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Real Estate Briefing - Archive | November, 2010

Commercial property tax is Canada’s ‘cash cow’

Posted on 30 November 2010 by Laxman  |  Email |Print

From Theglobeandmail.com: Canada is the world’s most expensive country in which to own office towers, at least when it comes to how deeply taxes cut into profits. Taxes on commercial property rents in Canada are a “massive” 53 per cent of total income, according to a study by international tax advisory firm Taxand. The United States, the next highest country on the list, taxes its commercial property rents at 41 per cent.
“The alarmingly high total tax rate in Canada is largely the combined result of high levels of both income tax, which stands at a rate of 30 per cent, and real estate tax at 3.6 per cent,” the study concludes……………………………………….Full Article: Source

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Canadian housing more affordable last quarter

Posted on 30 November 2010 by Laxman  |  Email |Print

From Ctv.ca: Royal Bank of Canada says the cost of home ownership was more affordable in the third quarter, thanks to a drop in mortgage rates and softer house prices since earlier in the year.
The bank’s affordability measure shows how much pre-tax income is required to service the cost of mortgage payments, property taxes and utilities for the home……………………………………….Full Article: Source

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Apartment rents set to rise, fueling inflation: NAR

Posted on 30 November 2010 by Laxman  |  Email |Print

From AFP: US apartment rents are expected to climb next year as the economy recovers from recession, a rise that may fuel inflation, a real-estate industry group said Monday. Multifamily real estate will star in an overall modest improvement in commercial property markets in 2011, the National Association of Realtors said in an outlook report.
NAR said ailing commercial real-estate markets — office, industrial, retail and rental housing — were flattening out after a steep plunge amid the worst recession in decades……………………………………….Full Article: Source

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US: Commercial property vacancies near peak, Realtors say

Posted on 30 November 2010 by Laxman  |  Email |Print

From Bloomberg: U.S. commercial property vacancies may have peaked, led by a rebound in apartment buildings, as an improving economy spurs more demand for space, according to the National Association of Realtors.
“The basic fundamental of rising commercial leasing demand, resulting from a steadily improving economy, means overall vacancy rates have already peaked or will soon top out,” Lawrence Yun, chief economist of the real estate group, said………………………………………Full Article: Source

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U.S. commercial mortgage defaults extended gain in third quarter

Posted on 30 November 2010 by Laxman  |  Email |Print

From Bloomberg: Defaults on commercial property mortgages held by U.S. banks rose in the third quarter, extending a pattern begun in late 2006 when real estate prices were close to a peak, said Real Capital Analytics Inc.
About $604.1 million of loans on office buildings, malls, hotels and other commercial properties went into default in the three months ended Sept. 30, pushing the default rate to 4.36 percent of outstanding loan balances, from 3.41 percent a year earlier and 4.27 percent at midyear, the New York-based real estate research firm said……………………………………….Full Article: Source

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The two sides of commercial real estate

Posted on 30 November 2010 by Laxman  |  Email |Print

From Kiplinger.com: The outlook for commercial real estate is still ugly, though less so than a year ago. After a 40% decline in average property values since August 2007 and a nearly 80% drop in sales volume during the recession, more deals are finally getting done. Buyers and sellers are moving closer on pricing.
And a small amount of mortgage-backed debt is again being securitized and sold, providing a trickle of new financing now and the hope of a steadier stream in the future……………………………………….Full Article: Source

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10 states where home prices have actually risen over the last year

Posted on 30 November 2010 by Laxman  |  Email |Print

From Huffingtonpost.com: The national housing picture is grim, but the local picture isn’t quite so dreary. U.S. home prices fell 1.6 percent in the third quarter and 3.2 percent from the year prior, according to new data from the Federal Housing Finance Agency.
But in a handful of states, home prices have actually registered impressive, year-over-year gains, lead by unexpectedly bustling regions like North Dakota, West Virginia and Louisiana……………………………………….Full Article: Source

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Brazil is popular choice for overseas real estate investors

