The dollar slide making U.S. real estate a bargain to foreign investors.

Beach Fanatic

Jan 29, '06 · 12:18 PM10,008

I would like to ask of the general audience, especially those involved in real estate sales, is if there has been an increase in foreign buyers in SoWal. It would seem that the U.S. dollar decline would make U.S. real estate a relative bargain for people in Euroland or Asia. ( Remember when the Japanese were buying up premiere properties in NY, CA and Hawaii in the early 80's because the yen was so strong, could the same phenomenon happen now because the dollar continues to slide ). I know it ended badly for the Japanese but that was because of a host of reasons mostly related to domestic Japanese issues. ( Accounting and banking mostly ) I am interested in any actual or anecdotal evidence that you may provide. ( thank you kurt for the help ).

Replies

SoWal Insider

Apr 18, '07 · 4:43 PM#52

The bad news is that you don't necessarily have all that much of a holiday budget left after making payments on your London flat.

Right you are BMouse...the reason the dollar tanked in relation to the British pound is the result of Britain's unexpected 10-year-high inflation spike (3.1%) in March. This gives rise to the possibility that they'll raise interest rates (currently set at 5.25%--same as the US) to cool down the economy, thus making the UK a better choice to put one's money for a higher return.

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Beach FanaticAuthor

Apr 18, '07 · 9:11 PM#53

Sorry not to have responded earlier but I just got back today to AZ from NY. I have been trying to sell my house up there for 6 months. The market has really sucked. This week I slashed the price by $200k to $1295. If you go onto the nytimes.com website and click on real estate you will be taken to a site where the listings are. Plug into the zip code window 12550 ( NEWBURGH, NY )and my house is about the 5th one down. Even if I sell the house at the offering price, I will lose money after inflation. AND I BUILT IT IN 1995 !!! FFF has had poor experience in the stock market because more than likely he "invested" in the high flying touted crap. FFF, you give me pointers in RE investing and I will do the same for you in stocks. My track record in residential real estate has obviously not been stellar !! I hope my reverse Midas touch doesn"t rub off onto Watersound Beach, FFF. The big difference is I don't invest in RE, I live in it and enjoy it. I invest in stocks and bonds but only the best of the best. Oh and btw, I also invest in designer straw hats not the honky tonky type Shelly displayed !!

SoWal Insider

Apr 18, '07 · 9:58 PM#54

Oh and btw, I also invest in designer straw hats not the honky tonky type Shelly displayed !!

Whatda mean "honky tonk?" Look here pilgrim...if you're going to be moving into my part of town, you've gotta get with the program.

BTW, nice NY crib...who plays the piano?

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Beach FanaticAuthor

Apr 18, '07 · 10:01 PM#55

my wife

Beach Fanatic

Apr 18, '07 · 10:14 PM#56

Goofer love the crib! You do not need to lower your price but raise it 500K, put a for sale sign in the front yard, and get help with proper balloon placement. Here is someone who can help. :rolling: