Tuesday, September 29, 2009

Digs Smack Lips Sleep

House prices continue to fall but there are early signs of recovery

According to the report presented this morning Tecnocasa prices continue to fall, but slowly recovering from the first half of the year. In the metropolis prices down 2.7 percent
Even in the first half has continued the decline in property prices but the changes were overall lower than those recorded in the second half of 2008. This was revealed by a survey conducted by Tecnocasa, which showed a more significant decline in the provincial capitals (-2.8%), followed by the big city (-2.7%) and finally dall'hinterland of large cities (-2 , 3%).

The market has become even slower, transactions are in significant decrease but the feeling of operators is that from the second quarter there was an upturn in confidence that has renewed interest in the purchase of the house. Transactions are in significant decline, but among the players meander signs of optimism: in the second quarter of the year there was a sharp upturn in confidence that has renewed the interest of potential buyers.

This morning, during the press conference of national Tecnocasa which was held at the Press Club of Milan, the operators have confirmed the biggest drop in prices in the provincial capitals and finally in the suburbs of big cities. The steepest decline in prices measured by Tecnocasa is logged in Trapani (-11.7%), Followed by Varese (-10.7%) and Avellino (-9.5%). The capital stood at -2.8% and -1.7 percent in Milan.
In the first part of 2009 the price of the property has been decisive for the outcome of the sale: now is the value for money is making a difference and the potential buyers are increasingly prepared to buy at reasonable prices compared to the characteristics of ' building. So much so that in neighborhoods where housing supply is more antiquated have witnessed the largest declines. In particular we appreciated the solutions placed on the upper floors, with open spaces, bright and inserted into decent condominium, located in quiet areas with little traffic, possibly with garage.

requests focused mainly on first homes (77.9%), a trend spurred by the reduction of interest rates on mortgages. Remains, however, also the base of investors who choose the brick in the face of uncertainty that has affected financial markets (22.1% for the use of investment / second home). In July 2009 in the big cities the most popular type was the three-room apartment, with 36.3% of the vote since the drop in prices has made them more accessible. In Milan, Naples and Rome, however, continues to "win" the apartment.
As regards the analysis of the availability of expenditure, taking into account the trades made agencies Tecnocasa group, the majority of requests are concentrated in the range between 170 and 249mila € (24.6%), and follow up to 349mila € (21.6%).

Tecnocasa forecasts on the housing market remain anchored in what will be the country's economic situation (in employment and credit) should close the year between -5 and -3 percent, then leveled by 2011. If you are confirmed predictions of an economic recovery next year we expect even a slight decline in prices, with a tendency to stabilize in 2011. According to market participants who took the word at the press conference, affecting in this recovery, the higher liquidity in this portfolios riparmiatori Italian (maybe divestment in stock, creating the dreaded "capital flight" from financial markets), the effects of the tax shield, and the belief that the more so the prices can not fall.

also more than 800 real estate agencies network Gabetti - for the decline in the first half of 2009 was 3.6 percent - reported yesterday, in March, an increase of interest of visits and activities. In particular the increase in demand for used, while the choice of the area is no longer binding. To close the negotiations, however, owners must grant an average discounts of 15 percent.

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