Chart for Caribbean Growth Vs. US and Europe

The Turks and Caicos and Caribbean Markets are prime for real estate investment. Recent research shows that the TCI and the Caribbean are ahead of the curve against other regions when it comes to people visiting the islands. Not surprisingly 2009 has seen hotel performance suffer, however, long-term trends have moved in relative sync with their larger feeder markets, the US and Europe. This combined with a move into peak season has seen the first growth rates in occupancy since April 2008. Small revenue increases on this period are also apparent.

Moving forward, analysts are predicting further growth in this final quarter and into 2010 as European, Canadian and Us economies gain momentum.  Most encouragingly these growth rates currently outperform their feeder markets, which is promising news for the region.

More detailed analysis can be found at HotelNewsNow.

So, start looking for your next second home!

RE/MAX Elite has more positive real estate news to report following the latest economic announcements in the U.S.  Close adviser to the president, Warren Buffett, has again gone on record stating reasons for optimism. His opinion holds that there are crucial reasons to believe that America has seen the worst of the economic situation and is now progressing back towards health.

When questioned on current economic prospects Buffet responded that “enormous” progress had been made since this time last year, he attributed this positive state to the government’s actions in in the Fall of 2008. Buffet believes that those actions prevented America’s economy from “going over a cliff”.  Furthermore he went onto state that the worst in this regard is behind us.

He was candid when asked about unemployment, citing that companies confidence would take time to be restored before before this improved.

It doesn’t seem that we are in for a quick recovery, but experts such as Buffett are confident that the fundamentals are strong and that a full return will be made. This is great news for the Turks and Caicos Islands real estate market, which is so closely linked to the fortunes in the north!

Please contact us if we can assist you in in your real estate inquiries as the market returns.

Here in the beautiful Turks and Caicos islands, like in much of the Caribbean, we find our fortunes tied to that of the American Market. So its pleasing to see yet more positive news coming out of the financial site www.bloomberg.com today. Have a look at some more reasons to invest in our real estate market:

Housing starts in the US rose 1.5% to an annual rate of 598,000 last month, taking it to a 9 month high. At the same time, the Federal Reserve Bank of Philadelphia said its general economic index rose from 4.2 to 14.1 in August.

Federal Chairman Ben Bernake has stated his belief that the worst economic depression in seven decades is probably now over, and an unexpected decline in jobless claim is seen as support.

Josep La Vorgna, chief U.S. economist at Deutsche Bank Securities Inc. in New York,  went on to offer:  “There is a recovery and it’s going to be sustainable, we just don’t know how fast it is.”

Non-profit groups and households saw their Net worth rise from $51.1 to $53.1 Trillion last quarter. This jump represents the biggest climb in stock prices since 1998. This gain was the first since the third quarter of 2007.

In construction there is also promising signs for our markets here in the Turks and Caicos:

Permits for future construction climbed to a 579,000 annual rate in august. Which is a 2.7% increase. Furthermore, work on multifamily units jumped a massive 25% to a 199,000 rate!

Chief executive of Toll Brothers LTD, Robert Toll, commented: ‘In the last six months, we see a pretty significant change in some markets.” …. People are now concerned with missing the market.”

Please contact out team here at RE/MAX Elite if we can help you with any real estate enquires as we continue to witness slow but steady growth.

The Turks and Caicos real estate market relies heavily on the US economy and this week has seen a number of positive headlines:

Some encouraging news from the US Investor Warren Buffet in relation to the US Economy. Buffet has explained this week that he feels the US markets have bottomed out and only a 9/11 type situation could cause disruption at this time. The CEO of Berkshire Hathaway Inc has stated ‘we are past the critical point’ in an interview with CNBC reporter, Becky Quick.

Meanwhile, Ben Bernanke the US Federal Reserve Chairman has made an announcement this week that he feels that it is “very likely” that the recession is over, albeit the economy will be weak for some time.

According to www.bloomberg.com, US retail sales for August were up 2.7% and this has exceeded economists’ forecasts. One of the reasons is the US government offering its Citizens the ‘cash for clunkers’ program. However, surprisingly, items that exclude auto sales, showed a separate 1.1% increase. This was following overall results in July of 0.2%. Overall, this shows increased confidence in consumer demand.

It is good to be optimistic and read such headlines, however we all must be realistic and accept that we have a reasonable way to go. As President Obama cautiously stated this week “we do not want to be taking the crutches away from the patient too early”

As regards our property market, RE/MAX ELITE has received an increased number of enquiries over the last few weeks, along with several offers for property, so we are boosted by these results and continue to explain to those with cash, that now is certainly a wonderful time to pick up that bargain buy, before somebody else finds it and we start to have an increase in absorption of current stock!

Simon Padgett, Broker of RE/MAX ELITE simon@remax-tci.com

Today Mr. Dave Liniger, the CEO and founder of RE/MAX International distributed an e-mail to our office team in which he shares his projection about the real estate market in the U. S.

Mr. Liniger predicts that “we will see a turnaround … by early summer” and that “foreclosures … will start to decline dramatically by the end of the year” He bases his prediction on the following facts:

1. NAR claims that the $8,000 tax credit for first time buyers will create an additional 300,000 properties sold by year end.

2. FHA has just changed the maximum investor owned houses from 4 to 10 per investor. This is important because in the hardest hit areas, investors are buying up to 80% of the foreclosures.

3. Obama´s $275 billion foreclosure relief plan has several very good parts to it. Especially the part allowing homeowners who are in good standing to refinance to today´s lower interest rate even if they have lost most of the equity in their homes because of declining property values. This will allow millions of homeowners to refinance before they get in trouble.

4. Interest rates are very low, and housing affordability has dramatically increased.

Mr. Liniger ends his projection saying “I am not predicting a boom, but a good turnaround that should gradually return to a normal market over the future.”