Penthouse International: how rich foreign buyers are fuelling the condo explosion

[JustinB]

Originally Posted by rbt

Compared to 10 years ago, the area around Square One is an absolute zoo of pedestrians.

Not saying it's great; just improved.

Fair enough. It is quite lively around the Bus terminal though, for obvious reasons.

Agreed. I rather like what New York did regarding banks; they're not allowed at ground level.

Of condos? That is a good idea. Maybe go a bit further and limit major franchies too.

[rbt]

Originally Posted by JustinB

Of condos? That is a good idea. Maybe go a bit further and limit major franchies too.

I believe it's a rule for all retail branches of banks regardless of the building type rather than being condo specific. Condo boards would likely still lease out to a chain but chain retail has window displays and restaurants have people.

Anyway, the intention of it is to maintain a ground level of interesting storefronts and push the sterile stuff out of the direct line of sight.

[_BPS_]

A tangible method of storing wealth even if it was acquired criminally. I've heard numerous times that this was what drove real-estate prices so high in Dubai. Foreign criminals looking to store their wealth, invested it in Dubai's condo's and land developments, and local government(s) accepting them because it brings in development. Although, I don't fully understand the economics behind it.

[nopacnone]

Why doesn't anyone mention how insanely high the demand for renting a condo is? its INSANE. THATS the number one driver

[Fotostatica]

Originally Posted by nopacnone

Why doesn't anyone mention how insanely high the demand for renting a condo is? its INSANE. THATS the number one driver

High demand for renting and buyung condos and houses is INSANE. Things are selling and renting fast and usually going on bidding wars that make prices so damn high.

Not to long ago I saw the crappiest house I've ever been into, sell for over 400k, and a super tiny condo (living, dining and bedroom was all the same area) sell for over 250.

[InTheBeach]

There are downsides to everything, so while I generally agree with the upsides mentioned (especially the taxes paid), there are two downsides which concern me.

First are those in the local economy that over-buy, meaning they pay an out-of-reach price for a property. This can happen at any point in time though.

Second is mass exit of foreign buyers.

Anyway, unlike when I normally rain on the housing market, I generally like this trend.