Real estate

China wants to avoid a property crash

2010-04-11T07:37:00.001-07:00

The Chinese authorities are to require banks to disclose information before the end of June on the quality of their loan portfolios and to take steps to curb the credit risk to land developers, show Sunday Banking Regulatory Commission . The land prices have more than doubled last year in China and in Beijing, some land has reached record prices in recent months when they were bought by state-owned companies whose core business has nothing to do with real estate. The measures represent the latest step in the campaign launched by the Chinese authorities to curb the surge in bank lending and the housing prices, which may lead to an explosion of bad loans.

Real estate: prices flirting again with the highest level

2010-04-07T09:44:00.001-07:00

The former real estate prices rise slightly in Q1 2010, according to Century 21. They are growing very strongly in Paris (+7.4%). Lower prices, linked to the crisis is almost erased.

The figures published today by Century 21, must be examined carefully. First because it is the first market participant to decide on price trends in Q1 2010 (FNAIM will do next week, when lawyers will, themselves, also next week, balance, but in 2009 only). Secondly, because it is a serious player: this network of agencies, selling prices are automatically filled by the field agencies, because these are the prices that are the basis for the commission paid to head network. So do not play with the numbers rising with Century 21. Better, inspectors will even twice a year, check in agencies that prices shown are correct. In these circumstances, we can say that the figures published today are the exact reflection of what happened in the Century 21 agencies in the first quarter of 2010. Can we therefore extrapolate these figures to the whole market? A priori, no, 900 Century 21 agencies weigh only 8% of total business done by realtors. It is however, a good indication of what is happening now on the market until the lawyers tell us more, five or six months.

Average prices per square meter of housing former recorded an increase of 6.97% over twelve months and a positive variation of 0.41% from Q4 2009 and Q1 2010, according to the memo on the economy published today by branch network Century 21. Course of regional disparities. The regions where prices had climbed over the second half of 2009 (+5.6% Franche-Comte, Basse-Normandie 7.3%, Haute-Normandie + 6%, Pays-de-la-Loire 4.5 %) are those where prices have declined most in the first quarter. "In these regions, the market was regulated automatically with, initially, an adjustment of volumes, which resulted in a second step, a rebalancing of prices," says one with Century 21, which concludes that "the dynamism of the real estate market is not so old that moderation of rising prices." They now flirting "with their highest levels, offsetting the decline with the crisis." As a result, Century 21 confirms its forecast earlier this year and reaffirms that the total price in the former should increase by 1% to 3% in 2010, if interest rates do not undergo augmentation.

Transactions on the rise and fall time of sale
"The activity is rising again, and this, whether for the home market or for those apartments," according to Century 21. In volume terms, the network is an increase of 7.86% of transactions at the national level over three months (+38.6% year on year). More good news: the average selling time shortened from 103 days in Q1 2009 to 89 days in Q1 2010, a trend that applies to the flats as for houses.
Very high prices in Paris

Looked at more closely, the disparities are apparent, with Paris, which continues to go it alone. The former real estate prices are "substantial increase, to 11.3% yoy and 7.4% between Q1 2010 and Q4 2009" by Century 21. This marked shift has hurt the market, which recorded a decrease in sales volumes of around 3.6% over the last three months (versus 36.5% a year). "The Paris market is also characterized by an LTV well below the national average (67% against 77.3% for the hexagon), and shorter durations of loans to approximately 16.9% over one year settle at 20.19 years, while they are relatively stable nationwide. This suggests that the Paris market is experiencing a return of more pronounced secondo buyers and AB +, which, being a wait, had abandoned the market in 2009, "says one with Century 21.

The trend is much less marked in the Paris suburbs, "with higher average prices per square meter of 5.4% between Q1 2010 and Q1 2009, and 1.07% between Q1 2010 and the last quarter 2009. By the same logic, the more moderate price developments allows the market "to experience strong momentum: + 42.2% in volume over a year.

New lower rates of housing loans in March 2010

2010-04-06T09:23:00.000-07:00

According to figures published by the Centre of Housing credit / CSA, rates on home mortgages are down again in March 2010 for the third consecutive month.

lower mortgage rates in March 2010Malgré a very slight increase in late 2009, the movement is considerably lower since November 2008, since when mortgage rates fell 155 points to receive a more 4-year low in Q1 2010.

According to the latest edition of the Observatory of financing residential markets, the average rate of a mortgage to purchase a residential property in France will increase to 3.60% in March against 3.64% in February . (3.70% in the nine and 3.53% in the former)

The online broker Empruntis evokes a decrease of 0.10% to 0.15% depending on the times and regions and provides the same "few drops in the month of April, about 0.05% / 0.10%"

The average rates appear to:

* 3.65% over 15 years
* 3.80% over 20 years
* 4.05% over 25 years

This rate cut should again offset the slight increase in prices recorded by the former Fnaim in February 2010.

Real estate business: advantage to tenants ...

2010-04-05T02:32:00.000-07:00

In 2009, tenants have benefited from accompanying measures implemented by donors to help them overcome difficulties related to the financial crisis.

To keep tenants willing to make the keys, owners may grant rent reductions, deductibles, arrangements, renovations ...

The tenant companies have indeed been many having to reduce their expenditure on buildings because such results at half mast.

To reduce costs companies have reduced their workforce and sought to streamline their implementation.

The owners, meanwhile, adopted preferred long-term strategies to keep their tenants and do not end up with empty buildings.

The rent review is topped arrangements with declines of around 5 to 15%, there were also numerous exemptions granted it to say the months of rent-free for that short-term effect improve the operating results of companies ...

The charges were reduced tenants, maintenance contracts revised downwards ...

All these accompanying measures should be phased in 2010 and the trend may soon again be in favor of owners.

Great Britain: real estate prices have risen 0.7% in March, according to Nationwide

2010-04-03T09:10:00.000-07:00

The UK house prices have rebounded in March, reversing their decline recorded in February, according to the monthly barometer published Friday by the mutual bank Nationwide.

Property prices rose by 0.7% over the month, against a decline of 0.8% the previous month, while reducing their progress on year to 9% after 9.2% in January.

It's better than expected by economists, which projected an increase of 0.2% on month and 8.2% year on year, according to a note from Credit Agricole CIB.

The average price of housing in the United Kingdom is well recovered in March to 164,519 pounds, or about 182,900 euros, Nationwide said in a statement.

According to Martin Gahbauer, the chief economist of the bank, the figures of the last two months reflects the overall stability of the UK housing market.

According to him, beyond the harsh climate which has reduced the transaction this winter, buyers seem hampered by the political climate, a few weeks before British general election, expected on May 6

"With political and economic uncertainties particularly important before the elections, potential buyers are acting with great caution," and "if this trend continues, we should see a small number of homes changing hands, but at relatively stable prices" .

The housing market is better

2010-04-03T09:09:00.001-07:00

Realtors? A good indicator of the economy. Today, the stone as the economy heads out from the water, but both of them are not yet fully recovered and remain afloat in midstream. Tails, the good news, leave transactions. This year, Fnaim, the federation of estate agents, believes that the bar of 600 000 transactions could be completed. But the market remains mixed. The nine was widely supported by the success of Scellier law, which allows investors to benefit from a tax of 25% within an investment of EUR 300 000. The former, he, still suffers. Because the coin has two sides. Front side, the bad news, the former has not solved the fluidity necessary for proper functioning of the housing market. Those professionals call the secundo-time buyers, that is to say, households who sell a property to buy another, are still not massively back on the market. In many places and on many products, it is still often difficult to match the expectations of those sellers with buyers.

After a blip like the housing market has gone through, have a good idea of price of goods is difficult. All the buyers and sellers are determined based on their expectations about future price developments. Roughly speaking, professionals assume a status quo prices. The most optimistic recall on certain goods, the most sought increases of the order of a few percent. Others believe that the balance should tilt towards a price reduction. Mathilde Lemoine, director of economic studies of HSBC France, and expects a decline in prices of the old 4% this year. For its part, the Land Bank expects "a drop in prices of 3% in the former and stability in the new." And pout Mouillart Michel, Professor of Economics at Paris X-Nanterre, "there is no risk of sudden fall of the market.

Another less quantifiable changed with the crisis and must be taken into account. In real estate, as elsewhere, households are determined to buy at the right price, to be smart consumers and investors informed. The beating of the heart are more difficult. Today, we buy more with his head than his heart. The ball is still in the camp of buyers. They have attractive credit terms. It is indeed possible for those who have the best records, to find a fixed rate loan over fifteen years to 3.5%. It will be hard to beat. "Interest rates will necessarily undergo one or more increases in 2010," said the broker CAFP. In a market recovering, prices are difficult to read. We publish in this case the numbers of notaries, those of the Credit Foncier Fnaim and according to our tour of France prices in Ile-de-France and its regions. Searched information, necessary but not sufficient. For now, the price changes between a product with and without defects, good or bad situation, are becoming wider. To help you better understand these variations, we have pushed the investigation further. With concrete examples of prices that are resistant and those who decline (page 114) and a tour of France that you can buy if you're lucky enough to have a budget of EUR 500 000 (page 142). On most goods, prices have declined from their level two years ago. But they have not collapsed. In the Ile-de-France, for example, notaries emphasize that "the decline in prices recorded between autumn 2008 and summer 2009 was about 10%. But the downward trend in prices has "interrupted". "On an annual basis, the decline in prices between late 2008 and late 2009 is more than 5.6%," they add. This year they expect a price stabilization. And sounding the alarm. "The resumption of construction of new housing in the private sector is essential to stabilize the market. The shortage of quality housing appropriate to the needs of Parisians is short-term risk of a return of speculation.

The network Orpi evokes a "real recovery, but fragile." A word that recurs in several experts. Mathilde Lemoine and speaks of a "housing demand remains fragile because of imbalances persist. Yet the French like stone. After the fall of shares in 2008, the erosion rate of return on financial investments, many households have even rediscovered the charms of real estate, which enjoys a level of trust greater than financial markets. If market participants, professionals and individuals, are reasonable, it could therefore grown out of this crisis.

The purchasing power of households holding back price increases

In the nine programs are, at least for this year, many to sprout and marketing is well underway (see page 148), and some programs, proponents talk about buyers sleeping room not to miss the opening the sales office. Others talk of bidding on the price of land currently for sale. We find places for runaway phenomena. Sign of fine weather sets found for Real Estate? Nobody dares to translate it well. Because we have not yet met for the recovery that is taking shape into a market stabilized and restored. "A major risk of the recovery is that sellers reflect recovery by rising prices," says Orpi. For the market to find its stride, the sellers should stop dreaming about trees that rise to heaven, and that construction professionals are able to reflect the changing purchasing power of buyers in their projects. In a recent study based on the relationship between prices and incomes, Patrick Artus (Natixis) estimates that property prices are still too high (10 to 15% in France). Today, many proponents say, if prices rise too far, the application will not be there because the acquisition of a home no longer go into the budgets of many households. This constraint incomes and high unemployment limit the potential for price recovery. Managing the crisis will be difficult for the economy as a whole and real estate. This is the challenge of coming months to policies and professionals. For individuals who have the means to, global rates, market and taxation are conducive to a real estate purchase. If they have a project, they have a vested interest in the reality.

