Institutional Investor (February 14)
The “flood of institutional money” flowing into the European property safe havens of France, Germany and the U.K. could impact the markets, potentially increasing asset prices, lowering yields, and leading ultimately to a correction. “Since the 2008 collapse of Lehman brothers Holdings triggered the global economic downturn, these three countries have accounted for about 70% of the $100 billion or so a year of European commercial real estate purchases made by investors, well above the long-term average of about 50 percent.”
Tags: Europe, France, Germany, Property, Real estate, Safe havens, U.K.
Financial Times (December 26)
Buoyed by demand from Asia, London’s real estate market has rebounded, reaching the highest transaction value since the financial crisis. Most of the interest is focused on London, creating “a widening fissure between the capital and the rest of the UK property market.” For that matter, “investment in London has been so heavy that the UK capital alone now represents a larger commercial property market than any single country in Europe.”
Tags: Asia, Europe, London, Real estate, Transactions, UK
The Economist (October 20)
“A big market crash happened 25 years ago this week. The wrong lessons were taken from Black Monday. ” One important lesson went unheeded as both the Internet and real estate bubbles inflated. “Any extended period of rapidly rising prices is an indication of a bubble—and that sadly there is no painless way to clean up the mess after the bubble pops.”
Tags: Black Monday, Bubbles, Internet, Real estate
New York Times (December 27)
“China’s housing bubble appears to be imploding, steel production is falling along with the demand for new construction and real estate developers are tottering, putting banks at risk.” A hard landing in China would be a blow to the world economy. It could also spark a trade war and this could be the “bigger risk” as China tries to prop up its domestic economy by subsidizing exports and discouraging imports.
New York Times (August 20)
Too many people are losing their homes. July marked the 17th consecutive month of over 300,000 foreclosure filings. As houses are repossessed and sold, the real estate market suffers. The New York Times calls on government action “to help Americans hold on to their homes and to stabilize home prices.”
Too many people are losing their homes. July marked the 17th consecutive month of over 300,000 foreclosure filings. As houses are repossessed and sold, the real estate market suffers. The New York Times calls on government action to “to help Americans hold on to their homes and to stabilize home prices.”
Tags: Foreclosures, Real estate, U.S.
