I have two girlfriends who went from DR quite often to St Barts, I thought they might switch back if they had to. But they think DR is too sleezy with all the sex tourism, I think they go to St Barts to be with a better crowd, better food, shopping, entertainment.
Originally Posted by korejdk
I fear that the US has been in trouble for some time and will get worse over the next few months to a year or more. (I study the markets and saw this coming two years ago.)
With the US $ down, and most likely will continue to fall, good for tourest/buyers from other countries peoples to go to the US.
As for the Dominican Republic? IF you could get the Hotels and tourest. real estate people to give you an honest answer... that would tell us a lot. (Some have asked me... where the tourest?)
As far as people coming to the D.R. instead of thier other regular vacation places, not likely. They may have to fly on regular flights 1st class, rather then private jets and leave their horses and staff home. (Yes, some do bring them.) I have noticed that the private chartered yatches that pass by my place on the North Coast, are about 1/3 of last year.
Keep in mind that the Peso is valued mostly on the US dollar and it takes a few months for the full effect to take place in the DR. England takes about 6 months with Europe about another 6 months to show up on a local basis.
Hold on. Regards, Ringo
Just to give you a tangible idea of how bad it's hurting right now in the US:
Here in Orlando FL alone biz is down 25% since Sept last year, and this Jan is not looking any better or at least signs of improving the trend...
Just to make the pain more understandable our company just lost 1 million in sales compared to the same period of FY 2006-07...
Gas is sure going up but people are using less and less, as inventory stalls, the costs are amounting and not easing as much as before if any...
We're confronting the same issues in NYC and Los Angeles CA...
Is not something that affects any particular City or State, but nation-wide.
Recently I attended a meeting with Chevron top honchos and the news is bleak in the short term and not even talked about for the long term. The issues at hand are that even thus Chevron has inventory to supply the market as needed, over-inventory is increasing the loss of revenues to obtain a steady future supply should the barrel prices continue their surge in price.
The housing slump became just an add on to the heavy load the market was under for so long, had the FED cut rates as expected earlier in the year by at least 3/4 to a point; this whole mess could have been avoided and at worst, current inflation would have been more manageable than the increase of soon to come lay-offs will have in the overall crisis.
Only our company will lay off some 1/4 of the work force in the next cycle at least, if things don't improve by then, some 1/3 will have to be cut...
Inflation is growing at record speed and basic foods are becoming more and more out of the pocketbook's reach of many families here. Since most jobs are oriented towards non basic needs, I see a dire projection for the market as a whole soon to come...
The DR is fast becoming the playground of the top dollar tourism "Elite".
Originally Posted by margaret
The building of multiple 5 star hotels is only the icing on the cake, as more and more of them make the DR their second home to rest in the secluded areas being built all around the country hush-hush...
Like I said: Don't blink twice!!
I agree with Pichardo!
Only the middle and low class destination will suffer.
High end destinations will always be visited because rich people usually don't suffer from resessions.
The DR also could try to "reaninmate" the European market, there is buying power there.
The DR will see the aftershocks of the USA's recession via the Diaspora that makes their impact with remittances year after year...
Originally Posted by Ringo
About less tourists calling the DR, the reverse is happening; more and more of the tourists that call port in the DR are spending more and many are buying property here as soon as it's put up for sale, like hot cakes out of the oven...
The less transit you see of yachts coming and going by your house looking towards the sea is mostly because more and more of those are mooring for long stays in the docks, unlike before...
Just take a stroll by most of the marinas and try and see if you get lucky getting a slot for any 50+ footer there...
As for 1st class flights, tough luck! Most airliners have made away with the 1st class definition towards the "Biz" travelers...
About the US Dollar taking at least 6 months to have the ripple effect in the DR's economy, yes, if we were living back in the early 1980's maybe...
Nowadays the DR market is as much dynamic as the European or Asian is to the US. The effects are swift and sometimes need the trade on floors to be stopped cold to avoid catastrophes...
The thing you must separate the DR market from the US recession, is that no longer the DR keeps all the eggs in US $ but Euros as well...
The DR's banks are awashed with extra income and projections never looked better, as the internal revenues due to better accounting and corporate audits are proving to make past debtors the new poster boys for good clients the norm.
Pichardo, I agree with you views on the US situation. I do believe that it will have world wide ripple effect. One has to look at not just a housing/money market but everything that effects; gasoline, heating fuel, food, cloths... every day items in the US and other parts of the world have gone up effecting the everyday spending of everyone... very rich people included.
There may be a good thing being in the D.R. The relationships with some.... ah... ah.... South American Countries may help the D.R. keep things more under control.
Mido, the D.R. is mostly known as being a destination for lower and middle income people and they/D.R. will cut the travel... Keep in mind... when the lower and middle income do not spend (over a period of time), the upper incomes go down also.
What am I saying!!!!!!!!!!!!!!!!
If you're a foreigner reading these posts:
Don't come to the DR to buy property here!! DR is a high risk market! You can lose you hard earned money in the blink of an eye!!
Don't think that because Donald Trump is building like there's no tomorrow for land in the DR, don't come and buy!!!
The DR is not a solid economy and will bend like a twig in the wind!!!!
Go to Bahamas, etc... To buy land and build your Caribbean nest! If you want to live in a good climate go to Costa Rica (much better than the DR, ask Robert of DR1) or Colombia...
The DR will take your money and leave you penniless in a jiffy! Only Dominicans invest so much here and have so many crazy ideas for the tomorrow because they can't just use the dry feet policy of Cubans in Miami...
Just come as a tourist if you want, but don't buy any property here or worst try to make residence here!!
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