Further rate cuts

2010-04-02T05:53:00.000-07:00

The drop rate mortgages granted to individuals by continuing Broker Empruntis.com. Declines in the month of March spread between -10% and - 15% depending on the duration of loans.

The strongest downward adjustments have taken place earlier this month, but the latest lists received are very slight decline indicates the note. The average rates actually report lower levels still at 3.65% over 15 years, 3.80% over 20 years and 4.05% over 25 years. "These exceptional levels are the result of a further decline of almost generalized from our banking partners, 92% of them have implemented cuts to their list" is namely Empruntis.

The broker also notes that banks play the game full of credit with a level comparable to the Treasury Offer (OAT) to 3.40% from 1 April. "The situation is excellent because the time record set in October 2005 with an average fixed rate of 3.60% over 20 years is almost attained.

Empruntis specifies that rates the lowest in the market are also down sharply, with lower rates of 0.10% / 0.15% to 0.20% for the longest time. "The best ones have therefore particularly advantageous terms with a rate to 3.35% over 15 years and 3.60% over 20 years," concluded Empruntis.

Buy in Florida: the costs related to a real estate transaction

2010-04-02T05:52:00.000-07:00

Insurance

This leaves almost no trace of the hurricanes that struck Florida in 2004 and 2005, but residents still get stuck. The cost of home insurance policies has soared. In some cases, from 200 to 400%! Some companies no longer provide in the south and the west coast. Some residents, especially newcomers, should look far to find adequate coverage. As a last resort, they can turn to the insurance company set up by the government in Florida. These increases are visible everywhere and condo fees are sometimes high because of insurance costs immeubles.Le risk of hurricanes is covered by insurance with a deductible of 2% of the "rebuild value" (cost of rebuilding well).

Other expenses

After the devastating hurricanes, many owners had to pay extra for repairs to their building. These are called expense assessments. They can be very high and many owners have had to spread their payments on agreements with their association. The buyer must check with the realtor to find out how, warns Marietta Miller of Canada Realty in Pompano Beach. Some owners have not yet finished paying their dues. "Who can amount to several thousand dollars. "Between one and another property, the amount not paid can make a difference."

Buy is not free

There are no fees of lawyers in Florida itself. The registration fees are paid by the seller and the buyer will pay a tax if it borrows. There is no cadastre in Florida (since there is no notary) is why it is advisable to purchase title insurance to protect against possible shortcomings of the registration . Basically, the costs represent 1.5% of the purchase. In the case of a purchase on credit, the costs represent about 4%.

When purchased, these amounts include:

(Amounts are approximate and in U.S. dollars)

For the seller:

Registration fee $ 600 for every $ 100 000

Title insurance 200 $ 250

Lawyer 500 to 700 $ (optional)

For buyer:

Title insurance: 0.7% of the purchase price

Inspection: $ 300

Cadastral Survey: $ 275

Lawyer 600 to $ 800

If financing through a conventional loan, there should be additional costs.

Taxes

You can deduct a portion of property taxes on the value "estimate" of a property if it is a principal residence. The owner must also be a legal resident of the State of Florida. He must also live in the property before 1 January of the year claiming the deduction. These taxes are about 2% of the estimated value of the property, a figure that varies by county (corresponding to 20% less than market value).

It must provide the following documents:

Title

Evidence of taxes paid on property

Driving license

Social Security Number and if you're not American, a resident card (the green card) for each spouse

A work permit is not sufficient to obtain a tax deduction.

After an initial claim for credit, a renewal card is sent.

Gain on sale:

In case of resale, the U.S. tax on capital gains is 15%. A gain of U.S. $ 100 000, for example, will be accompanied by a tax bill of U.S. $ 15 000. However, a regressive tax credit (which decreases as income increases) can reduce this tax.

In Canada, it must declare the capital gain in the United States. To avoid double taxation, the seller may claim a foreign tax credit equal to the amount of tax paid in the United States.

The truth in real estate prices finally?

2010-03-29T23:24:00.000-07:00

Thus, according to leaks to the press - that Challenges.fr was in fact the first to include the voices of my co-blogger Eric Treguier - National Council of Statistical Information (CNIS) has submitted to the Secretariat of 'State of Housing's report for "a better understanding of the market" real estate. Recall that the latter had replaced this summer as the Minister Christine Boutin was surprised - by the chairman of this committee, Bernard-Worms taking his post to see the weekly headline essentially their property files with one " prices rise again "and another," prices fall "... Hence the urgent request for clarification from the Secretary of State for Housing, also made in an interview with Eric even Tréguier Challenges in the magazine this time !

"There is no statistical tool to deal with extremely reliable goods prices," said Benoist had appeared. Of the 27 proposals supported by this document, the Government has selected four, including the idea of Internet portal that would identify the price per square meter last fifty sales of a given street. The Secretary of State for Housing and could launch an Internet portal that summarizes the latest statistics on housing. Specifically, consumers may access the price per square meter last half sales reached a street anywhere in France. Good. Note that this is indeed what is already - at least for the last current price if the 50 - Meilleursagents.com; a portal, launched in Paris Ile de France, has just opened in France the whole ... and over this magic number is available on a mobile phone just by taking a picture that good!
Returning to the departmental project, it would be the least of things that an institute of official statistics can provide, beside a macroeconomic index certainly essential but fairly useless for the particular information "micro" requested by each user pays Moreover, the Notary a fee when a sale just to collate and make public this really true statistically.
Another good idea from the report-CNIS also already put in place by MeilleursAgents.com (free publicity ...) and also other portals-a "reliability index" prices could be set up and should then be taken the various barometers, such as the Federation Nationale de l'Immobilier (FNAIM) or that of notaries is however very difficult, one might say, because it would mean, probably, he noted, and themselves quality of their work? It is true that the government aims to work on the reliability of real estate is obviously right. "The purpose is mainly to have more results for" assigned during the weekend an adviser to Secretary of State for Housing. We observe ourselves, if I may, that the press has continued, particularly in the latter period marked by the crisis, trying to clarify by actual survey field prices issued by the public and private agencies expected Challenges do ... which just published its traditional spring real estate folder, uses really do this for dozens of reporters to feed its regional editions. With the result of providing its own arrays, the most recent, detailed and accurate reports in the press ...
Finally, the Secretary of State for Housing would provide according Relaxnews accompany notaries "to improve their statistical tool and dissemination of their figures. This little phrase, will probably set fire to the powder ... because this would imply that Benoist Appeared have taken sides in the recent mini-war with estate agents on the quality and / or quantity of information available on prices. Because the real problem is: these prices which are discussed are accurate? The crisis has also revealed not just poverty but the excessive wealth of statistics house prices. Between the price charged by the seller, negotiated with the prospective buyer a real estate agent and he finally signed at the Notary, after planing possibly due to the action of the banks that fund, there are obvious differences are even stronger in times of crisis. Worse, the official statistics issued by INSEE based on data supplied by the Solicitors had not really intended to say how much a home worth today - or at least yesterday, even ava, t yesterday, who are not interested really in a crisis-market, but especially how evolved the price index by type of housing in France full or better in Paris and in some cities. While the criterion of price formation as it is signed by the notary was precisely the variety and / or diversity cases ... So, the end of the crisis will certainly also marked the end of the current system ambidextrous consists mainly of Notaries prices and those of the National Federation of Estate Agents.
Last point: it seems to be concerned that the ad hoc committee convened at the request of the Minister shall not allow more convenient to communicate INSEE figures, possibly enriched with those of the FNAIM for preliminary contracts are signed before the acts? As for other stakeholders including Internet barometers or thermometers their grown, they will be asked to affix a statement indicative prices! But attention to the freedom of the press who must also (and especially) learn and teach the public with reliable data and useful!

Risk bubble on Emerging?

2010-03-26T01:15:00.000-07:00

A bubble in emerging markets is it really fear?

It is true that global growth is driven by emerging markets, whose weight in world GDP will soon be 50%. Alongside the weighting of emerging markets in global financial markets gradually caught up, which should encourage investors from developed markets to rebalance their portfolios to benefit from these regions structurally underweight. For now, their weightings in the indices remain significantly below their weight in world GDP.

The fear of formation of a bubble has its origins in the difficulties to detect: it finds the existence of a bubble until it bursts. As Alan Greenspan said: "Currently, economists are unable to provide a strong reversal of sentiment. A collapse in confidence is generally described as the bursting of a bubble, an event that becomes undeniable to post only. "

The TMT bubble has lasted seven years, after recorded an absolute performance of over 1200%, a cumulative outperformance versus the S & P 500 by nearly 1000% (equivalent to an annualized outperformance of 39%). The Japanese bubble lasted nine years, after recorded an absolute performance of over 500%, a cumulative outperformance versus the MSCI World index by almost 250% (equivalent to an annualized outperformance of 15%). The Asian Tigers bubble lasted three years, after recorded an absolute performance of over 630%, a cumulative outperformance versus the MSCI World Index by over 600% (equivalent to an annualized outperformance of 110%).

We compared this performance with that of emerging markets between 2001 and 2007 to determine if we could describe this latest speculative bubble: the rise of emerging markets has lasted six years, after recorded an absolute performance of over 400% or a cumulative outperformance of the MSCI World index by almost 350% (equivalent to an annualized outperformance of 28%). These performances are quite close to those of a bubble, and if it were a bubble, it has already exploded. But we never saw the formation of a bubble so soon after the breakup of the former.

So you do not feel that these markets are expensive?

In terms of fundamental value, it should be noted that the ratio P / BV (Price / book value, estimated in 2010) has remained broadly in line with historical levels since 2003, compared with estimates of ROE (Return on Equity) 2010. Furthermore, compared to other regions, the emerging market valuations are not excessive given the current ratio ROE. The ratio P / BV is not only a reflection of the value creation, but also the projected growth in the long term. With a ROE equal to that of the United States, emerging markets deserve a better value. It is easy to justify the current valuation of the MSCI Emergent, given its current profitability compared to other regions and because it is based neither on growth nor a hypothetical predictive performance.

On a quantitative basis, the existence of a bubble is not justified by the level, far from excessive valuations, or the dividend yield.

