast as they rose over the last few years, the real question is – when is the time to get back in? Our own feeling is that the government bailouts are going to fail to revitalize the world’s economies and devalue currency already in circulation. We expect real values to continue to decline for the foreseeable future.

Despite the amount of press releases floating around the internet claiming the problem has gone away and prices are rising, the time is not yet. This is a selection of “impartial,” news reports from around the world.

The United Kingdom

UK property sales down 53 percent year on year in September

The number of properties changing hands in Britain halved in September compared to a year earlier, as the fallout of the global credit crunch crippled mortgage issuance, turning the country’s housing boom into bust. Guardian

Wales’ richest property magnate is £20 million poorer

THEY may not generate the same amount of sympathy as struggling families and failing small businesses, but Wales’ biggest credit crunch losers have been revealed. A new list of the wealthiest men in property shows that Wales’ richest magnate is £20m worse off than last year. Wales online

Marks and Spencer to cut dozens of jobs in property scalebacks.

The company said it had started consultations with staff in its property and store design and development departments as a result of its decision to reduce its growth plans but gave no details. Reuters

Asia

Asia Pacific Property Sales Tumble Commercial property sales in the Asia-Pacific region dropped 62 percent in the third quarter as the lending crisis spread, Real Capital Analytics Inc. said. Sales declined to $20.9 billion in the three months ended September from $55.5 billion a year earlier, said Dan Fasulo, head of research for the New York-based firm. Worldwide, property sales dropped 59 percent to $119.8 billion from $292.8 billion. Bloomberg

South Korea to spend $3.8 billion US to prop up ailing consrtuction sector

South Korea said Tuesday it will spend around five trillion won (3.78 billion dollars) to boost the slumping construction industry amid fears of a broader economic downturn. The announcement comes two days after the government announced a 130-billion-dollar package to stabilise local financial markets. Channel News Asia

China central government backs property rescue moves

The Central government endorses local government measures to revitalize the property markets, the official China Daily reported, citing Qiu Baoxing, vice minister of housing and urban-rural planning. Qiu said at a forum in Shenzhen that ‘local governments should be allowed certain freedom in formulating real estate policies.‘ Forbes

Owners in Singapore are dumping luxury condos at hefty discounts

FOR sale: Luxurious multi-million-dollar apartments, not quite for a steal, but with a hefty discount. Stock market losses have forced some property owners to resort to ‘fire sales’ for a quick return to liquidity. And because the property market is almost flat, they have had to let go of their property at huge discounts. Property agent Henry Neo receives one SMS a day from different clients asking him to sell their homes. Mr Neo, who has been a property agent for close to 20 years, said: “The Asian financial crisis of 1997 and this crisis are real challenge” AsiaOne Business

Europe

Sales of holiday homes in France plummet

The number of Britons purchasing property in the Dordogne has halved in recent months, with the financial crisis turning the dream of owning a second home abroad into an unaffordable luxury. Telegraph

Spanish property prices could fall another 50 percent

Real estate prices in Spain could fall as much as 50 percent over the next three years, financial website El Confidencial reported, citing comments by realtor Grupo Inmo’s financial director, Javier Ortiz. Forbes