Posted on 30 November 2010 by Laxman  |  Email |Print

From Propertywire.com: Brazil is currently the most popular country in the world of overseas property in terms of interest, according to a real estate investment consultancy.
The London based overseas property investment consultancy Colordarcy says it is receiving in excess of 300 enquiries per week, but unfortunately only 30% of the leads qualify because of difficulties in obtaining finance……………………………………….Full Article: Source

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More European office markets see rental growth in Q3: JLL

Posted on 30 November 2010 by Laxman  |  Email |Print

From Propertyeu.info: Prime office rents continued to grow during the third quarter, albeit at a slower pace, according to Jones Lang LaSalle’s Q3 European Office Clock. The Office Rental Index rose by a modest 0.7% over the quarter, driven by London, Moscow and Stockholm.
Patricia Lannoije, Head of Research Belux at Jones Lang LaSalle, said: ‘The research also shows that demand for office space decreased slightly over the quarter, but stands 36% higher than a year ago with net absorption remaining positive……………………………………….Full Article: Source

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Insurance companies creep into European real estate lending market

Posted on 30 November 2010 by Laxman  |  Email |Print

From IPE: Insurance companies are beginning to enter the European real estate debt market, although it may take some time before they are as active as their counterparts in the US.
Peter Denton, managing director at West Immo, told delegates at the IPD/IPF Property Investment Conference 2010 that Solvency II regulations would encourage European insurance companies to lend against real estate……………………………………….Full Article: Source

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Hungary ranked among the most attractive markets of Europe

Posted on 30 November 2010 by Laxman  |  Email |Print

From Bbjonline.hu: Germany has maintained its leading position as the most attractive retail market in the Europe, Middle East and Africa (EMEA) region, while Hungary ranked 13th of the same list with 22% of retail brands planning to open a store there next year, according to new research by the world’s leading real estate advisor, CB Richard Ellis (CBRE).
Strong economic growth and a relative lack of international retailers are two of the reasons Germany has been selected as the number one target destination for retailers looking to expand their international presence in 2011……………………………………….Full Article: Source

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UK: House prices fall for 5th month - Hometrack

Posted on 30 November 2010 by Laxman  |  Email |Print

From Thisismoney.co.uk: November marked a fifth month of falling house prices, according to property information firm Hometrack. The research company said the average cost of a home in England and Wales fell by 0.8% during the month, edging down to £155,000. It followed a 0.9% fall in October.
Hometrack also warned that demand from potential buyers dropped at its fastest pace for nearly two years. Estate agents reported a 4.3% fall in the number of new buyers registering, the steepest decline since January 2009……………………………………….Full Article: Source

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UK’s Warner Estate warns of property sector weakness

Posted on 30 November 2010 by Laxman  |  Email |Print

From Reuters: British real estate asset manager Warner Estate Holdings said on Monday that investor sentiment in the property market had worsened as a result of economic uncertainties in the UK and eurozone.
“The improvement in sentiment in the property market in the early part of this year, brought about by increased demand and some capital growth, appears to have waned as the UK economy waits to assess the impact of the proposed government’s austerity measures,” Chairman Philip Warner said in a statement, as the group posted its half-year results……………………………………….Full Article: Source

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IPF research shows UK property ‘not an inflation hedge’

Posted on 30 November 2010 by Laxman  |  Email |Print

From IPE: Commercial real estate in the UK does not provide a hedge against inflation, according to research commissioned by the Investment Property Forum (IPF).
Neil Blake, director of economic analysis at Oxford Economics, told delegates at the IPD/IPF Property Investment Conference 2010 that UK property ultimately benefited from a low inflationary environment and that equities provided a better hedge……………………………………….Full Article: Source

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Developers to be encouraged by optimistic outlook of London occupiers

Posted on 30 November 2010 by Laxman  |  Email |Print

From Europe-re.com: Occupiers in the capital are bullish about their prospects, in an encouraging sign for developers, according to a survey from Cushman & Wakefield. The vast majority (87%) expect business to improve or stay the same over the next 12 months and nearly three-quarters (71%) are looking for growth opportunities.
Nearly four-fifths (79%) predict that their employee numbers will increase or stay the same and two-thirds (70%) expect the general UK economy to improve or stay the same over 2011……………………………………….Full Article: Source