Recently, the Chinese growth and higher inflation expectations have led investors to fear a cycle of monetary tightening more aggressively than expected. Despite good economic statistics more and more analysts are concerned about the situation in China. Investors pessimistic crystallize their attention on China and often compare a hypothetical bubble Chinese Japanese bubble of the late 1980s. Indeed, the Japanese case is interesting because it is the latest example of the structural development of a country that has finally burst the bubble.

Can we baptize China the "new Japan"? In terms of valuations, the PEX 2010, Chinese A shares is estimated at about 18 now, against 70 in Japan during the bubble of the 1980s.

They talk about real estate bubble in China ...

The living space of urban Chinese has increased rapidly, reaching a level close to that of Singapore or Japan (30 m2 per capita). However, property investments are expected in cities: 200 million Chinese migrant workers and renovations are needed on the flats had been built hastily in the early 1980s.

In terms of access to housing, the ratio of the average price of a home divided by the annual income of a household is 10 in China (compared to 4 / 5 in most developed economies and 18 in Japan in 1990 ). Based on income buyers, the ratio is close to that of a developed economy. The main problem is that the offer was for the premium segment while the needs of the general public are not satisfied. In 2010, property investment should remain strong, with growth in double digits. The government has taken measures to curb speculation: limit the ratio of debt buyers, improving bank risk management, increased supply of land and property in smaller cities and housing supply good market.

The risk of Chinese real estate sector is also limited by the method of financing property purchases: the price increase has been fueled by credit expansion, real estate is mostly financed by savings (1 / 4 buyers do not rely on debt).

The risk of formation of a bubble in Chinese real estate market is real but the bubble is far from being effective, it is the Chinese government to manage that risk to prevent the drift of prices. On the other hand, property values have already been corrected and a lot of negative news is already incorporated.

What concerns about the risk of overcapacity?

The risk of overcapacity is another problem China, highlighted by the most pessimistic. Investment in fixed assets accounted for 47% of GDP last year. China overinvestment and wasted it does? The country boasts of having registered the highest growth in twenty years of the variable total factor productivity (TFP). If China was as wasted as the Soviet Union, developments in productivity would be negative. Even in sectors with overcapacity, like steel, the country still operating at a capacity of 72% last year down cycle. In infrastructure, when compared with the situation in the United States a century ago, China, whose area is the same but whose population is three times greater, have 110 000 km of railways by 2010, against 400 000 in America in 1916.

Another way of looking at things is that overcapacity China affects the rest of the world. China is competitive, and markets are increasingly globalized, open a new factory in China will create excess capacity elsewhere in the world, in a country less competitive.

The main risk we identify currently China is the evolution of the U.S. dollar and the increased risk aversion, due to fears by the indebtedness of the states.

China : Container housing

2010-03-23T01:14:00.000-07:00

The high prices of real estate in southern China are pushing people towards a solution far less expensive containers converted into homes, reported Friday's People's Daily on its website.

Whole villages of container began to flourish around Shenzhen, the metropolis near Hong Kong, where a square meter can reach 20,000 yuan (2,000 euros), said the site. In comparison, a container of 18 square meters can be rented for the year to just over 2,000 yuan.

The containers, equipped with kitchens, toilets, bathrooms and windows, its very popular among the migrant workers or students. According to the website of People's Daily, the "fashion" has been launched in cities like New York or London.

U.S. real estate, decline in housing starts

2010-03-21T01:13:00.001-07:00

The starts of homes in the United States fell by 5.9% in February to 575,000 units against 611,000 annualized units in January, according to latest figures published by the U.S. Department of Commerce.

However, housing starts recorded in February remain virtually stable over one year (+0.2%).

As for homes permitted, the number of building permits issued in the U.S. in February fell 1.6% to 612,000 units on an annualized basis, but it remains 11.3% higher than a year earlier.

The housing market will remain convalescent professional in 2010

2010-03-21T01:12:00.000-07:00

The time has not yet resumed and real estate professionals are still in phase of sobering after the euphoria of the years 2007 and 2008. With 18 000 visitors, the crowds at the 21st edition of the international market for real estate (MIPIM), Cannes, from March 16 to 19, was half that in 2008 a record year, and comparable to 2009.

The British and Russian delegations have been significantly reduced, the presence of the Middle East is almost symbolic and the absence of the Spaniards noticed. Attendance at MIPIM is a barometer of the health of the global real estate industry which, since 2008, acknowledged a serious decline. No resounding failure - even if the land Orco Property, very invested in the countries of Central Europe, and under the safeguard procedure, laid off 500 people - but a crisis for low noise, which undermines the morale and projects. A survey from the Royal Institution of Chartered Surveyors, conducted among 1 200 professionals, reveals that 11% of them have lost their jobs over the last twelve months.

The profession hopes that 2010 will be the year of stabilization, before restarting. The consulting firm Cushman & Wakefield predicts for 2010, a rebound of 30% investment in the world is 478 billion dollars, against 362 billion in 2009, a performance especially indebted to Asia. In France, twenty investors surveyed by Investment Property Data in February that provide 11 billion euros will go this year to commercial real estate (cons 7.6 billion in 2009 and 27 billion in 2007). For it is not money that is missing, as in some investors and banks, which begin to pay a reasonable to very low rates and up to 60% of the value of buildings (75% against it two years ago). The insurers have capital to invest. This is the case of Olivier Piani, Allianz Real Estate Europe, said that having 2 billion euros to invest in France, Germany and Italy. It would be acquiring the entire property Capital 8, former head of EDF in the 8th arrondissement of Paris.

UNCERTAINTIES

The fund manager AEW Europe has 3.5 billion euros and UFG 700 million euros, while German open funds themselves, collected 3.2 billion euros net. "The downside is that all these players looking for the same thing: beautiful buildings well located and secure rents, which leads to rising prices," notes Philippe Depoux, Property Manager of Generali France. The money is there, then, but not the love of risk.

Owners of office buildings, concerned about securing their future revenue, were granted to tenants of rent rebates and still expect to decline in 2010, about 7% after 15% in 2009. The concern is shared about the premises, some tenants accuse declines in sales of 10%.

Uncertainty equally among bankers, some not recover their bets in the volume of funds they have in recent years, awarded to real estate (970 billion euros across Europe). These "distressed assets" are present in Spain, looming in the U.S., but still rare in France.

The Fed keeps its interest rates at historically low

2010-03-17T00:17:00.001-07:00

The U.S. central bank (Fed) announced Tuesday, March 16 in a statement it had decided to keep its key rate in force for fifteen months, almost zero, indicating that she also thought to keep rates "very low "For a long time. The central bank confirms the statements of its chairman Ben Bernanke, who spoke of before the House of Representatives February 24, an extremely low rate maintained on a "long period".

"The information received since suggest that economic activity continues to increase and the labor market is now stabilizing, however, noted the Fed, showing more optimism than before. Despite improvements in the U.S. economy, the central bank believes that a rate "extremely low" is likely to reassure markets. Shortly after the announcement, the Dow Jones actually off again on the rise.

The central bank also confirmed that it had completed by March 31 its programs to buy back shares to support the housing market. This mechanism was set up after the bankruptcy estate agencies Fannie Mae and Freddie Mac. The Fed has not indicated its intention to make further acquisitions if necessary, as some analysts lend him for.

Transport boost property market

2010-03-17T00:15:00.000-07:00

The Chamber of Notaries interdepartmental Tuesday presented a study on real estate. Before the arrival of the E line, the effect tram is already in Toulouse.

The Chamber of Notaries interdepartmental presented on Tuesday showing the property in 2009 in Haute-Garonne. "Buyers are more anticipated arrival of the underground line B in Toulouse that the tramway. However, work on line E is beginning to have an effect on property prices ", explains Philippe Pailhes, notary at Toulouse.

Increasingly, the construction of the tramway in fact interested buyers. The Chamber of Notaries moreover observed price increases of 1% in the area of the racecourse, while almost everywhere else in Toulouse, the value per square foot is down.

"An apartment costs an average of 7% less than in 2008 in Toulouse," said Michel Farges. Even if the neighborhoods near a station on line B have lost some of their value in 2009 - "mainly because they were overvalued at the arrival of the subway," says Philippe Pailhes - evolution prices in ten years to beat all records.

Thus, the price per m2 of old apartments in the neighborhood Izards Lalande fell 7% in 2009, but jumped 319% in ten years. A house in the former is sold on average 301 400 euro, not far ahead of the residential area of Côte-Paved, where the average price is 335 800 euros. The Saint-Exupery-Lespinet not served by subway and tram future, loses, in 2009, 18% on the price per m2 for an apartment old.

Canada : Resale of homes - the dope December 2009

2010-01-17T07:49:00.000-08:00

The market for resale houses reached a "record high" in December, which has boosted annual sales above the results achieved in 2008.

He has indeed sold 27 744 units across the country last month, through MLS (Multiple Listing Service). This represents an increase of 72% compared to December 2008. It must be said that while the market had fallen to a floor that had not been seen for a decade.

The markets in Ontario, Quebec, Saskatchewan, New Brunswick and Newfoundland and Labrador have all recorded new highs for the month of December, according to statistics published by the Association of 'Building (ACI).

"In 2009, sales have been slow to start, but finished the year in good shape," said CREA President, Dale Ripplinger. As interest rates are still exceptionally low, it is possible that domestic sales remain near current levels over the coming months. "

Recall that after a sluggish start to the year, the resale market has posted gains in the 2nd and 3rd quarters. But it was really the last quarter of the year makes all the difference with a 59% jump in the number of transactions.

A total of 465 251 houses have changed hands through the MLS system in 2009. "This represents an increase of 7.7% compared to 2008 results, and the fourth highest annual level recorded to date," said CREA. Compared to 2007, however, the annual activity remained lower by 10.7%.

New average price in Canada: 348 840 $

In 2009, the average home price in major Canadian markets increased 5.5% over the previous year to $ 348 840 $.

"The latest statistics from the AIT surely provoke the usual rumors of speculation, said the chief economist at CREA, Gregory Klump. The wisest recognize that most increases occurred recently indicate temporary factors that could disappear by next summer. "

"In the second half of 2010, the price increases probably accuse a significant decline since a year has elapsed since the decline and recovery," he added. [...] The market should regain balance and price increases will be smaller in the second half of the year. "

The real estate regains its momentum

2010-01-17T07:46:00.000-08:00

"After six dreadful months, between September 2008 and March 2009, where our sales have dropped over 50%, we experienced a tremor in the spring, and found a real momentum in recent weeks," welcomes Charles Marie Jottras, Group CEO Daniel Féau, whose turnover in 2009 exceeds 4.5% of that of 2008. Its agencies have Paris alone, made 150 sales of over 2.5 million euros. The Parisian lawyers identify themselves, 450 sales of over EUR 1 million, concluded in the third quarter of 2009, only 81 of which exceed 2 million.

