Analysts estate contradictory

21.10.2010 17:18
Analysts' opinions on the situation in the real estate market is so bipolar that impression of a confrontation. Some argue that "... All is lost! ...", While others argue the contrary the situation has improved in many forecasts "through" the aspirations and hopes of UEFA EURO 2012.<br /><br />Of course, the real estate market thanks to EURO will not recover, and deals today are not so much as it would be desirable, but not so bad in the property market - this I can say with certainty, as the market know the inside.<br /><br />It is obvious that the market is out of coma - is being restored, the rental market, declining vacancy rates. Of course, these factors still do not entail raising rental rates and consequently property prices, but when a 10% vacancy rate in certain segments of the real estate market can predict a gradual increase in both rents and property prices in these segments.<br /><br />Assess the level of investment transactions in the real estate market in our region is difficult because they are few and not for all transactions information publicly. One of the most significant transactions in the current year was held in April - the purchase of the property complex of hotel "Kiev" in Donetsk. I think it reflects not so much the very situation in the market as a regional feature of our real estate market. We are here like "varimsya in its own juice," but this is not the result of investment unattractiveness of the real estate market in our region. It is rather evidence of the ability of local real estate players to independently and real estate development project and site management. Almost 80% of completed and under construction projects are an investment and development companies. And only in rare cases ready dohodogeneriruyuschie objects are sold, as a rule, they remain in the management of those same companies. The volume of transactions to acquire property for subsequent lease or resale is also small, about 15-18% of the total number of transactions<br /><br />With the advent of the crisis broke out criticism of analysts and economic forecasters. My attitude to all forecasts particular, since a lot of this information appearing in the media, like a kind of news show.<br /><br />The rental market more transparent, in contrast to market sales, so the analyst is adequate and projections are met. But the market sales situation is reversed. Particularly touches statistics such as "... property prices for the week (month) rose (fell) on the N %...». And it happens because the analysis is taken as a basis for the dynamics of the bid prices, rather than the actual value of transactions. Since statistics on the number of transactions are not officially available to the analysts, and transaction costs tend to score BTI. That part of the deal, which takes the form of sale of corporate rights as well are not always available. It turns out that the methods of gathering information for analysis is not always reliable, and forecasts get relevant ...<br /><br />No offense to the professional analysts will be discussed, but so many predictions about the development of the real estate market reminiscent of the weather forecast - "... Whether rain, or snow - then there will be, or not ...."<br /><br />Of course, I listen to the analysts, but still try to make their own assessment of the situation on the market.<br />Svetlana Peftieva Donbass Business Realty<br /> <br />
Content tags: Property Housing
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