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Accounting rules exacerbate Spain’s property market crash

Posted on 30 November 2010 by Laxman  |  Email |Print

From Iol.co.za: South Africa is not alone in experiencing a severe slump in its residential property market. Bloomberg reports that mortgage bond foreclosures in Spain may triple next year. However, the worst appears to be over in the South African market in terms of home repossessions although house price growth is still erratic.
FNB Home Loans expects the average price of houses to decline next year after an expected increase of 6.4 percent this year compared with last year. Absa has forecast average nominal house price growth of 7 percent year on year for this year and says it is expected to remain low next year……………………………………….Full Article: Source

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Moscow luxury-home rents to rise as wealth spreads

Posted on 30 November 2010 by Laxman  |  Email |Print

From Bloomberg: Moscow luxury-home rents will rise about 15 percent next year as the expanding economy and a government plan to attract foreign technology companies fuels demand, Penny Lane Realty said.
The average monthly rent for high-end apartment is currently about $4,000, according to Vadim Lamin, head of prime residential properties at the Moscow-based property broker. Rents range from $2,000 for a studio to $35,000 for a 600- square-meter (6,500-square-foot) apartment, Lamin said……………………………………….Full Article: Source

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Baghdad needs $100 bln for new homes: mayor

Posted on 30 November 2010 by Laxman  |  Email |Print

From Reuters: Iraq needs an investment of $100 billion under a plan to build a million new homes in the capital and meet a shortfall in residential property for its growing population, Baghdad’s mayor said on Monday.
An eight-month delay in forming a government after a March election has deterred many foreign developers from entering Iraq to take advantage of efforts to rebuild its capital, Saber al-Issawi told Reuters in an interview……………………………………….Full Article: Source

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Emaar chairman says Dubai’s property market set to rise

Posted on 30 November 2010 by Laxman  |  Email |Print

From Thenational.ae: Dubai’s property sector has bottomed out and will spend much of the next two years on the rise, says the chairman of the emirate’s biggest developer. Mohamed Alabbar, the chairman of Emaar Properties, said yesterday Dubai was oversupplied but the situation may correct itself within 20 months, a projection analysts called optimistic given an estimated supply overhang of 80,000 units in the next two years.
“In terms of equilibrium between supply and demand, I feel that’s probably optimistic,” said Richard Paul, the head of residential valuations at Cluttons, a property consultancy……………………………………….Full Article: Source

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Dubai property sector fell by five pct in 2010: official

Posted on 30 November 2010 by Laxman  |  Email |Print

From AFP: The construction and real estate sectors in Dubai have registered a near five percent fall in 2010, a top Dubai government official told AFP on Monday of the sector hit hard by the financial crisis.
“I believe that all the main sectors have registered varying proportions of growth (in 2010), except property and construction which saw a five percent drop,” Sami al-Qamzi, director general of the Dubai department of economic development, told AFP……………………………………….Full Article: Source

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India: Funds continue to play safe with small investments in real estate

Posted on 30 November 2010 by Laxman  |  Email |Print

From Livemint.com: Property analysts say many private equity (PE) funds with a focus on real estate are looking at similar risk-protected deals following several project delays during the downturn.
“The current set of funds are largely domestic capital investors who would help out developers in land acquisition because banks wouldn’t lend towards this,” said Ajit Krishnan, partner, real estate practice, at consultancy Ernst and Young. “Developers, instead of going to individual investors, can approach such new structured funds to raise the money required.”………………………………………Full Article: Source

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Hong Kong’s growing property controversy

Posted on 30 November 2010 by Laxman  |  Email |Print

From MarketWatch: Hong Kong’s property market is facing fresh controversy in the aftermath of the government’s new stamp duty aimed at curbing speculation.
After a series of aggressive analyst forecasts for property prices in the next two years, it appeared as if the government was spurred into action. But it seems to have pleased no one with its 15% stamp duty on all properties bought and sold within six months……………………………………….Full Article: Source

