Ready to Move In - or - Off-plan - is there a shift in buying attitude ?

[dave99]

Interest in ready to move in

Anyone else finding that most enquiries are now for completed or almost completed developments.

 

[NeilHollingsworth]

Anyone else finding that most enquiries are now for completed or almost completed developments.

With all the current issues and horror stories plastered across national newspapers you will be lucky to get any enquires never mind off plan or completed!!!

It is such a shame that a property market that was looking like being a great investment, with good value properties in fantastic locations with glorious weather has been ruined.

 

[swim-maestro]

With all the current issues and horror stories plastered across national newspapers you will be lucky to get any enquires never mind off plan or completed!!!

It is such a shame that a property market that was looking like being a great investment, with good value properties in fantastic locations with glorious weather has been ruined.

Hi i still have a strong belief in hurghada its just a shame there are a few developers who are spoiling it for others. Where i have invested in there is due to be a 15% price increase from the 1st may 2009 so it is not all bad news at the moment.
As you mention hurghada has a lot going for it year round sunshine,regular and reasonably cheap flights-sometimes cheaper than flying to spain and of course the amazing reef diving. I have not bought for the sole purpose of investment its because i love egypt warts and all!
Cheers swim

 

[rowlandsbb]

The attitude in buying has shifted ' full stop'!!

The reason for buying off plan was that you were, you thought, getting in cheap and when it was built in 2 years or so , there would be an uplift in value

Well it did happen for some but for many more world wide when the time arrives to complete the value may well be lower!!

But for the good location they will recover with the upturn in the property cycle

Now and for quite some time buyers anywhere will want ' ready now'...so what they see is what they get....and no frustrations with delays, no promised bank guarantees which never arrive, mothballed developments and developers going bust

One day it may come back......circa 10/15 years hence

This causes financing problems for developers but that is their worry and worldwide there is a large stock of property waiting to be sold

Also in times of great economic uncertainty money and demand always flows towards the best and most popular locations

So UK and EU buyers who had a go at the emerging markets will go back to the favourites...Spain and France and pick up the current good deals

Eg a 2 bed duplex in Almeria with large solarium , seller paid 185.000 € now needs to get out at 130.000 €
An attractive town house in land at 55.000 € and ready now from builders at asking prices circa 25% less than previously


So if economic history is right locations, such as Egypt Dubai etc will get less popular but of course for the emerging middle classes around the middle east, these locations are more convenient, which may perhaps mitigate the fall off in demand from Europeans

So those who can still buy, they are looking for ready now and a no risk purchase and this will be the market for quite a few years to come

 

[Alan Cockayne]

With the benifit of hindsight

Ahh.... but for those who have witnessed the rise and fall of the Spanish residential markets since joining the Common Market (now the EU) we have two thing to ask.......

Does Spain have 12 months of sunshine?
and where are your exotic coral reefs?

Overfished no doubt.

The attitude in buying has shifted ' full stop'!!

The reason for buying off plan was that you were, you thought, getting in cheap and when it was built in 2 years or so , there would be an uplift in value

Well it did happen for some but for many more world wide when the time arrives to complete the value may well be lower!!

But for the good location they will recover with the upturn in the property cycle

Now and for quite some time buyers anywhere will want ' ready now'...so what they see is what they get....and no frustrations with delays, no promised bank guarantees which never arrive, mothballed developments and developers going bust

One day it may come back......circa 10/15 years hence

This causes financing problems for developers but that is their worry and worldwide there is a large stock of property waiting to be sold






Also in times of great economic uncertainty money and demand always flows towards the best and most popular locations

So UK and EU buyers who had a go at the emerging markets will go back to the favourites...Spain and France and pick up the current good deals

Eg a 2 bed duplex in Almeria with large solarium , seller paid 185.000 € now needs to get out at 130.000 €
An attractive town house in land at 55.000 € and ready now from builders at asking prices circa 25% less than previously


So if economic history is right locations, such as Egypt Dubai etc will get less popular but of course for the emerging middle classes around the middle east, these locations are more convenient, which may perhaps mitigate the fall off in demand from Europeans

So those who can still buy, they are looking for ready now and a no risk purchase and this will be the market for quite a few years to come

 

[dave99]

What a big price difference - Spain / Egypt !!!

