Property Investment News Around the Globe

The International Herald Tribune reports that Robert Falor, the so-called “condo-hotel king” of Miami is defending himself against lawsuits that he mis-managed clients money. His attorney says it is all a mistake, and the “nearly bankrupt,” Falor is actually the victim of a “flawed business strategy.”

This defense is unlikely to make him very popular in certain circles.

International Real Estate Investment reports on a 56-acre piece of downtown Las Vegas up for sale at “50% below January 2007 appraised value.”

We are unsure if that is a bargain or not. You will have to make your own decision as to whether Las Vegas’ real estate values have bottomed out just yet.

Although, the Financial Times thinks not. According to a recent report from a leading British Motgage provider, the credit crunch will last at least another 18 months, and British property prices will remain stagnant, with lending institutions struggling to find funds.

Nubricks thinks Tunisia is the next up and comer in the African property investment market, and describes it as the Dubai of the Mediterreanean. Once again, you will have to make your own decision as to whether the credit crunch will have any impact on that market.

The US treasury department pulled the plug on Fannie Mae and Freddie Mac and announced it would put Freddie Mac and Fannie Mae under strict federal control and may invest up to 100 billion dollars in each group. This news caused stock prices to soar, the market now secure in the knowledge that no matter how badly the banks screw up, the government will step in a use US taxpayers money to bail them out. There is a word for this and the word is -

Communism

The Wall Street Journal is reporting that the rate of U.S. home mortgages overdue or in foreclosure rose again in the second quarter as housing markets weakened, particularly in California and Florida, and more borrowers defaulted on so-called prime loans.

Further afield, the New Zealand Herald is reporting brisk sales of apartments in Auckland as rock-bottom prices are being accepted by desperate sellers. Not quite as badly hit as some US markets, prices are down considerably.

Dubai is in for a sharp correction in the real estate sector reports Zawya. Arabic only this link.