Words: Ashley Rigg
Published: 1st September 2009
£24 billion wiped off holiday home values
FT.com puts meat on the bones of the usual boom to bust story with some interesting and quite shocking numbers on the extent of the damage done to overseas property buyers and by implication to our industry.
The story in numbers
- 500,000 Britons own overseas property with a total market value of £58 billion up from £10 billion in 2000.
- At height of boom 80% of purchases were financed by mortgage debt compared to 20% seven years ago
- 35,000 of Britons who bought in 2007/2008 already in negative equity
- 1 million new build and up to 2 million resale properties are back on the market in Spain
- New build homes alone in Spain account for 5 years sales
- 70,000 Britons have bought in Florida in last 10 years, prices have fallen 40%
- Peak-to trough price falls in Dubai and Bulgaria reported to be 75%
FT.com cites Savills and Investors Chronicle as its sources. Do you agree with the numbers?
Full story on FT.com
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