From Global Property Guide:
Don’t tell me those high double digit increases in Asia, Bulgaria , Slovakia and Cyprus won’t turn to red soon.
Of course, the bear market is global too, with astonishing correlation across markets:
Click for sharper view. Source: Yahoo! Finance
Key:
Dark Blue: Dow; Dark Green: Nikkei; Red: Hong Kong; Orange: Eurozone; Brown/Olive: London; Light Blue: Emerging Markets
That green outlier is Brazil’s resource centric Bovespa, but even it seems to have turned with commodities this summer.
It is very amusing when you visit various cities around the world and speak to the locals. I have in every instance encountered the same verdict: we are unique, our city is not in a bubble, we have special circumstances that have driven up our real estate prices, etc … In Panama they tell you that even if the Americans stop coming, that really it’s the Venezuelans that are the main immigrant group and have no choice but to come; in Belgrade they tell you that Russians are buying up property and that the foreigner influx has just begun; in Bulgaria they probably speak of EU ascendancy, and so on….
I what one can say when presented with such data? Can people still insist that their cities are unique? Being in Panama right now, I think I will conduct an experiment and show this to some of the die-hard Panama real estate enthusiasts
Let us know the results of your Panama experiment!
Well, Panama is definitely turning. You can hear it in discussions of how price increases have halted and transactions have slowed. This feels like 2006 in the US, the very peak, when few realized it was all over.