The market has restarted first, because the sellers have their claims seriously revised downwards by at least 10% to 20%. Witness the sale in Paris for 12 million euros, the mansion of designer Kenzo, near the Bastille, which in early 2009 found the buyer - a television producer - at 25% less 9 million euros. New buyers interested in addition to high-end, beyond the 2.5 million euros, with prices dictated by wealthy foreigners.

The Russians, Britons and Americans are much less present than before, supplanted by oil wealth came from Kazakhstan and the Middle East, including Qatar, who have eyes only for the golden triangle of Paris, in the 8th arrondissement. Scandinavians, Belgians and Swiss are also buy a pied-à-terre in Paris, left bank instead. "I also note the return of many French who had to leave their job in finance in London or are just tired of living in Uccle, the suburb of Brussels," says Mr. Jottras.

"The cash is there," Eric Decailly summary, the Paris branch of Engel & Völkers, which has sold an apartment to renovate Haussmann, Place de l'Alma, to 2 million euros, after the seller has agreed a discount of 20%. "But in these circumstances, it must pay cash, without condition precedent to obtaining a loan, and through a company to avoid the withdrawal period of eight days imposed on property sales since the law Solidarity and Urban Renewal ( SRU) of December 2000, "says he.

Wealth is no longer the preserve of businessmen or industrialists hoary. Any young customers, enriched with LBO, stock options and other bonuses, are moving the market. Thus the Haussmann apartments with moldings, high ceilings and open view, is certainly still very popular, and prices that can reach 20 000 euro per square meter.

But these new rich also want modern homes, duplexes, lofts and townhouses, which are sorely lacking in the capital. They sometimes make use of decorators, who improvised their own merchants sell goods and apartments decorated and ready to live with beds made and topped dresser.

"The left bank, and its historic districts, attracts many foreigners and more successful than the right bank - 16th, 17th districts and Neuilly - more palatable to the traditional bourgeois French family, whose budget is, it not unlimited, "said Philippe Chevalier, agency Emile Garcin, who recently sold an apartment overlooking the Luxembourg Gardens at the price of 19 000 m2.

The record prices recorded by notaries in the third quarter of 2009 were affected by the 6th arrondissement apartments, a 214 m2 of seven rooms, located near the Invalides, which has been sold at 5.26 million euros, 24 600 euros per m2, and a duplex of 232 m2, near the Church of St. Thomas Aquinas, yielded 23 710 euros per m2, or 5.5 million. This remains below the 40 000 or 50 000 m2 of 2007 ...

Other goods very popular with foreigners, apartments with concierge services and can, as in a large hotel, tracking down a theater ticket at the last minute to book a restaurant or a launderer awake at night ... "Alas, this type of property is rare," laments Stéphane Imowicz, agency Ad Valorem.

Stabilization of the U.S. housing market

2010-01-15T10:31:00.001-08:00

House prices in the United States remained stable in October compared to September, after five months of increases, according to the Standard and Poor's / Case-Shiller index measuring prices in the twenty largest U.S. cities.
United States

Prices of houses have remained unchanged in October in the United States while economists had forecast a sixth consecutive increase, shows the S & P / Case-Shiller index released Tuesday.

This index, which measures prices in twenty metropolitan areas, remained stable in October after rising 0.4% in September, according to a revised estimate. Economists polled by Reuters expecting an average index rose by 0.2%.

In one year, the Case-Shiller index shows a decrease of 7.3%, while economists were expecting a decline of 7.2%.

Contracts on U.S. equity indices have maintained their gains after the publication of statistics.

China is worried about the housing market

2010-01-15T10:30:00.001-08:00

Housing prices do not cease to rise in China, fueling concerns about an overheated property market. According to official figures, in December 2009, housing prices have increased by 7, 8% yoy and 1.5% compared to November 2009, reports the French newspaper People's Daily.

This surge in prices is becoming increasingly worrisome for the Chinese authorities who fear the creation of a housing bubble. The government had already outlined some steps to make credit less available habitat and prevent real estate speculation.

Moreover, the Chinese central bank has just raised the reserve requirement ratio for banks.

Towards a new record foreclosures in the U.S.

2010-01-15T10:29:00.001-08:00

The American owners thought they had hit bottom in 2009. In 2010, they will still grow. The firm specializes RealtyTract provides more than 3 million foreclosures this year, after 2.8 million last year.

We announced recently, the tsunami caused by the subprime would soon give birth to new wave. According to the American firm taken over by L'Agefi, the probable new record sad part "in a context marked by house prices still in decline and the labor market at half mast.

Last November, another firm, First American CoreLogic, revealed that the rate of borrowers in default amounted to 23% mortgages. Thus, the number "of goods seized amounted to 2.21% of total units in 2009, representing an increase of 21% compared to 2008, and 120% compared to 2007.

Also according RealtyTract, "7 million homes could potentially be offered to the market by banks in the coming months." Side perspective, this is a "very gradual recovery" in the housing market is expected until 2013.

Gone are the days when Americans could boast of their home sweet home ...

Stabilization of the U.S. housing market

2010-01-09T09:34:00.000-08:00

House prices in the United States remained stable in October compared to September, after five months of increases, according to the Standard and Poor's / Case-Shiller index measuring prices in the twenty largest U.S. cities.

Prices of houses have remained unchanged in October in the United States while economists had forecast a sixth consecutive increase, shows the S & P / Case-Shiller index released Tuesday.

This index, which measures prices in twenty metropolitan areas, remained stable in October after rising 0.4% in September, according to a revised estimate. Economists polled by Reuters expecting an average index rose by 0.2%.

In one year, the Case-Shiller index shows a decrease of 7.3%, while economists were expecting a decline of 7.2%.

Contracts on U.S. equity indices have maintained their gains after the publication of statistics.

Resumption of the housing market in Britain

2010-01-09T09:33:00.000-08:00

Housing prices rose 0.4% in December compared to the previous month in the United Kingdom, an increase of 5.9% a year, according to figures released Thursday by the bank that specializes Nationwide. Although prices are still 12.2% below the peak recorded in October 2007, they returned 8.9% since the lowest reached in February 2009.

The United Kingdom had known, like the United States, a housing bubble that made very little available housing prices especially in large cities such as London. The historically low prices and the easing of access to credit, enhanced by maintaining interest rates at 0.5% since March last, explaining that recovery of the housing market in Britain.

However, we must not expect a sustained recovery in housing demand as the market conditions of employment contiuation to deteriorate, households prefer to wait some encouraging signs in this area and turned again to banks for house purchase. According to Martin Gahbauer, chief economist at Nationwide, "it is likely that we will not encounter any significant movement of the estate in 2010, neither upward nor downward.

The UK property is not out of business

2010-01-09T09:32:00.000-08:00

The year 2009 was excellent for buyers able to move liquidity. The number of potential buyers has greatly limited because financial institutions have rediscovered the virtues of caution: the supply of loans has been reduced by two thirds compared to its level before the credit crisis. The sellers have preferred to wait and not to lower their claims, while unemployment rose slightly below expectations. It is therefore quite logical that prices have increased and the volume of transactions has remained limited.

Difficulty borrowing

It seems that the situation evolves. In recent months, buyers have discrete facts frankly, while sellers have instead raised their prices. However, the difficulty to borrow is always greater. If the monthly number of mortgages granted has now reached double its low of 27 424, it is still well below what we knew before the crisis.

Except that the UK economy suddenly revived in 2010, banks do not risk paying too much the amount of the acquisition to borrowers whose monthly payments are too high in relation to their income. Credit institutions are still left too much credit for defects afford. This policy will crowd out the market first-time buyers. As long as unemployment is set loose incidents repayment will increase. The direction of price increase will be hindered or even completely reversed.

However, economic recovery alone would perhaps not in itself restore the situation. If you want to keep inflation in check, it will raise interest rates, thus increasing the burden on borrowers and those who invest in rental housing. So far, the rates of 0.5% they had avoided asphyxia. Any increase in push a number to sell.

The wealthy foreign buyers, who do not need to resort to borrowing, could save the London market. In fact, according to the valuer Savills, the price of high quality assets located in the center grew by over 7% since March, even if he had unscrewed from 23% just before, between 2007 and that month March.

However, this population of buyers will not continue to bear market if London remains an attractive city for rich people. However, according to Savills, this does not seem clear: the United Kingdom should not rely on its capital to exit the housing slump when it is immersed.

Dubai : Real estate has big with the highest tower of the World

2010-01-05T03:39:00.000-08:00

Dying late last year, in doubt, hit by the wrath of financial crises and real estate, Dubai intends to swim a few times still in excess water. Inaugurating today the tallest in the world, the "Burj Dubai, the emirate hopes to regain confidence eroded, but also improve its image in front of foreign powers.

Pushing a bit further the boundaries of architecture and real estate development shining symbol of the emirate, the "Burj Dubai" (or Dubai Tower, Burj meaning tower) now displays for all to see and luxury proportions are matched only by financial debt required for its construction. On top of its 164-storey tower in Dubai allowed to overshadow the Taipei 101 in Taiwan opened in 2004 and previously holding the record for the tallest tower in the world with 101 floors for 508 meters high. If the exact dimensions of the Burj Dubai are still a mystery, its supposed height of 816 meters (more than 2 ½ times the Eiffel Tower) break all the limits of the property.

If the height reached sufficient in itself to arouse the admiration, the excess is everywhere here. At nearly 40 kilometers per hour, two minutes to lift enough to carry visitors to the upper floors, the system will generate essential air conditioning condensation annual equivalent to 20 Olympic swimming pools and window cleaners will not rest because they will not least 6 to 8 weeks to clean up the facade.

Bordering the financial disaster last November, the emirate of Dubai is still facing a property market and construction extremely fragile. The completion of this tower will yet mobilized some 12,000 employees over the last 5 years. Pharaonic project if any, the overall cost of building the Tower of Dubai is estimated at more than 1.5 billion euros ... Nothing to worry unduly the developer Emaar Properties (whose government is a shareholder) since 1100 on some apartments in the tower, 90% have already been sold. In the opinion of the developer, the return on investment could rise to 10% on the first three quarters of 2010.

The UK property is not out of business

2010-01-05T03:38:00.000-08:00

Why Bernanke is in no hurry to raise rates

2010-01-05T03:37:00.000-08:00

Flying in the face of the widespread belief that the loose monetary policy of Greenspan is responsible for the housing bubble, Bernanke said Sunday that the instrument of interest rates should be used only second spring. Explanations.

While the economic recovery continues, the U.S. financial markets await the time when the Federal Reserve will raise interest rates, currently at their lowest historical level, between 0 and 0.25%. In a speech Sunday at the American Economic Association in Atlanta, Ben Bernanke has stressed the need to strengthen financial regulation, suggesting that there would be little short-term changes in the monetary policy of the bank Central. Here's why:

The low rates are not responsible for the housing bubble that burst in 2008. The Fed is often accused of having fueled the housing bubble with interest rates extremely low which encouraged households to incur debt, sometimes well beyond their financial means. Indeed, after the bursting of the dotcom bubble and the terrorist attacks of September 11, the Fed chairman, Alan Greenspan, has drastically reduced rates to revive the economy. This has contributed to flood the market liquidity that have come feed the housing bubble. But for Bernanke, not only the reduction in rates was necessary, but above all, it was not responsible for the bubble, since the problem was in fact the lack of regulation: while the financial institutions taking huge risks by providing mortgage contracts "unconventional" to customers who could not afford to repay them, the authorities were too slow to identify and mentor those risks. The argument does not convince all economists. David Beckworth particular suggests that it is precisely this excess liquidity combined with the low return on dollar prompted investors to seek financial products more attractive returns, such as mortgage-backed securities "alien".

The monetary policy instrument is a "brutal" for the economy. The Vice-Chairman of the Fed, Donald Kohn, who insists on this point. Indeed, increasing interest rates to fight against the formation of a bubble in a specific sector penalizes the overall economy. This kind of "collateral damage" is even more risky that the U.S. recovery is still fragile: high unemployment (10%), modest revenue growth and falling real estate weigh heavily on consumer spending, the main engine of growth U.S..

No risk of inflation. One of the two objectives of the Fed is price stability. But the slow growth of wages and difficult conditions in the housing market yet discard any inflationary danger. Thus, "apart from fluctuations in energy prices and food, the basic trend is clearly downward," according to a note from Credit Agricole.

The weak dollar is an asset. Ben Bernanke did not officially admit, but the benefits of weak dollar can not escape the government. First, the depreciation of the dollar makes American products more competitive and give a boost to exports. The trade deficit was thereby reduced. Furthermore, the weak dollar also reduces the cost of American wages, which in theory allows to repatriate jobs to the United States, and thus fight against unemployment.

United States : household morale improves, home sales fall

2009-12-23T07:41:00.000-08:00

Statistics mixed on Wednesday for the U.S. economy. Both up but a little disappointing on the front of the consumer, clearly wrong on the housing market. Sales of new homes have fallen into effect in November, falling to their lowest level since April. Annual rate, only 355,000 transactions were conducted, 11.3% fewer than in October.

Markets believed instead that the situation on the housing market would result in an increase in sales to the image of resales of homes that had clearly exceeded expectations on Tuesday. The economists were betting on and 440,000 transactions. This figure is undermining the idea that depressed housing market, which lasts for three years, is nearing completion.

On the other hand, consumer confidence, consumer spending and incomes of households that have emerged in below expectations. As with the Gross Domestic Product (GDP) U.S., three indicators have indeed increased, confirming that the recovery of the U.S. economy begins well, but less than was presaged by economists.

The index of consumer confidence from the University of Michigan for the month of December has been revised downwards in the final estimate, at 72.5 against 73.4 initially announced. This is slightly lower than expectations of economists who had forecast a confirmation of the first estimate. However, household morale has significantly improved compared to November (the Michigan index was then revealed to 67.4), a positive sign for the U.S. economy depends largely on consumption.

Consumer spending has thus registered their second consecutive month of increase, rising by 0.5% in November. The consensus of the market stood at 0.6%. This performance is particularly disappointing that the increase in consumption in October was revised down to 0.6% against 0.7% originally announced. Adjusted for inflation, consumer spending posted a 0.2% gain in November.

Should we fear a housing crash in Asia?

2009-12-23T07:39:00.000-08:00

"Investors should sell their property values: a means to reduce the risk of explosion of a bubble in the wake of the outbreak last year, 155% of the real estate sector." The recommendation of the Morgan Stanley sounds like a point of caution: it is urgent to sell its real estate securities listed on the site of Shanghai!

Certainly, especially as an investor, you do not hold title to real Chinese groups, but since this is happening now outside of France may have implications for your investments, it becomes necessary keep abreast of trends in foreign markets.

China, Singapore, South Korea ... the housing bubble inflated in Asia
If the Chinese real estate are overvalued is that the real estate market of the Middle Kingdom continues to rise. "Recently, reports are increasing on soaring house prices in major Chinese cities, reports the China Daily Xinwen Chenbao. "In Changchun (North) and Nanning (southwest), house prices register record after record and meet peaks in Beijing, Guangzhou and Hangzhou (south-east)."

China is not alone in facing such an increase in real estate. Singapore, South Korea, Indonesia are not far behind. In Singapore, sales of homes completed during the first seven months of the year were 2.3 times higher than in 2008 at the same time, especially in the capital, where real estate prices have increased d 'third.

In South Korea, the situation is almost identical house prices have risen steadily over the last five months in Seoul, prices were up 20% since early 2009.

Abundance of liquidity
Why such a housing boom in Asia (excluding Japan)? Many economists point to the abundance of liquidity issues, including recovery plans. Asian countries have turned the printing press and opened the credit tap.

In China, the country has not only implemented a recovery plan providing 4 000 MdsҰ (461 billion euros) but also left its banks allow up to 8 670 MdsҰ (849 billion euros) credits during the first nine months of the year. But a significant portion of these loans was invested in the stock market, especially in real estate. "Because of the decline in profitability over the past two years, some state enterprises engaged in manufacturing and exporting have decided to increase their investments in real estate," admits a Chinese official.

On the other hand, we must emphasize the impact of the arrival of foreign capital on the Asian property markets. The World Bank, "capital for an amount estimated at tens of billions of dollars have recently flocked to East Asia, which may cause a bubble in some stock and housing markets in the region. International investors and rely on a more rapid recovery of the most dynamic economy in the world, but also on a possible revaluation of the yuan. Meanwhile, housing prices continue to rise.

And if the bubble burst?
"The world would be very difficult," said Jacques Attali about the bubble forming in China. If a property crash occurred in this country, a second systemic crisis would be inevitable, with consequences far more serious for the economy and the wealth of investors.

Remember, because of the current crisis, the fortunes of five hundred French richest fell 27% in one year, depending on the site ladepeche.fr! But the likelihood of that crash remains low in the ten to fifteen years to come: China needed urban housing.

Today, its urbanization rate is 45%. To achieve a target of 65% by 2025, it will build each year, enough to accommodate between 15 and 20 million people. "This means that for ten to fifteen years, he must build each year a city as important as London or New York," said one Chinese sociologist. He added: "The program is part of urbanization in the Chinese strategy of development of domestic consumption."

Towards a limited increase in house prices UK in 2010

2009-12-22T09:53:00.000-08:00

Despite signs of improvement in recent months, the upturn of the UK property market will remain weak in 2010.

According to the Royal Intitution of Chartered Surveyors (RICS), the expected recovery rate of the Bank of England mechanically increase the cost of borrowing and put pressure on buyers.

Direct consequence, the rising UK house prices should remain contained. RICS table at best an increase of 1 to 2% in house prices in 2010.

United States : The resale housing continues to grow

2009-12-22T09:52:00.000-08:00

They rose by 7.4% in November, according to figures from the National Association of Realtors.

For the seventh time in eight months, home resales in the U.S. have continued to rise in November. On the month, they rose by 7.4% to 6.54 million units, according to the National Association of Realtors (NAR).

This figure clearly indicates a rush of first time buyers who do not want to miss the opportunity that represents the tax credit system in place to encourage investment in real estate, said Lawrence Yun, chief economist for the NAR. The device, extended by the Obama team has already helped to boost the property sector.

The housing market in Canada is in good health, according to economists

2009-12-20T06:37:00.001-08:00

The property market has received Canadian Friday a bill of health from one of the largest banking institutions in the country, thus allaying the fears expressed by the Bank of Canada's debt levels too high for consumers .

In a report on real estate and stock markets, economists at CIBC World Markets argued that the concerns of the central bank were exaggerated even if it was right to make.

According to the chief economist of CIBC, Avery Shenfeld, Canada will not experience a crisis SIMILAR to that recently affected the housing market and mortgage lending in the United States.

Last week, Bank of Canada stated that the record level of debt of Canadian households was the first danger that threatened the financial system, a warning repeated in Toronto earlier this week by the Governor of the Bank, Mark Carney.

The institution was recognized that the risk was low, but was worried that, should a return interest rates to normal, more than 10 per cent of households have difficulty meeting their monthly payments.

Economists at CIBC vindicated Mr. Carney on rising interest rates, which likely occur during the second half of 2010, but does not believe that it will endanger a bulll, whether on the lending market mortgage or the ordinary shares.

Investment Real Estate 2010 : What to expect?

2009-12-20T06:35:00.000-08:00

In his memo on the economy in December 2009, INSEE noted that house prices have stabilized in the third quarter of 2009 and inventories of new homes were down significantly due to the rebound in sales.

Noting that the level of housing activity is still low, INSEE said however that the low point of the cycle has been achieved recently and the improvement that is emerging for the new one begins to occur also for former homes.

As proof, the Century 21 group who reported a significant rise in property prices over the 4th quarter 2009, an increase in price that follows the one already observed for the 3rd quarter of 0.65%.

Same story on the side of FNAIM, that in a study published Friday, says a rise in house prices of 1.0% in November compared to October with a larger increase for flats (1.4% ) than for houses (0.5%).

Accordingly, while various forecasts made at the end of 2008 had forecast a decline of 10% and higher selling prices for 2009, the decline may eventually be limited to 5% for the whole year: it is far from krack dreaded real estate after several years of significant increases continuously;

Does this mean finding a real estate recovery in 2010, one thing is clear: lower prices seems complete: the element that might contradict this finding is a sharp rise in interest rates during 2010, for the 'moment, economic forecasts are rather in the sense of maintaining rates at current levels or at least a moderate gain.

If the continued rise in unemployment and rise (very moderate) price in the nine can curb real estate purchases, keeping mortgage rates below 4% and the existence of an application unmet housing are the two driving forces pushing for a gradual recovery in the housing market supported by the extension in the Finance Act 2010, the device Scellier for acquisitions of new properties for rental which are not labeled "BBC homes.

In other words, for prospective purchasers, the first half of 2009 is a favorable period for investing in real estate whether for rent or housing.

