Property Prices

[Ovacikpeedoff]

One of the problems for a large number of us is that we bought property when the price was rising and the market was reaching its peak. In the years since there has been a correction in prices and the cost of a property has come down.This is a way of life. How many times have we all lived through the boom and bust in the housing market in the UK.  Every 15 years we seem to have this correction that lasts for about 5 years and then it is back to hyper inflation in the housing market and when the next crash arrives property is 20% higher than at the start of the previous crash.

In many cases people have been taken in by the hype of being told that their investment in the Turkish housing market will grow by 25% a year. They are still telling us Turkey is the place to invest. TV programmes like a Place in the Sun are notorious for broadcasting such figures.

In many European countries there have been significant falls in the value of property and I do not think that these price corrections have been fully reflected in prices in the Fethiye area.At least in public, it is very unusual to see a developer in Turkey drop their prices.They may in private be willing to take an offer. Continuing to build and add more property to the housing stock is even going to make it worse. If I was a Brit coming out to Turkey I would not pay the prices being asked as I would expect the price to reflect what has happened to the TL.Paying for a house in sterling is actually putting the price up by 25% based on last year.So a house bought for £100k today is approx 290k in TL which last year was 230k. The developer is making an even bigger profit. Many Brits complain when restaurants quote their prices in sterling but they are happy to pay for a house in sterling.

[fletch]

quote:Originally posted by Rimms



So when selling your property, I think you must also take into account the value of the holidays you and friends and family have enjoyed plus any rental income gained and if you overlay this with the massive glut of available property, you may not think that a financial loss on your original investment is such a bad deal?

I think the point you have highlighted only brings us to terms with any potential loss and by counting the holidays etc it may ease our pain of any such loss. Surely there is a market value? I don't have to count up the days I have lived/used my UK home to be grateful of a loss as there is a market value.

Albeit, I have already started counting up the holidays etc etc to help me justify their offer, I soon stopped myself. The thing about property is that it is all down to 'Location, Location & Location'and my thoughts are that if this family want to live in a Turkish area with no holiday makers which is close to all amenities then they will have to up the offer, if not then they can't afford it!  

[fletch]

quote:Originally posted by Rimms



So when selling your property, I think you must also take into account the value of the holidays you and friends and family have enjoyed plus any rental income gained and if you overlay this with the massive glut of available property, you may not think that a financial loss on your original investment is such a bad deal?

I think the point you have highlighted only brings us to terms with any potential loss and by counting the holidays etc it may ease our pain of any such loss. Surely there is a market value? I don't have to count up the days I have lived/used my UK home to be grateful of a loss as there is a market value.

Albeit, I have already started counting up the holidays etc etc to help me justify their offer, I soon stopped myself. The thing about property is that it is all down to 'Location, Location & Location'and my thoughts are that if this family want to live in a Turkish area with no holiday makers which is close to all amenities then they will have to up the offer, if not then they can't afford it!  

[col]

You know the position here Ian, and it's not as if my top price is over inflated, far from it. When you look at properties from different agents and other selling sources there is no average what so ever. I have seen similar apt's to ours up for sale at anything between 5k to 10k more, yet again, have also seen one or two for a few thousand less. The biggest laugh for a possible sale here was one agent trying to justify that all older apt's are worth less form when they were built, and mine is worth 5k less because that's the situation. But he could not answer why an apt built here over 10 years ago and at that time must have been very cheap, was up for sale at a similar price to mine. When I pointed out that on his same website, without garden and pool, and you could see the damp on the outside walls, again, no reply.  When I mentioned is it because i'm a British seller and you think i'm desperate to sell, he walked out.

quote:Originally posted by Ian

quote:Originally posted by col
I've had 3 offers close to my very minimum, but i'm holding out. Also unfortunate to say, some agents have even told  possible buyers my very minimum price even before a viewing.

That is really not playing cricket - or possibly they thought your minimum price was your very minimum price less 20% !

I think everyone need's to make sure they don't sell for a low price and then pay market value for their next purchase.

[kizkucuk]

I remember coming to Fethiye/Calis area just over 10 years ago and looking at some property - there was some lovely small villas for £15,000 - £20,000 - I went back to my friends in the UK and suggested we all chip in £5000 and buy one as an investments/somewhere to holiday and offered to buy their share for the same price + 20% when I decided to move.  So they would have had somewhere to holiday, a cut of the rental income and their money back and 20% profit when I came to live here - they thought it was too risky. Those villas have increased in value - and I think if you purchased when prices were really low you will have made a profit - there are too many new apartments going up and some with crazy prices - there are 6 new apartments near me - no sign of a buyer and the builder is now renting them out long term.  from what I have seen of Turkish buyers they don't like to be in debt and the average person won't take a mortgage -  so if they make an offer they usually have the cash to hand over and the sale can be completed very quickly.  I know people that have been trying to sell for 2 years and more - everyones circumstances are different - if you don't need the money and can afford to wait for the right offer then do - if you are desperate to release the cash you may have to accept a lower offer.  If only we could predict the future :-)

[cenk]

quote:Originally posted by Scunner

That's 4 potential buyers then as Cenk's two examples were also offers made on properties that they hadn't even been inside, and I know he has lots more examples, as do I

Another one (again Turkish)

Me: That villa's price is 150.000 GBP
Caller: Wow it is too much. Is it negotiable
Me: Maybe. I have to speak with owners. Up to how much do you think to spend ?
Caller: My budget is around 100.000 TL

[Ian]

quote:Originally posted by cenk

quote:Originally posted by Scunner

That's 4 potential buyers then as Cenk's two examples were also offers made on properties that they hadn't even been inside, and I know he has lots more examples, as do I

Another one (again Turkish)

Me: That villa's price is 150.000 GBP
Caller: Wow it is too much. Is it negotiable
Me: Maybe. I have to speak with owners. Up to how much do you think to spend ?
Caller: My budget is around 100.000 TL

Cenk - how do you stay sane, calm and keep smiling - it would drive me mad  

[cenk]

Ian
Believe me it is hard, but I have to  

[scouser2]

We had a couple view our apartment. He made an offer of 40% of our asking price, so we obviously said no. As we were showing him out he asked if he could buy our curtains!!

[maclarke1]

I have heard, and have no idea if there is any truth in it, that as from 2013 there will be no more new building of homes allowed. Reason being that the councils don't want it to get like Spain. Although from the comments above it would seem as if we are already there.