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An overview of the 2013 real estate market

February 4, 2013

Being in the real estate business for almost 10 years, I witnessed empires rise and crumble.
The real estate market in Spain used to be one of the most appealing in Europe. The same thing was happening in Bulgaria, Italy, Portugal and other countries outside Europe such as UAE, Dubai.
It all came to an end few years ago, with the World economic crisis.
Loads of unfinished building are scattered along the Spanish coast, and a lot of new building are for sale, with no buyers interested in the offer, even though the prices are almost at half compared with 2006 and 2007.
The same thing is happening in Romania, where an apartment of 100 m2 in a new building used to cost around 190,000 Euros.
Now the same apartment is put on the market for 100,000 and there are now potential customers interested in buying.
Most of the property developers are now renting the apartments, which were meant to be sold for a profit, just to reduce the losses, with the hope that there will come better times when the property prices are going to rise again.
Most of the new luxury apartments in Dubai are unsold, and there is no chance soon that they are going to be.
In Spain are ghost cities along the sea coast, with unfinished or uninhabited buildings.
In Greece the property prices are still high, but even if they were low, still nobody would be interested to invest in Greece, especially when Greece economy is on the verge of collapse.
So, to cut the long story short, there is no hope for real estate market recovery, anytime soon.
Most of the transactions in real estate are done for small apartments, inexpensive properties and farming land.
For few years now, no new property was built and the developers are awaiting for the economic crisis to pass.

Spain ghost town

Spain ghost town

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