Property : Good news for U.S. real estate

2009-12-19T06:38:00.001-08:00

Sales of homes in the United States should have continued to rise in November, about 2% in the former and the new, according to the latest forecasts of Global Equities.

The research firm believes that the economic federation of U.S. realtors, NAR, will report next Tuesday a 2.5% increase in sales of existing homes, for a total of 6.25 million transactions in annualized - a record in nearly three years. Published Wednesday, the new home sales should show an increase of 2.2% to 440 000 transactions a highest since August 2008. On an annual basis, sales were up about 13% in the former, and nearly 38% in nine.

The U.S. housing market remains supported by the tax credit granted by the Obama administration as part of its recovery plan, first with only first-time buyers and recently extended to all purchasers.

USA : 1st rise in property prices in two years

2009-12-19T06:34:00.000-08:00

The U.S. housing sees the end of the tunnel. A study of the company IHS Global Insight, house prices in the U.S. rose 0.9% on average annually in the third quarter of 2009, signing to pass their first increase since the second quarter 2007. Prices are up in 169 of the 330 cities studied, against just 13 in the fourth quarter of 2008 at the height of the crisis.

Caution, this improvement "does not necessarily mean that the market is on the road to recovery," warns James Diffley, managing director at IHS Global Insight. An opinion shared by Jeannine Cataldi: chief economist for the society, it is undeniable that the support measures implemented by the Obama administration in the recovery plan have played their role. However, "economic conditions remain dire, with an unemployment rate should remain close to 10% for quite a long time," says she, in fact rejecting a fair market rebound.

The ECB believes that banks still need impairments

2009-12-18T08:39:00.000-08:00

Requirements estimated depreciation banks in the euro area have increased over the last six months even if the systemic risk has decreased, says the European Central Bank (ECB).

It estimates that 553 billion euros the total depreciation for the period 2007-2010, against 488 billion in June The writedowns still to be included in the accounts represent 187 billion euros according to his estimates, against 214 billion six months ago.

"Since the number of impairments in the pipes by the end of 2010 fell only slightly, this means that the remaining losses will be recouped from the profits of banks over a period of time shorter," wrote the ECB its financial stability report.

She adds that the situation of the financial system has improved.

"The tensions on the financial system of the euro area has clearly decreased due to programs supporting financial sector, macroeconomic support and the ongoing economic recovery," she said.

The central bank identifies three significant risks to the financial system of the euro area: a revival of financial stress, exposure to market commercial real estate and Eastern Europe, and a possible case of renewed financial markets.

However, the rising price of movable assets and lower risk premiums suggest standardization, says it by explaining that the clearest signs of a return to normal may occur on private capital markets euro area, which has increased liquidity, promoting lower volatility.

The gradual improvement of the global economic outlook has helped the prospects of stability and financial pressures on the balance sheet fell, says the ECB.

She adds that the adjustment of global imbalances in current accounts has continued, but it is fragile due to cyclical factors rather than structural.

IRREGULAR REPEAT

In the eurozone, the macroeconomic environment has improved, but uncertainties remain, the ECB said in its report.

"The recovery is expected to remain fairly irregular, supported by a number of temporary factors in the short term, but it will probably be affected in the medium term the ongoing process of adjustment of balances in the financial and non-financial economy both within and outside the euro area, "says the ECB.

She also warns against the risk of recovery at two speeds noting that "considerable heterogeneity remains in economic development at national level".

Without speaking directly about interest rates, the central bank believes that the interest rate risk is limited.

"Even if a further decline in interest rates seems unlikely, the relatively low interest rates should continue to support a reduction in debt burden relative to 2008 levels," she said in her report.

Despite the improved outlook, the ECB refers to many risks ranging from debt to defects of private companies.

For non-financial firms, low profit, high indebtedness and dependence on bank financing are the main risks and default rates "corporate" should remain high, the ECB said.

"Over the coming months, the overall balance in the area of non-financial euro area is expected to remain difficult," said she.

"This means that banks in the euro area can expect significant additional writedowns on loans to businesses during the coming year."

The increase in state debt is also a serious cause for concern because it could limit the funding available for the private sector and hamper recovery, says the institution.

Governments themselves, will ensure that the withdrawal of measures to support the economy operates in an orderly manner.

The ECB added that the outlook for bonds in the euro area remain vulnerable to macroeconomic uncertainties.

Real estate: prices rose in November, according to FNAIM

2009-12-18T08:38:00.001-08:00

The price of the older building rose 1% in November, according to FNAIM. The increase is strongest for flats (1.4%) than for houses (0.5).

According to estate agents, stabilizing prices in the former is confirmed. During the month of November 2009, the house prices have recorded a further increase of 1%, more marked on the apartment market (+1.4%) than on houses (0.5%) by the national federation of real estate (FNAIM). "After a slight increase of 0.6% in October, the movement of price stabilization is confirmed in the short term (0.4% over the last three months)," said the federation.
A neighbor down -5% in 2009

The end of the year is projected by the FNAIM be "marked by a resistance price decline. In one year, the latter amounted to -6.2% and is expected to stabilize at 5% for the full year 2009 in the absence of price pressures in December.

"The year 2009 is expected to record a total average decrease in prices compared to 2008 about 5%, indicating the Fnaim last month, while the previously estimated between 7% and 8%, after speaking of an 10% drop earlier this year. The price decline for 2009, lower than expected due to a movement to stabilize prices in the short term "by Fnaim, is the second in a row after that of 2008 (-3.1% compared to 2007).

Real estate loans: unemployment insurance with assistance to return to employment

2009-12-16T09:53:00.001-08:00

Crédit Immobilier de France markets over the past year unemployment insurance in addition to the repayment of the loan, the borrower is actively assisting in finding a job. The clientele seems seduced: the equipment rate reached a three-borrower.

Crédit Immobilier de France (CIF), specialist mortgages with 40,000 to 50,000 new customers every year, celebrates the success of its insurance against the risk of job loss, called "Active Protection Employment" was launched there is a year and created specifically for its account by CNP Assurances. "Submit a response exclusively financial loss of employment did not seem enough," explains Thierry Gillouin, Director of Marketing of Credit Immobilier de France. The hotel offers a contract in effect that in addition to conventional financial guarantee in case of unemployment, offers a real guarantee of out-sourcing, supported by his partner, Econova (subsidiary of Altedia).
Embarking on a journey back to employment

Clearly, he is helping the person licensed to find work quickly. But it is not a word in the air or a simple guarantee of assistance as may be found in other contracts. In the contract of ICF / NPC, the borrower must, in case of problem, formally engage in a course of returning to work, first with an interview given very early period of unemployment, followed by d 'a few days of training in techniques for job search and then a weekly maintenance (the 1,500 agencies Adecco offer their premises for holding these discussions with specialists Econova). "We do everything to prevent the employee who loses his job is sort of a working environment," argues Marie-Helene Seguy, head of partnerships at the direction of bank customers in CNP Assurances, adding that in " 75% of cases, the approach is beneficial. "

A borrower has agreed on three in 2009
The creation of such a guarantee against unemployment corresponded to a very specific problem: fewer and fewer borrowers will choose the insurance job loss Crédit Immobilier de France (CIF): 16% in 2005, 14% in 2006 and only 12% in 2007. Suddenly, the institution wanted to create a differentiating contract, which accompanies and takes over the insured from loss of employment. The formula is obviously successful, knowing that the CIF is intended primarily for workers and employees: in 2009, one customer in three guaranteed by contract "Active Employment Protection.
How it works and how much does it cost?

In addition to support for return to employment, the main security is financial, with a refund of part of the monthly payment in case of unemployment. Two forms exist: an assumption of 25% of the maturity of the loan over a period of six months, an assumption of 50% over a further period of 18 months (24 months total). In the first case, it costs 0.14% of borrowed capital and in the second, 0.27% of the capital borrowed, or, for an average loan of 140,000 euros over 25 years, for example, the unemployment insurance premium s' raise to 16.33 euros per month for the minimum guarantee and 31.50 euros per month for the second. All borrowers occupation can subscribe to the condition of being under the age of 60. the waiting period is one year, but beyond the warranty immediately, capital is expected even when the unemployment, equivalent to 150% of last installment paid (or 1,100 euros for a monthly average 738 euros) and can finance his travel to job interviews or a new dress to present themselves at its best.
Collateral used four times

The novelty is that this guarantee of 6 or 24 months, renewable four times during the life of the loan. To enjoy again, the borrower must have worked at least 12 months between two periods of support. "It is very rare on the market. Average contracts provide for two periods of care, not more," said Marie-Helene Seguy. At a time when unemployment is increasing, this contract may be an appropriate response for those who can afford the costs.

Real Estate: 2010 years of the recovery?

2009-12-16T09:51:00.000-08:00

The end of the year 2008 was marked by a stop focused on real estate market. What about a little over a year after the island of Ré, in a relatively untouched by the housing crisis? Response elements with professionals rétais.

On the housing market rétais, as everywhere in France, things have changed over the last twelve months. In 2006, it is very clear who were the sellers market. The very strong price growth accompanied the increase in the domestic market. The island of Ré becoming an upmarket destination, the property prices have increased above average. But the following year, the number of properties for sale had increased and houses overestimated already beginning to sell less well.

Then, the euphoria has left very much in September 2008. "There was a very difficult six months during the last quarter 2008 and first quarter of 2009, confirms Christopher Cushion (Hurtaud agency, Sainte-Marie-de-Ré). There was virtually no trade in this island period, the market was frozen. Then we felt a slight recovery last spring, but uncertain because the funding does not follow. " In other words, banks remained wary and buyers who needed to sell a property to buy could not sell.

Behavior change

The storm now appears to move away from the real estate market rétais. The territory has been less affected than other French regions. But in recent months have left traces in behavior. "Now, owners want vendors who sell really become realistic, says Chrystelle Longeville Agency Port Orpi La Flotte. In 2007, the year of euphoria, the sellers wanted to sell their property 10 to 15% in - above the market, which was already very high. " But when such property has no takers, buyers may be more difficult. "When a good is its price, it sells immediately, continues Chrystelle Longeville. But a term 'used, taken in 2007, and overvalued can now be negotiated up to 30 % down. "The vendors have had difficulty receiving this crisis and believed that the island of Re was not concerned. In fact, they always said here, the market would rise forever," said Christophe cushion.

A brake, but no balances

Do not still believe that the housing market rétais is on promotion! "Some buyers have attempted to negotiate property with strong negotiation, including goods at fair prices," says Christophe cushion. Some buyers were opportunistic and literally several vendors could not wait. There is not a radical decline, but a brake or a settlement. "
Even feeling the side of Olivier Renault, Agency Port Orpi to Fleet: "We felt a recovery since the month of May It was not a crisis but a brake.

