Quote:
Originally Posted by wghosh
Having had a conversation with West Side Village's team today, the subject of resale came up. I was asking about pre release prices and real market value and just how good investments are likely to be here. He made a valid point of stating that this will depend on other developments , ie what has the competative edge, be this finishes, location and price..
When do you think the resale market will kick in? Will these developments make decent money? Are the predicted figures realistic?
I am buying for investment but there is a sense of personal enjoyment for me as this is the first one. Ultimately though, i am wanting to make cash on this and then make more. The good thing is, in Egypt this can be done with low outlay. We could not achieve this easily in the UK..
Im not sure who the buyers of resale are likely to be and I question whether enough profit can be made to enable progression as an investor
Would be nice to here peoples thoughts
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Im sure that as the mortgage market takes off the resale market will pick up too. The lack of credit definetly keeps a lid on prices but with Tamweel and Amlek from Dubai moving in I think financing opportunities will improve probably for locals in the first instance and then overseas buyers.
The other important thing to bear in mind I believe is the mix of buyers in any one scheme. Ideally what you want is a good mix and not just one nationality and I always want to see strong participation by the local market. That way if many people try to exit at completion they arnt all looking for the same type of buyer and they arnt neccessarily all foreign. This is why Bulgaria has struggled recently with some reporting difficulty at reselling at the price they paid.
Unless there is already an established aftersales market like at Ein Sokna or El Gouna where local interest is strong its therefore important to look carefully at the nationality mix of buyers in your scheme before making a decision.