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Taiwan: Majority believe housing prices to rise following elections: poll

Posted on 30 November 2010 by Laxman  |  Email |Print

From CNA: A majority of Taiwanese participating in a survey on the local real estate market felt that home prices would rise in the wake of Saturday’s municipal elections, poll results released by Taiwan Realty Corp. showed Monday.
According to the survey, 52.52 percent of respondents agreed that property prices would rise after the elections, while 22.42 percent of those polled thought property prices would fall and 25.02 percent said they would remain unchanged……………………………………….Full Article: Source

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Australian housing – is it a bubble?

Posted on 30 November 2010 by Laxman  |  Email |Print

From Smartcompany.com.au: Australian housing is not in a bubble but it is very overvalued, and combined with high debt levels leaves Australian households vulnerable should anything significantly threaten house prices. It is a reason for the RBA to tread carefully in raising interest rates.
Poor and worsening affordability will likely lead to soft house prices over the next year or so. Key factors to watch for in terms of the risk of a substantial housing slump are a collapse in China leading to much higher unemployment, excessive tightening by the RBA and a big increase in the supply of housing……………………………………….Full Article: Source

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Interest in distressed sales almost doubles: RICS

Posted on 30 November 2010 by Laxman  |  Email |Print

From Propertyeu.info: The number of countries in which real estate professionals are reporting greater interest in distressed properties has risen dramatically, according to a global report published by the royal Institute of Chartered Surveyors (RICS). Expectations for increased distressed property sales in the coming months are highest in Ireland, the US, Spain, Portugal and Hungary.
According to the results, 20 countries witnessed increased interest from specialist funds in distressed properties in the third quarter, compared to 11 in the second quarter……………………………………….Full Article: Source

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US: Pending home sales are suffering: Market is still moving slowly

Posted on 29 November 2010 by Laxman  |  Email |Print

From Americasnewsonline.com: The housing market has been suffering from the uncertain economy, joblessness and the distorting effects of a home buyer tax credit that shifted sales to late 2009 and early 2010. Realtors say that temporary bank moratoriums on foreclosures also hampered some sales in October.
The index measures housing contract activity. It is based on signed real estate contracts for existing single-family homes, condos and co-ops. A signed contract is not counted as a sale until the transaction closes. Modeling for the PHSI looks at the monthly relationship between existing-home sale contracts and transaction closings over the last four years…………………………………….Full Article: Source

Celebrity homes in US selling at bargain prices

Posted on 29 November 2010 by Laxman  |  Email |Print

From Propertywire.com: Celebrities in the US are selling some of their luxurious properties at bargain prices because they too are suffering from the country’s real estate slump. Singer Sheryl Crow is selling her Nashville mansion at auction after failing to find a buyer at the $7.5 million asking price. She bought the three storey five bedroom house for $6 million in 2006.

It has seven bathrooms, a theatre room, swimming pool, a staff annex, six car garage, a three bedroom guest cottage and a fourteen stall barn and indoor riding arena…………………………………….Full Article: Source

U.S. Looks deeper into foreclosures

Posted on 29 November 2010 by Laxman  |  Email |Print

From WSJ: The Justice Department and other federal agencies have intensified their review of the banking industry’s foreclosure documentation problems, using their powers over bankruptcy proceedings to scrutinize the treatment of troubled mortgages.

A key part of the effort is the Justice Department Trustee Program, the federal watchdog overseeing bankruptcies, which has launched a broad review of Chapter 13 bankruptcy filings by homeowners trying to halt foreclosure proceedings…………………………………….Full Article: Source

Canada commercial continues to strengthen

Posted on 29 November 2010 by Laxman  |  Email |Print

From Themovechannel.com: A strong appetite for retail properties and an active real estate investment trust sector has resulted in commercial real estate investment sales in Canada to do better than in 2009, the latest figures show.