At these Spanish prices people would still be getting a REAL BARGAIN from a completed property in Egypt near the sun and the sea and 365 day holiday year.

The attitude in buying has shifted ' full stop'!!

The reason for buying off plan was that you were, you thought, getting in cheap and when it was built in 2 years or so , there would be an uplift in value

So UK and EU buyers who had a go at the emerging markets will go back to the favourites...Spain and France and pick up the current good deals

Eg a 2 bed duplex in Almeria with large solarium , seller paid 185.000 € now needs to get out at 130.000 €
An attractive town house in land at 55.000 € and ready now from builders at asking prices circa 25% less than previously

 

[dave99]

Good point - Red Sea is very different

Good point - Red Sea is very different

Ahh.... but for those who have witnessed the rise and fall of the Spanish residential markets since joining the Common Market (now the EU) we have two thing to ask.......

Does Spain have 12 months of sunshine?
and where are your exotic coral reefs?

Overfished no doubt.

 

[Alan Cockayne]

The Red Sea is very different to Spain.

Good point - Red Sea is very different

Very true Dave.

If it wasn't for these locations being discovered by the scuba-diving fraternity, all the village idiot Egyptians would be out of work and making more mess in their own cities.

Has anyone visited Cairo recently?


One thread relates to quality of finished properties and lack of tradesmen. It's not about ability, more about their background and attitude to us foreigners. It could be jealousy because we may have what they don't.

And that is "Experience."

Alan Cockayne - retired Red Sea dive-boat captain.
Coralife-Style Consultants.

 

[Organics1]

Very true Dave.

If it wasn't for these locations being discovered by the scuba-diving fraternity, all the village idiot Egyptians would be out of work and making more mess in their own cities.

Has anyone visited Cairo recently?


One thread relates to quality of finished properties and lack of tradesmen. It's not about ability, more about their background and attitude to us foreigners. It could be jealousy because we may have what they don't.

And that is "Experience."

Alan Cockayne - retired Red Sea dive-boat captain.
Coralife-Style Consultants.

Alan,

I usually like reading your posts as you have a lot of good to say. I understand your frustrations at what's going on in Egypt and believe me I feel the same way but I have family in Egypt and take offence to your "village idiots" quote.

The problem is is that people from Europe/the west try to do business in Egypt the same way they do back home and for the time being anyway it's just not going to work.

It's a third world country, with millions of poor, Homeless, uneducated, unskilled and ignorant people, which in the majority of cases is no fault of their own. So corruption and doing whatever you can to get food on the table is high.

I'm not saying it's right but insults like that aren't going to help. I moved to Portugal two years ago and believe me when I say things aren't that great here either. Corruption is high in the private and public sectors and well documented within the government themselves. Even the Portuguese call it the "white Africa" and that they need another revolution to sort things out. Actually I think that's harsh on Africa but you get my point. And here was me thinking I was moving to a modern, 21st century, European country. I read these posts about Egypt and am always saying "that's how it is here"

So please tone down the insults and get back to the great posts that I'm used to reading from you.

T

 

[Alan Cockayne]

Dear T.
I believe you have a fair point. But we all see it as it is.

If I had no experience of Egypt, the culture and the sensitive issues we comment on, then I would be a hypocrite. But as I've afforded 23 years my life helping and promoting the Red Sea locations, I feel vilified by what I may quote.

After the Israeli occupation, the only people in Sinai were the Egyptian Army, the Military Police and a few bedouin tribes. It wasn't till the mid-eighties that foreigners were allowed to visit regularly and given permission to stay proved difficult. We started live-aboards dive excursions. The Red Sea Surveyor out of Eilat being one of the pioneer boats searching for virgin reefs and exotic dive spots after Jacques Cousteau put these locations on the charts.

We never saw Egyptian workers or taxi-drivers or hassling shop-keepers till the Hotel Chains built in Naama Bay and Hurghada to serve the priviledged guests with well trained staff.

The rest of the Egyptian workforce owe foreign tourists respect for giving them a chance to put food on their table. Without our passion and undying efforts to promote the beauty of the Red Sea, there would be no tourism as we know it. There are few cultural or architectural reasons for visiting this coastline. Those are further inland. Millions visit for the sun, the sea, to relax and to be pampered....

