Real Estate Sales droping to Overseas Buyers in 2008

  • Print Article |
  • Send to a Friend |
  • |
  • Add to Google |

Demand for real estate from overseas buyers rose 10 percent in 2008, but demand is set to drop, according to a recent survey. Demand was up in the first half of the year and then gradually fell during the second half, the survey found.

The rise in overseas demand for real estate to increased interest from Australia, South Africa and Canada, which offset a fall in demand from the UK and France. In 2007, purchases from the UK and France accounted for 47% of foreign real-estate transactions; by 2008, it had fallen to 30%. Purchases by Canadians, South Africans and Australians, which in 2007 accounted for 15% of sales to overseas buyers, rose to 25% in 2008.

Americans, who are mostly religious, tend to buy in Jerusalem and the surrounding area, especially Beit Shemesh.  The British, who tend to be more secular, like Ra'anana and the coastal plain, while the French citizens, prefer Ashdod, Ashkelon and Bat Yam. 

According to J-Post, Israel in Ra'anana, a sharp drop in sales to overseas buyers is expected in 2009. We are experiencing a big economic crisis, a terrific credit crunch. It stands to reason that in such a situation, demand for real estate will fall - not only from overseas customers, but from locals as well. But I believe the fall in overseas demand is temporary. Demand will pick up again once the crisis ends.

Interest from French Jews is constant because they feel threatened in France. Demand from elderly Jews from English-speaking who want to retire in Israel, and from wealthy families who want to own a second home in Israel, is also strong, he said. The current fall in demand will have a negative effect on the real-estate market in general, but it will have a much larger impact on homes that cost $1 million.

Feroz Ahmed Bawany goal is to increase my knowledge and to understand the only civilized creations of Almighty Lord are HUMAN. He is a regular contributer to TRCB.com.

 

Grow your Social Media Friends at OpenNetworker.com

Rate this Article:
  • Article Word Count: 300
  • |
  • Total Views: 147
  • |
  • permalink
  • Print Article |
  • Send to a Friend |
  • |
  • Add to Google |
>