Over US$12 billion in commercial real estate assets had changed hands by the end of the third quarter of 2010, up 57% compared with the same nine month period in 2009…………………………………….Full Article: Source

Europe: Solvency II will spur insurers to increase lending to property

Posted on 29 November 2010 by Laxman  |  Email |Print

From Propertyeu.info: Solvency II will encourage European insurance companies to lend against property, delegates at the IPD/IPF Property Investment Conference were told last week.

Peter Denton, Managing Director at West Immo said: ´Lending on property will, for the first time, become interesting for insurance companies. I spoke to a European insurance company this morning and they have just had a board decision to commit EUR 2.5 bn in new lending to property next year. We will see an increasing number of insurance companies following suit in the provision of debt.´……………………………………Full Article: Source

Property derivatives struggle to grow up

Posted on 29 November 2010 by Laxman  |  Email |Print

From Efinancialnews.com: It is not easy selling property derivatives to institutions nowadays. Not only do the memories of cataclysmic falls in real estate after 2007 remain fresh in many investors’ minds – and indeed still hang around the neck of numerous banks in the US, UK, Spain and Ireland – but for those who take their lessons from Warren Buffett, derivatives will always be weapons of mass destruction.
Property derivatives suffer from another problem. They have yet to even grow out of their infancy. The instrument has just celebrated its fifth birthday and, despite receiving much fanfare, it remains a niche field…………………………………….Full Article: Source

U.K. Home prices decline as property demand drops most in almost two years

Posted on 29 November 2010 by Laxman  |  Email |Print

From Bloomberg: U.K. house prices fell for a fifth month in November as demand for property dropped the most in almost two years, Hometrack Ltd. said. The average cost of a home fell 0.8 percent from October to 155,000 pounds ($242,900), the London-based property researcher said in an e-mailed statement.
Demand for homes, measured by the change in new buyers registering with real-estate agents, fell 4.3 percent, the biggest decline since January 2009…………………………………….Full Article: Source

UK: Homeowners ‘prefer market towns’

Posted on 29 November 2010 by Laxman  |  Email |Print

From UKPA: Homeowners are prepared to pay a £30,000 premium to live in an English market town, research has suggested. A typical property in a market town costs around £231,163, 14% or £29,319 more than the average for the county they are in, according to Lloyds TSB.

It costs more to buy a house in 69% of market towns, compared with buying a property in neighbouring towns, with Beaconsfield commanding the highest premium, with properties selling for 145% more than across Buckinghamshire as a whole…………………………………….Full Article: Source

House prices in Ireland have slumped most in the world

Posted on 29 November 2010 by Laxman  |  Email |Print

From Irishcentral.com: A new survey by the Global Property Guide (GPG) has revealed that house prices in Ireland have declined more than anywhere else in the developed world. Prices are down by 15 percent percent over the year to the end of September.

In June, credit rating agency Standard & Poors predicted that house prices would fall another 10 percent this year, reaching bottom in 2011…………………………………….Full Article: Source

Moscow: Metro construction will open to foreigners

Posted on 29 November 2010 by Laxman  |  Email |Print

From Themoscowtimes.com: Moscow Mayor Sergei Sobyanin proposed on Friday attracting big international firms to participate in construction of new metro lines in the capital, which may be worth up to 1.5 trillion rubles ($48 billion).

“Construction of the metro alone requires 500 billion to 1.5 trillion rubles,” Sobyanin said at a conference, citing his conversation with an unidentified minister. He said that attracting foreign builders would ensure stability in enforcing contracts and improve the quality of work…………………………………….Full Article: Source

Rise in real estate funds targeting UAE distressed sales

Posted on 29 November 2010 by Laxman  |  Email |Print

From Arabianbusiness.com: The UAE is set to see an increase in ‘vulture’ funds targeting the rise in distressed real estate assets coming onto the market towards the end of the year, Arabian Business has learnt.