Not hassled, fleeced, or our ladies abused. We require standards we have been accustomed to over the last century. We look for value for money and peace of mind.

I'm sorry if I upset some, but the "below the line mentality" of those who think we owe Egyptians a living is so far from reality. We are all guests in this beautiful country Egyptians too, especially in Sinai and if the natural world in the Red Sea can cope, I'm sure Egyptians, given a better understanding and of why they have this opportunity to be here, maybe, JUST MAYBE they would value us tourists and investors a little better.

Alan Cockayne. Coralife-Style Consultants.

 

[nazab]

Yes the demand shifted to finished projects !

As the developers of several residential projects in Sahl Hasheesh, we have noticed an increase in demand for finished apartments in our Sunset Pearl project versus offplan units at our Paradise Gardens which is due to completion after 1 year.

Buyers are currently looking for finished projects for the following reasons :

1) More secure investment with no risk.
2) You are buying what you see and no hidden surprises or unfulfiled promises.
3) Your money starts to generate satisfaction to you as you can start to enjoy your apartment rather than frustration of being stuck in an offplan project with a struggling developer risking your money / investment.
4) Your money starts to generate income while in offplan projects nobody knows when it will be finished.
5) While you receive the finished apartment you want, you still enjoy payment plans from developers up to 5 years.

So the right decision is always a good investment in the short or the long term.

 

[Alan Cockayne]

Confindence booster

As the developers of several residential projects in Sahl Hasheesh, we have noticed an increase in demand for finished apartments in our Sunset Pearl project versus offplan units at our Paradise Gardens which is due to completion after 1 year.

Well explained Nazab.

This may reassure readers that there are some good developments around.

 

[dave99]

What do agents think

Any agents out there with a point to make - is there a big switch to "ready to move in" or is it just in some locations.

As the developers of several residential projects in Sahl Hasheesh, we have noticed an increase in demand for finished apartments in our Sunset Pearl project versus offplan units at our Paradise Gardens which is due to completion after 1 year.

Buyers are currently looking for finished projects for the following reasons :

1) More secure investment with no risk.
2) You are buying what you see and no hidden surprises or unfulfiled promises.
3) Your money starts to generate satisfaction to you as you can start to enjoy your apartment rather than frustration of being stuck in an offplan project with a struggling developer risking your money / investment.
4) Your money starts to generate income while in offplan projects nobody knows when it will be finished.
5) While you receive the finished apartment you want, you still enjoy payment plans from developers up to 5 years.

So the right decision is always a good investment in the short or the long term.

 

[Peter Mitry]

There is still a market for both types of property. Finished property for all of the reasons already documented but there are still buyers for quality off plan projects from reputable Developers.

Our business this year is still over 95% new build and our business is ahead of last year; only just it's true, but we expected it would reflect the experiences of others.

This has surprised even me as I have gone on record as saying I expected a significant rise in finished property sales.

 

[Light]

IMXP: After scared 1st experience of baying 2 years ago off plan at Sun Gate from disappeared MRI I can not force myself to trust to any other sales guys even official representatives of developers itself. I thought that my 2nd visit will change some thing but I was mistaken. I’d rather invest money somewhere else and will pay on completion for my 2nd apartment.

 

[El Gouna Property]

IMXP: After scared 1st experience of baying 2 years ago off plan at Sun Gate from disappeared MRI I can not force myself to trust to any other sales guys even official representatives of developers itself. I thought that my 2nd visit will change some thing but I was mistaken. I’d rather invest money somewhere else and will pay on completion for my 2nd apartment.

Feel Sorry that you have such bad experience but may be next time you don't buy off plan and you just buy ready properties, you pay and get your papers and everything on the spot.

 

[Light]

Feel Sorry that you have such bad experience but may be next time you don't buy off plan and you just buy ready properties, you pay and get your papers and everything on the spot.

Thanks for your empathy but after all scaring away staff it’s a good experience with good project if not to mention MRI :listen: and promises of long-life help of after sales department. Any way now we are very happy owners of a nice holiday place.

 

[El Gouna Property]

Thanks for your empathy but after all scaring away staff it’s a good experience with good project if not to mention MRI :listen: and promises of long-life help of after sales department. Any way now we are very happy owners of a nice holiday place.

Happ for you and wish all the best for your investment