Still, as now, the buyers take their time and are increasingly demanding. "The market has moved from a state with a speculative investment market long term, says Olivier Renault. The euphoria of price growth has stabilized."

So what will happen in the coming months? Christophe Cushion is optimistic: "we felt it was an air pocket and that it perhaps did not last. Ré Island is very attractive and we have a sustained activity since September. We therefore more serene. " Chrystelle Longeville also believes that the island of Ré still seduce buyers "including people with significant wealth. But do not believe they will buy at any price!".

The year 2010 may be the year of recovery, but realism is in order. The property "in juice" overvalued and will be difficult to sell, while the products remain desired character. What was already true before, but is even more now.

The number of transactions down
In 2007, there were approximately 850 real estate transactions on the island of Ré. In 2008, the volume of sales declined, with about 650 transactions. For 2009, the number of transactions should reach around 600 or less.
The bulk of the market relates to property whose price does not exceed 450 000. The band between 450 000 and 800 includes 000 fewer goods. And when it exceeds 800 000 euros, we literally changing market. Property exception s'appréhendent indeed not as holiday homes, but rather as investments. There is also a category of goods covered by a price of convenience (seaview, sea access, exceptional property, etc..) Whose rates can exceed one million and a half euros. But again, the buyers are acting more as asset managers.
Finally, on land, demand increases since the beginning of 2009 for the achievements of primary residences and prices are not falling. Before 2007, land took 10 to 15% per year. Today, they are still expensive, but they increase more slowly, but became rare.

Resale Property leaps in Canada

2009-12-15T09:42:00.000-08:00

The number of transactions jumped 73% to 36 383 for existing homes if we compare this month with the same period in 2008.

The sale also set records in Quebec and Ontario.

Since the beginning of the year, the resale rose 5% to the country, the biggest gains being registered in Ontario and British Columbia.

The average price for a house is $ 337 000 in November, a slight decrease compared to October. However, it is 19% above that a year ago. The stocks on the market also dropped from 23% last year.

"Residential sales in Canada last month showed how far the housing market has rebounded since the beginning of the year," says Dale Ripplinger, president of the Canadian Real Estate.

"As we predicted last April, says he, the upturn in the residential resale market has enabled all of the Canadian economy out of recession."

The recovery will by cons side effects, said Gregory Klump, chief economist of the association. "The houses become less affordable in the market as the overall economy improves, and the group of buyers who will be eligible for funding will be fewer."

France: rising real estate prices in 2010 for Century 21

2009-12-15T09:41:00.001-08:00

For 2010, an increase of between 1% and 3% in property prices is plausible, 'said Laurent Vimont this morning, the president of Century 21 in the columns of the daily Les Echos.

According to him, this upward trend will be fueled by interest rates of mortgages that are less than 4%.

He keeps his distance from the scenario that economists have a continued decline in housing prices over several years because they're obscure the psychological character related to any property purchase '.

Laurent Vimont said that 'the stone allows French to protect themselves from the crisis' and the sudden unemployment are for the purchase of property that appears as' the best way to protect his family as they have a job and thus access to credit '.

Finally, he tells Echos, the housing market currently has a deficit of 51,000 homes in the former, which combined with a strong desire to buy, will necessarily raise prices.

Estate leisure: the Club Med part in the conquest of China

2009-12-12T08:08:00.001-08:00

Club Med has just announced that its first ski village in China will soon open in winter 2010, Yabuli, the main ski resort in the country. In addition, five other villages, three resorts, should be achieved by 2015.

"China, a major growth driver for the Club Med, with a potential of more than 200,000 customers in China in 2015, could then represent the 2nd market after France," said Henri Giscard d'Estaing, Chairman and CEO of Club Mediterranee.
All projects will be developed by management, in close relation with local investors who will own walls.

Club Med relies on two important factors in its efforts to make China a growth area. On the one hand, this year the number of Chinese customers in the villages of the Asian Club has increased by 23% compared to 2008, reaching 23,000 people. With 142 euros per day, your rate of these customers was greater than that of the French and Americans.

On the other hand, the group enjoys a high reputation among customers upscale Chinese. "The image of Club Med is the best among the brands that have not yet hotel presence in China," said a statement from the group.

The buildings of the French melted 200 billion in 2009

2009-12-12T08:07:00.001-08:00

If against all expectations, the heritage of French will not finally fell in 2009, despite the real estate will be: what is the basis of estimates and projections for the years 2009 and 2010 that the agency has forecast economic BIPE presented to members dee Market Observatory of the Savings and Credit (OMEC) December 3. At some 10,200 billion euros at year-end 2009, total assets is slightly above its level of earlier this year, which was cons down by almost 3% in 2008.

Declining house prices showed in 2009 an unrealized loss well above 200 billion euros, but it was nevertheless restrained by the slowing of the decline in the second half of the year. These losses should therefore be more than offset the one hand, the gains appeared on the financial wealth due to the rebound in stock markets that emerged in the second quarter of the year (about 90 billion), on the other hand, new investment in housing (a little over 70 billion) and new financial investments (nearly 120 billion).

In front of the maintenance of their assets in 2009 (final 0.6%), the liability of the French continued to grow but at a rate below 3%, so growth is very slow compared to growth in two figures recorded during the period 2004-2007. The report of the passive income households continues to grow slightly and approaching 75%, but remains well below levels seen just before the exit of crisis in countries like the United States, the United Kingdom, Spain and Denmark, countries in which this report still reached values between 110 and 140%, indicates the BIPE.

It also states that in 2010 the re-growth of this heritage would be very modest because of the continued decline in house prices and stock performance despite very honorable.

It expects losses in real estate still relatively high, around 3% over the year. The growth of household liabilities would know, meanwhile, some momentum compared to 2009 and the report of passive income would cross the bar significantly when the 75% level after all still quite moderate.

Real Estate : transaction record in Belgium

2009-12-11T09:27:00.001-08:00

A transaction record has been registered on the market for commercial real estate Belgian site informs Trends Magazine.
Thus, the mall K in Kortrijk developed by the proponent Foruminvest in the city of Kortrijk was purchased by Union Investment Real Estate GmbH, a leading German real estate funds, an amount estimated at more than 200 million euros. This makes the transaction "the biggest deal on the Belgian business segment in recent years, even of all time," according to the site. The complex subject of this transaction includes 33,290 sqm of commercial space, 20 apartments and 1,000 parking spaces.

Real Estate: Is it time to renegotiate his loan?

2009-12-11T09:24:00.000-08:00

With lower interest rates, many borrowers are considering whether to renegotiate the financial terms of their mortgage. When the game worth the candle, do not be afraid to indulge in a veritable assault course. Here are questions to ask.
1.When renegotiate its loan?

To consider renegotiating his loan from his bank or to redeem by another banker, at least two out of three conditions must be met. Starting with a differential interest rate of at least one point. Other criteria to consider: the status of the credit. "More recent is the loan, plus the redemption may be attractive for the borrower" remark Ari Bitton, associate director at brokerage ab. If he consults its amortization schedule, the borrower will find that the amount of interest that rule to the banker, decreases over the years. Earlier this term, he pays so much interest in the bank. The third condition relates to the amount of capital outstanding for funding. An amount of at least 50,000 euros for an operation of renegotiation.
2. How?

When two of the three conditions above are met, it remains the borrower consult your banker and competition. As the banker does not see this operation a good eye, do not expect miracles. At most a gain of 0.2 or 0.5 points on the rate. Unless the borrower is a major customer have invested in this bank. By threatening to transfer them to another bank, it has some weight in the negotiation.

Apart from this particular case, it should make the rounds of banks either directly or by contacting the credit brokers. Hit hard by the decline in the number of transactions, these professionals advocate the purchase of credit, which raises the activity.

Redeem his credit mean a loan cheaper from another bank to repay the old one. The practice is growing. "For two months, nearly two out of ten cases relate to the purchase of credit continues Ari Bitton. The trend should continue during the first half of 2010, a period during which interest rates should remain at a low level.
3. What costs taken into account?

A borrower who buys the loan is subject to three major types of expenses: those of the file, prepayment penalties and guarantees.

The fee. Also according to his profile heritage, it is possible to negotiate directly with a bank. But this post is usually several hundred dollars. A broker as abcourtage holds between 600 and 700 euro fee per case subject to a takeover.

The prepayment penalties. While the law capped at 3% of capital outstanding, their weight is far from negligible. The only loophole to avoid: having traded penalties during the initial underwriting of the loan.

Guarantees. Again, it takes a few thousand euros. To ensure the risk of unpaid bills, bankers take a real guarantee - mortgage or lien of the money lender, on the property they finance. Unless they are content to bail granted by a specialized type of accommodation or credit Saccef.

Whatever the type of collateral, a borrower's bank to change its mortgage, should "lift" the loan guarantee of origin and take another for the new funding.
Our simulations

Consider the case of an individual who has made a property purchase of 200,000 euros in 2007. With 10% capital, he contracted a loan of 180,000 euros, in these simulations established by ab brokerage. We made the assumption that the client was able to negotiate the fee. If this is not the case, it should detract from the gain in the two solutions of an amount of 600 euros.

The number of foreclosures is record in the U.S.

2009-12-10T09:48:00.001-08:00

The market for U.S. real estate is not yet out of the rut. For the full year, the number of foreclosures is expected to reach 3.9 million, according to the consultancy firm Realty Trac. An increase of 22% compared to 2008.

Despite a slight improvement in November (-8%), the number of foreclosures has even exceeded 300,000, and for the ninth consecutive month. These figures demonstrate the ineffectiveness of the plan to renegotiate mortgage launched by the state, according to an economist surveyed by Bloomberg. He said an owner who has renegotiated its debt through this program is very likely to default in the future.

Without significant improvement on the employment front, the situation should continue to deteriorate. However, according to economists, the U.S. labor market should not leave before mid-2010. To recall, 7.2 million people lost their jobs since the recession began in December 2007, bringing the unemployment rate from 4.9% to 10%.

USA : The buildings in freefall

2009-12-10T09:47:00.001-08:00

Owners Americans have seen their assets decline by 5 900 billion since the peak in 2006, reveals Zillow.com. The website also reveals that property owners have lost nearly 500 billion dollars since early 2009.

Real estate continues Nicolas Cage

2009-12-10T09:46:00.000-08:00

Real estate decidedly raises many concerns with Nicolas Cage. Christina Fulton, his former girlfriend, claiming in effect 13 million dollars to the player and claims that the star had promised a villa in an upscale neighborhood of Los Angeles.

According to Christina Fulton, Nicolas Cage was hired to put the property under his name but separated after a recent eviction notice gave him to understand otherwise. The blonde decided to pursue the actor for "breach of contract" and "fraud".