The Global Distressed Property Monitor, compiled by the Royal Institute of Chartered Surveyors (RICS), found that the number of distressed assets coming onto the market in the UAE increased in the third quarter of 2010 and will increase further in the last quarter of the year…………………………………….Full Article: Source

World’s tallest residential tower will be ready next year

Posted on 29 November 2010 by Laxman  |  Email |Print

From Zawya.com: The 107-storey Princess Tower in Dubai Marina, billed to be the tallest residential tower in the world, will be ready for delivery by fourth quarter of 2011, Emirates 24|7 can reveal. In the same quarter, the 91-storey Elite Residence in Dubai Marina will also be completed and ready for handover, claims Tameer Holding, the developer behind the two towers.

“We are planning the handover of the 414-meter PrincessTower (763 units) and 381-metre Elite Residence (696 units) in Dubai Marina, and Imperial Residence (510 units) in Jumeirah Village South by the fourth quarter of 2011,” company President Federico Tauber told this website…………………………………….Full Article: Source

Indian expats on the prowl for property

Posted on 29 November 2010 by Laxman  |  Email |Print

From Thenational.ae: The Indian Property show drew scores of Indian expatriates over its three-day run as they scooped up second homes and investment properties in their home country. Indian nationals toured the sales stands and chatted with developers at the show, which was at the Dubai International Convention and Exhibition Centre Thursday through yesterday, in their hunt for a bargain.

The event showcased a range of developments, from mid-range apartments in Indian cities such as Nagpur and Chennai to luxury cottages in New Delhi…………………………………….Full Article: Source

India: Why investors need a real(i)ty check

Posted on 29 November 2010 by Laxman  |  Email |Print

From Thehindubusinessline.com: If there is one thing that real estate companies have achieved by getting themselves listed on the bourses, it is to become the favourite whipping boys of the market.
Whether it is the global housing meltdown or the local economic crisis or the government’s Corporate Debt Restructuring package, or the more recent interest rate hikes by the RBI, realty stocks always seem to be at the receiving end!……………………………………Full Article: Source

India: Profitability of real estate sector to remain subdued

Posted on 29 November 2010 by Laxman  |  Email |Print

From Business-standard.com: Percentage completion rule to make its impact felt. Despite a tangible revival in demand in the real estate market, profitability of south-based real estate companies will remain subdued in the next quarter as under-construction projects will take some more time to be recognised in the balancesheet of these companies.
As per accounting principles, revenue of an under-construction project is reflected in the book of a company after a certain degree of completion of the project. Usually, most companies follow the 30 per cent completion trigger to calculate the revenue on their balance sheet…………………………………….Full Article: Source

Property developers China’s worst performers

Posted on 29 November 2010 by Laxman  |  Email |Print

From Forbes.com: The worst performing group on the Shanghai Composite Index this year are China’s property developers, and BNP Paribas says to expect the correction in Chinese real estate prices due to lending curbs and tighter money to intensify into 2011. This is the result of direct government action and it is bound to have a negative impact on the whole Chinese economy.

Private housing accounts for 13% of total investment in urban areas, and home construction accounts for 14% of all workers in urban areas, according to dailymarkets.com. Home construction also consumes around 40% of the steel and lumber produced in China…………………………………….Full Article: Source

Massive Chinese luxury spending shows The real estate mania is spreading

Posted on 29 November 2010 by Laxman  |  Email |Print

From Businessinsider.com: Tiffany results give excellent insight into the luxury market mania. At the flagship US store in New York sales were down 3%. It was up a modest 8% in the US as a whole. Japan was up 2%, but the rest of Asia was up a whopping 24%. Growth for sure, but Chinese consumer consumption is $2 trillion, or one-tenth the size of Europe and the US combined.
I am not quite sure what to make of the 22% increase in Europe. Sales of items under $500 declined, but high end jewelry and diamond sales drive expensive purchases much higher. That, ladies and gents, is the foundation of the luxury boom of 2010…………………………………….Full Article: Source

How big is the Chinese property bubble?

Posted on 29 November 2010 by Laxman  |  Email |Print

From Seekingalpha.com: In times of crisis alternative economic models become more appealing. Since the USA, the beacon of capitalism was the epicentre for the current crisis and the Chinese economy escaped relatively unharmed, there is a certain logic in asserting that the central planners in China have the right economic prescription.

