We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
Debate House Prices
In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non MoneySaving matters are no longer permitted. This includes wider debates about general house prices, the economy and politics. As a result, we have taken the decision to keep this board permanently closed, but it remains viewable for users who may find some useful information in it. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide
Property Abroad - Spreading the pain?
alasota
Posts: 13 Forumite
Interesting threads!
Having a conversation with a friend over the weekend, he suggested that the property market in Spain is currently on a knife-edge, and will probably crash imminently. Putting it simply, there are fewer buyers over there that there are here!! AND a hugh glut of properties for sale. I guess the same could be said for other countries where the UK population have spread their 'equity' to purchase holiday homes (don't forget, Bristish people own the greatest proportion of foreign own properties across the EU!).
My question is this - I can't beleive for one moment that our current property pain will not travel across europe - will the same, or greater property crash that, frankly, IS about to happen, be worse in mainland Europe? and if so, how will it affect those countries?
I personally see a lot of construction stopping. Large areas being left to degrade, and some major re-balancing of wealth in these areas. These effects will be felt elsewhere!
PS - also, another friend, FD of a construction company, has said all new constructions on hold, current properties frozen, nothing being sold! 30% of workforce gone! Not looking rosy for them, and this is no small company! I would suggest we are in for a bumpy ride - whatever the PM says!
Having a conversation with a friend over the weekend, he suggested that the property market in Spain is currently on a knife-edge, and will probably crash imminently. Putting it simply, there are fewer buyers over there that there are here!! AND a hugh glut of properties for sale. I guess the same could be said for other countries where the UK population have spread their 'equity' to purchase holiday homes (don't forget, Bristish people own the greatest proportion of foreign own properties across the EU!).
My question is this - I can't beleive for one moment that our current property pain will not travel across europe - will the same, or greater property crash that, frankly, IS about to happen, be worse in mainland Europe? and if so, how will it affect those countries?
I personally see a lot of construction stopping. Large areas being left to degrade, and some major re-balancing of wealth in these areas. These effects will be felt elsewhere!
PS - also, another friend, FD of a construction company, has said all new constructions on hold, current properties frozen, nothing being sold! 30% of workforce gone! Not looking rosy for them, and this is no small company! I would suggest we are in for a bumpy ride - whatever the PM says!
0
Comments
-
Many of the foreign properties owned by Brits were funded from them increasing their UK mortgages.
.... double poo portions for them.0 -
Exactly! There is no value in those properties also, so no getting off any hooks there! It all just seems so bad in so many ways!0
-
Spain is in a much worse position than the UK. There has been a massive building boom going on, such they have built more residential properties than France, Germany & Italy combined. There has been widespread disregard for planning regulations etc. There is now a massive over-supply of property, which makes the UK new build flat situation look good.In case you hadn't already worked it out - the entire global financial system is predicated on the assumption that you're an idiot:cool:0
-
It isn't quite as bad as that. It is like all investments, some win, some lose. It is however true to say that the current situation is having a negative impact on prices abroad and sales. But remember, not everyone is relying on the house prices. If you have bought and don't plan to sell, it doesn't matter too much at all. The biggest issue for overseas buyers is the excahnge rate. But you have to just move with the changes. My rentals are coming in nice and steady, so hopefully my mortgage will still be covered. Thats all that matters to me at the moment.
(note to ones self - DON'T PANIC)unsecured Debts at [strike]August 2007 £79,984[/strike] September £79,579 [STRIKE]Snowballing date July 2013[/STRIKE].
May 2009, £76,772 unsecured debts
DMP started Dec 2008, End date at start 2133!0 -
foreign property in europe will be slightly cushioned by the relative strength of the euro at the moment. Currency fluctuations can go both ways though.It's a health benefit ...0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 353.7K Banking & Borrowing
- 254.2K Reduce Debt & Boost Income
- 455.1K Spending & Discounts
- 246.8K Work, Benefits & Business
- 603.3K Mortgages, Homes & Bills
- 178.2K Life & Family
- 260.8K Travel & Transport
- 1.5M Hobbies & Leisure
- 16K Discuss & Feedback
- 37.7K Read-Only Boards