The United States extended their bailout of the banking sector

2009-12-09T09:35:00.001-08:00

The U.S. government on Wednesday extended Troubled Asset Relief Program (TARP), that is his plan to support the banking sector introduced in autumn 2008.

"I hereby certify that I extend until October 3, 2010 the powers" vested in the Ministry under the Act of Emergency Economic Stabilization, wrote Treasury Secretary Timothy Geithner in a letter to House Speaker of Representatives, Nancy Pelosi, and President of the Senate, Harry Reid.

The plan, which was to expire in late 2009, has helped save several major banks, insurer AIG, but also automakers through massive injections of liquidity. But these bailouts have cost less than expected, banks have repaid a portion of their debts.
Luttre against unemployment

Result: The TARP will be capped at 550 billion dollars instead of 700 billion originally planned, and used in 2010 to prevent foreclosures, financing of small banks, or to support SMEs.

Part of the fund could also finance the measures announced Tuesday by Barack Obama for employment, including extending unemployment benefits and aid to SMEs.

A draft 'plan to use' should be submitted to a vote soon in Congress.

At the close of European markets, Wall Street found some up, although it is true, helped by an unexpected rise in wholesale inventories in October. The Dow Jones is 0.25% while the Nasdaq remains stable.

The BNP landed on the home market

2009-12-09T09:34:00.000-08:00

So far, BNP Paribas Real Estate Residential homes marketed not only for students with its brand Studélites (48 sites in France). With Hipark, the operator starts on the home market mainly for business travelers. From studios to suites "Deluxe", each residence must be between 100 and 200 apartments equipped with high technology (WiFi, plasma, ...), private parking, a launderette ... Four Hipark first sites will open their doors to Grenoble April 2010 (between the station and the convention center), in Nice in November 2010 (between the Acropolis and the Old Port), Marseille (5th district) in February 2011 and Serris / Val d'Europe (near Disneyland Resort Paris) in 2012. BNP Paribas is expected to sell 10 to 15 homes in 10 years to come.

USA: the Fed has conducted a new test of liquidity

2009-12-08T09:58:00.000-08:00

The U.S. central bank (Fed) announced Tuesday it had made a new attempt to withdraw liquidity from the banking system.

The Fed has removed 180 million dollars by selling U.S. treasury bonds to banks, said a statement from the New York branch of the central bank, which led the operation said refinancing reversed.

The Federal Reserve had conducted a similar test ended in a withdrawal of liquidity from the same amount five days earlier. In both cases, all Treasury securities that were offered found buyers.

These operations "small scale" are intended to test the ability of the Fed system to remove the hundreds of billions of dollars it injected to allow the U.S. economy moving crisis.

By comparison, last refinancing operation carried inverted scale had allowed the Fed to get $ 20 billion in cash December 30, 2008.

Accounting consequences of its support to credit markets, real estate, the Fed has seen assets in its balance sheet double under the weight of financial stocks that gained mass (bonds, securities backed real estate ...) in exchange for cash that it enters the economy.

For the leaders of the central bank refinancing operations are reversed one of the instruments that will fly, in time, monetary policy to end the crisis, which will aim to remove gently injected funds into the financial system, which could eventually carry a high inflation.

Refinancing can actually reverse the central bank to deflate the stock and drain liquidity from the system.

The Fed made clear that its test withdrawals of cash were intended solely to prepare for better future.

Mr. Bernanke has made clear Monday that out of the crisis was not yet valid.

The mortgage brokers distribute 25% of loans

2009-12-08T09:57:00.001-08:00

On the initiative of Cafpi will be presented next week a study revealed that while the number of property transactions has fallen dramatically during the 2nd half of 2008 and 1st semester 2009, partly due to the reluctance of banks to extend credit , real estate brokers have not only maintained their positions but have now strengthened to ensure 25% of the distribution of mortgage in France. According Meilleurtaux.com online broker, brokerage French could see its market share to double in coming years. "The banks have less monopoly of knowledge: in a loss of confidence vis-à-vis credit institutions, individuals are seeking advice and expertise in quality from third parties, which leads to further consult a broker, "explains Sandrine ALLONIA, head of economic research Meilleurtaux.com.

The share of mortgage intermediary should progress in coming years on the French market as was the case in the United Kingdom where 66% of credits are entered via a broker. "If 15% of French say they have applied for a broker to purchase their mortgage payments in the last three years, they are 35% consider it to be used within three years. In this context, the market share of brokerage should be around 25% in late 2010 and grow further in years to come, "Nicolas Lioliakis analysis, partner at Bain & Company. "The market share of Meilleurtaux.com increased from 0.64% to 2.65% last five years. It could rise to 2.75% this year, although the total amount of credits granted by banks has suffered a major blow to brake, "said Christian Camus, CEO of Meilleurtaux.com.

Real estate crisis in Dubai

2009-12-07T08:30:00.001-08:00

The emirate will abandon its grandiose projects, too dependent on foreign credit.

In early September, guests were prepared for the worst. "The emir is ill, had accused her bodyguards. Surprisingly, it is a "Sheikh Mo" everything is on fire tumbling, that day, to inaugurate a run at the Dubai Metro, the first of its kind in the Arabian Peninsula. To this man of vision, leading actor of the meteoric rise of this small piece of desert bordering the Gulf, nothing ever seemed insurmountable. Today overtaken by the crisis, he must now move to the lower speed. "After the delusions of grandeur, new binding arbitration," a Western diplomat breath.

For years, Dubai has built most of its foundations on the debt. Football stars, movie stars, but also small investors looking for quick profits have not hesitated to invest, everything is in real estate in pre-sold their property and plan on taking advantage of the credits offered by many local and foreign banks. Speculation helping some goods were resold dozens of times even before the first stone is laid.

Trapped by the financial crisis that has dried up capital flows, recent arrivals are now cornered. Their house will never land. As for their chances of being reimbursed by the sponsor, is paltry. The Dubai airport, a true international hub, may also soon crumble under the weight of thousands of workers from South Asia-West real craftsmen building anything goes in Dubai, who fear losing their jobs and d 'be sent home overnight. Without social protection or compensation. "The crisis has revealed some legal loopholes in procurement contracts and hiring. It will force Dubai to make necessary adjustments, "said Philip Tartaglia, Vice-President of French Business Center in Abu Dhabi.

The "zero fault" is over

Convalescence looks painful. Banking institutions and service providers now think twice when they are presented with a draft dubaïote. "In these times, I do not take clients based in Dubai. The trust is broken. The culture of "zero fault" that we were regulars are gone, "says the co-manager of an Australian advertising agency, based in Abu Dhabi. Connoisseurs of the region still trying to play down the magnitude of this crisis. "Everyone was terrified of speaking in" bankruptcy "of Dubai it is a nonsense. It is just a conglomerate certainly state, Dubai World, with a real estate subsidiary having trouble paying its debts, is the Jordanian economist Ibrahim Saif.

"There was a big communication problem. The sudden announcement last week, a moratorium on debts of Dubai, followed by silence bound the festivities of Eid, has caused reactions sometimes excessive, the judge diplomat. Supporting evidence: after several days of panic, the markets began to subside after the announcement in the middle of last week pending a meeting between representatives of the conglomerate and its creditors.

If the crazy years of real estate have gone by, Dubai can still count on other levers and stronger as the port of Jebel Ali, which continues to attract 20% of world container traffic, or the airline Emirates, which serves all major capitals of the world. "Obviously, Dubai does soars as before. But this crisis has had the merit to clean the market, "says Philip Tartaglia. Located in the region for six-seven years, he predicts a "gradual recovery", which will be on bases less extravagant. "Dubai had bet on luxury tourism - a mainstay of its economy. Today we get new ranges such as hotel or Easy Ibis hotel, which adjust to smaller awards, "says he. The end of an era.

While many buy and sell his property

2009-12-07T08:28:00.000-08:00

"The exclusive mandate allows the agency to be alone for 3 months, to offer your property for sale. If you have another agency that you have found an acquirer or an interested person who does not want to go through the agency, you can not sell him. Estate agency has concluded an exclusive mandate is therefore the only advantage. Indeed, it has 3 months before her to sell the property without any warranty. This method is not really appropriate, but it remains widely used in business names as attractive: term privilege mandate of trust, money premium, etc.. We must also take into account that if you do not denounce the exclusive mandate to the end of its initial period, it is extended to 12 months! The exclusive agency is reducing its chances of selling ...

However, entrusting his property with a simple mandate, that is to say, without exclusivity, it's another chance to sell. The ideal is to target 2 or 3 additional agencies: 2 area agencies and an agency more oriented web example, and take the cheapest. We must understand that you will not maximize the sale of your apartment or your house by putting it in 6 or 7 agencies, which will commission more or less. In addition, the buyer mentality has changed and even if a number to be interested, they are more willing to buy at any price. "
The agency commission: Insist on transparency

"The commission is the compensation that will allow himself to an agency you have found a buyer. It is necessarily stated as a percentage of agencies in the window. Do not hesitate to ask precisely the amount in euros. An agency that remains unclear about this is not a good sign. Take care that the commission will be required to be in line with services offered by your estate agent. Before choosing the agency, do not hesitate to compare several. And please note that the higher the commission is low, most logically the sale price (including ISPs) and then decrease, the greater your chances of selling quickly. "

To buy
Target your needs

"When you are considering buying a house or apartment, it is advisable to draft a list of all the essential criteria on which you will not make concessions and indicate clearly your real estate agent: location, travel time from school work area, number of bedrooms, proximity to shops, etc.. This will avoid multiple unnecessary visits and optimize your time. You can also consider a second list of criteria that are more comfort. Warning to avoid falling into the extreme and being in search of "sheep to 5 feet", be realistic and remember to take into account market realities. Indeed, it must be able to be attentive to your real estate advisor and sometimes to hear some truths of incompatible standards. "
Confirm obtaining your loan upstream from a trained counselor

"To avoid any unpleasant surprises when signing the sales agreement, please seek advice from a financial advisor. It has an objective view of the banking market and may choose such a bank rather than another in your own interest. "
Do research on the Internet

"Today the Internet is a great place in our lives every day, it also applies to searches of property. Many agencies that pass through this particular platforms as seloger.com estate. It is so rare to see by the same property at different rates indicated. This will contact the agency that has the best price. But be careful, because some do not take into account their commission, so do not hesitate to re-specify them when you contact them.

And even when you are in negotiation phase when you find the property you like, do not hesitate to have another little Internet research on these platforms. It is not impossible to see the price being negotiated is not the lowest, and that other agencies offer the same goods cheaper! "