Regency Beach

[dunkan]

Originally Posted by jeremy bright

i was over in November for a week stayed in a hotel called 1001 nights big place with lots of entertainment there was even coach loads of people visiting from different hotels as had shows on every night and was only £120 for two allinclusive and all you can drink how can we compete with that

We can't !! the more i hear and read the more i think i just wont get anywhere near the return i thought Regency Beach would achieve.


Cheers for the info

Dunk

[Mark .Y.]

Originally Posted by dunkan

Hi Jayne,

I can afford to sit on it but that wasnt my intention for buying abroad, a bit of private use companied with good rental return and good capital growth is what im looking for, how many years down the rd before this happens is the big question, if it happens at all !!

Too many apartments like in Bulgaria, Spain, Portugal etc mean 1 thing, less occupancy, looks like the same will happen on the Red sea.


Dunk

Your last statement seems to me to be correct Dunk and you can also add Orlando (Florida) to that list.
Way, way too many apartments will be coming on stream to achieve good rental returns. If around 25% occupancy is acheivable in El Gouna I would suggest you can work on a figure somewhat lower than that for mainstream Hurgahda.
By all means buy in the hope of a capital gain but don't expect too much from rentals unless you are particularly good at marketing.

Mark .Y.

[dunkan]

Originally Posted by Mark .Y.

Your last statement seems to me to be correct Dunk and you can also add Orlando (Florida) to that list.
Way, way too many apartments will be coming on stream to achieve good rental returns. If around 25% occupancy is acheivable in El Gouna I would suggest you can work on a figure somewhat lower than that for mainstream Hurgahda.
By all means buy in the hope of a capital gain but don't expect too much from rentals unless you are particularly good at marketing.

Mark .Y.

Thanks Mark

I looked at Florida and thankfully walked away from a property seminar here in the Midlands a few years ago, unlike a dear friend who bought out there and has had a handful of people rent it in over 2years !!! he's been treated very badly by a big agent who just doesnt return calls or emails.

I wonder what Regency Beach will be selling for when its complete ? now wheres that crystall ball when i need it


Dunk

[Randall]

Hi All

I feel that people who are now buying just for rental income to cover mortgages are too late.

Most people would love to purchase abroad have free holidays,regular monthly income,a property that rockets in value in a couple of years.

Unless you are a developer one can only guess the next Hot Spot to purchase in ...but remember when that destination gets known it will get flooded like everywhere else, its a gamble, there are no guarantee's.

At this moment with high interest rates, talk of a recession etc people will cut back on holidays.

Buy as an investment long term at present and you can't go wrong, as long as it is at the right price,and you can safely afford the upkeep without relying on renting.

[J4hurghada]

I thing that if you have to cash to play with and can afford to just leave it there in a property and not bother about it just pay the maintainance each year and have family holidays in it. after about 5 years you are very much quids in.

The price of my property has gone up alot in two years and is going up every year.

I don't feel getting in alot of debt for this is a good idea, like you say the interest rate too.

Unless you have a very small morgage and can really afford it, it would cost as much as a large conservatory on your property.

[J4hurghada]

I do disagree with buy to rent is too late, I would say the opposite it is too early.

[crombiestone]

Originally Posted by jeremy bright

i was over in November for a week stayed in a hotel called 1001 nights big place with lots of entertainment there was even coach loads of people visiting from different hotels as had shows on every night and was only £120 for two allinclusive and all you can drink how can we compete with that

You are right that it is very difficult to compete with prices like that . There are some ,however ,that do not go for All inclusive and are even prepared to pay a premium for self catering (Think James Villas cusomers ).

That said to be in with a fighting chance .I think that being a cut above the average is important and things like location,quality of finish ,furnishings ,nice surroundings and nearby amenities are important factors to being succesful in the rental game .

If you are only buying to enjoy the place yourself ,then prices are cheap so why not go for it ?

[Randall]

Hi

It is a catch 22. If you buy too early and rely on income to pay for your build you would then be hoping to rent a property still in a building site area.

If you buy later when the area is developed the prices are higher and you are competing with everyone else who have bought to let.

Just my thoughts

[J4hurghada]

Randall,

This is true, but think how much value if any nowadays will a conservatory put on your house.

But like I said earlier, if you can afford the outlay and sit on it then sell what a profit you will make, alot more than conservatory on your house.

[Randall]

Hi

I agree with you 100% thats why i said long term you can't go wrong.

Cheers