Though David Cameron, the leader of the conservative party, keeps saying the UK economy is in recovery the evidence really doesn’t bear that out. In recent months economic reports have all been bad news about the UK economy and with the coalition government’s economic blinkers firmly in position, it’s expected that we are going to see a lot more house repossessions in the future as we descend into the verge of a double dip recession. Recent comments point to a total washout when it comes to assessing the coalition’s economic “strategy”. According to the governor of the Bank of England, Mervyn King, the value of workers pay is in the steepest decline since the 1920′s.
More on Massive UK Public Sector Job Losses Likely to Increase Number of Foreclosures
With property values continuing to decline all around the world, one has to ask the question as to which market is the most likely to become an attractive investment destination first. Personally, I think we have some considerable distance to fall still, but that gives the property investor time to give serious consideration as to their next investment. Anyone considering buying property in the USA as an investment should seriously look at Las Vegas with an eye on the future.
More on Las Vegas Real Estate as an Investment – Place Your Bets
French property prices have come down to earth with a bang, according a number of professional bodies, including the French National Federation of Real Estate Agents (Fédération Nationale de l’Immobilier or FNAIM)
More on Property Prices in France – No Soft Landing says FNAIM
Today, Limitless, owned by Dubai World has announced more cuts in it’s workforce and another delayed project in Dubai.
Dubai-based developer Limitless said today that it had cut 7% of its workforce and delayed its $61 billion Arabian Canal project thanks to the real estate collapse in the UAE.
The Indian envoy to the UAE, Talmiz Ahmad says there will be no help for workers returning to India as the global downturn drops demand for unskilled workers in the construction sector in the Emirates.
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The Citi Private Bank report commissioned by Knight Frank shows that the largest drops in residential property prices were in Hong Kong (-26.8%), the Home Counties (-19.4%), London (-16.9%) and Dubai (-19.1%).
More on Property Crash Hot Spots – London Dubai and Hong Kong
An economics professor at the University of Chicago, Casey Mulligan, has just predicted that it is unlikley there will be a commercial property crisis, based on the fact that there was very little over-building in commercial real estate during the boom years.
The Abu Dhabi Real Estate and Investment Show has been hit hard by the global downturn. Exhibitors showcasing their latest projects said yesterday that they are finding buyers hard to come by. The sales staff just about outnumbered the visitors at the Abu Dhabi National Exhibition Center on the opening day.
Norwich Union, who recently changed their name to “Aviva,” have put a freeze on investor withdrawals from their “Norwich Union Unit-Linked property fund.” The excuse they have given is that they do not have any money and want to liquidate some of their assets by selling some of the property into what has to be the worst commercial property market in the last twenty years. Good luck getting your money back if you “invested.” any money in this one.
More on British Property Prices continue to decline and Aviva Freezes withdrawals from Fund
With property values tanking in Dubai, Nakheel have now gone to the trouble of suggesting that David and Victoria Beckham “have shown interest in increasing their property portfolio in the UAE.”
