Quote:
Originally Posted by pornguy
If you guys hold off on buying properties in Cosat and Even here in Baja Mexico, you will see the prices slip some. as things in the US have fallen, the sales are starting to slow in other places. Which means the prices will drop another 10 to 15% and that can make a HUGE differnece. Then you grab something up, but be prepared to sit on it till the markets go back up.
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Can't say for Baja pornguy - that may be more tied to the US just due to geographical location.
As far as CR and the Caribbean area goes, there has been no falling of property values following reductions in the US real estate market. In fact, it has been the reverse so far and prob due to these areas not really relying totally on the US market. Example, - it's kinda surprising that since the Caribbean is just south of the US - there is more Canadian investment there than from the US and this has been the case for decades now (forgetting that land on islands never seems to drop in price irrespective of external factors - prob due to the lack of space)
At the moment in CR, there is just not enough properties or land and much the same on the islands. One of my partners here has had a separate biz in real estate for the last 20 years and several regional offices - she was just commenting that she has no actual land/property for sale in a number of areas - it has all been sold, tho she still has plenty potential buyers waiting. (OK.. You can get property, but it's crazy money or impractical - eg view land with no water in certain areas at $100/sq meter etc - $2.2 mill for 2000 sq ft condo with a view etc. Oddly, these condos are actually selling - two were sold from our exhibition in London earlier this year.)
In theory there "should" be a minor reduction in prices to reflect the weakening US market, tho can't say for sure - demand would appear to be outstripping supply, especially from countries where there is no real estate slump - eg Canada and the EU (the latter is a joke and increasing annually for years now).
Another factor is where real estate is priced in dollars and where the dollar is lower in value - this makes property very appealing to folks from other countries who would not be paying in dollars. Example, - for a individual paying in UK Pounds, a $300K home would currently cost in real terms 150K UK pounds. That same home in the UK would cost, at a minimum, at least 300 GBP ($600K) and more likely around the 400K GBP/$800K level. The same principle applies to folks buying in Euro's etc and this alone is inclined to dwarf any 10-15% elements in property blips.
Would predict the US real estate market will go down a lot further yet for many reasons, but strongly suspect you will not see more than a blip on the screen, if that, where you are - then a constant annual appreciation