But as James Chanos and others have pointed out, centrally planned economies lead to malinvestment and nowhere is that malinvestment more manifest than in China’s Property market. Consider John Mauldin’s November 24th, Outside the box interview with Vitaliy Katsenelson. Katsenelson compares……………………………………Full Article: Source

“Signs of unsustainability” in Chinese real estate

Posted on 29 November 2010 by Laxman  |  Email |Print

From Benzinga.com: In a massive, 9 digital page New York Times Magazine story on how China can “go consumer”, there’s a bit about the ridiculousness of their real estate market that I wanted to highlight. Regular readers know that I am alternately fascinated by and scared of the Chinese growth story - but it is the most important, market-moving story of our era.
One of the most frightening facets of the Chinese economy concerns their overbuilt real estate, specifically the runaway prices per square foot and the idea that there are ghost cities being built just for the sake of building…………………………………….Full Article: Source

HK property kingpins yielding to Beijing?

Posted on 29 November 2010 by Laxman  |  Email |Print

From Asiaone.com: Fresh moves by the Hong Kong government to rein in property prices suggest that the property developers would be ceding control over to Beijing, said Societe Generale Asian strategist Todd Martin.

‘The really important thing about these new property restrictions is their symbolic nature because what it means now is that Hong Kong property developers have lost their control over Hong Kong,’ Mr Martin told a briefing…………………………………….Full Article: Source

Singapore’s property curbs to sustain market, CapitaLand says

Posted on 29 November 2010 by Laxman  |  Email |Print

From Bloomberg: CapitaLand Ltd., Singapore’s biggest developer, said government measures to curb property speculation are “incremental” and will help the real estate market development sustainably over the long term.

Singapore raised down payment requirements in August for second mortgages and imposed a stamp duty on homes held for less than three years to curb speculation after prices surged. It will sell 17 residential sites in the first half of 2011, matching the record land sales in the second half this year, it said yesterday…………………………………….Full Article: Source

Ho Chi Minh City: Developers struggle as market gloom persists

Posted on 29 November 2010 by Laxman  |  Email |Print

From Thanhniennews.com: The real estate market in Ho Chi Minh City has been hit hard by tightened credit access and new regulations that make it more difficult for buyers to sell their homes.

The investor of a residential project in Go Vap District has decided to delay its launch which was scheduled for mid-November. He said the project had a good location and competitive prices but there were uncertainties about local demand…………………………………….Full Article: Source

Real estate agents support bank reform moves

Posted on 29 November 2010 by Laxman  |  Email |Print

From Ibtimes.com: The Real Estate Institute of Australia (REIA) is supporting bank reform moves saying that the market concentration trend is affecting small businesses and home buyers. Australia’s banking sector is currently under scrutiny, with many criticizing that the four major banks have cornered the market for home borrowers and businesses.
REIA said in its submission to the Senate inquiry that credit unions and building societies must be treated as part of the banking system…………………………………….Full Article: Source

NZ: Reality hits hard for farmers trying to sell

Posted on 29 November 2010 by Laxman  |  Email |Print

From Stuff.co.nz: Farm sales across the country are practically at a standstill, with rural property analysts saying farmers need to be more realistic about what their land is worth.

An anticipated spring sales rush failed to occur, which meant that just 147 farms were sold in New Zealand in the three months to the end of October – a 60 percent tumble from 2008 and an all-time low since records began in 1996…………………………………….Full Article: Source

The bargains and pitfalls of buying U.S. real estate

Posted on 26 November 2010 by Laxman  |  Email |Print

From Teglobeandmail.com: The collapse of the U.S. housing market has been epic. Home prices remain 30 per cent below the peak of May 2006, as measured by the S&P/Case-Shiller Home Price Index.
Unlike stocks, bonds and commodities, U.S. real estate has not had a big run-up in prices since the crash of 2008. It’s one of the few asset classes where bargain hunters might still be tempted to jump in. The values are even more enticing for Canadians due to a gain of more than 30 per cent in the loonie against the U.S. dollar since 2004……………………………………….Full Article: Source

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