When blows out the "Condominium-bubble" in the area of Cabarete ?

[abe]

I don't think that the rental revenues in these high end condos will be sufficient to cover the costs incurred by an occasional visitor/mostly "landlord". That is the problem with second homes everywhere on earth, alas.

Thus, one of two things will happen. Either the owners will wind up living there for longer periods in their retirement and run into the lack of services, etc. that I have cited, or the market will witness a very big glut of resales and the resultant downturn.

Either way the downturn will come sooner or later. One way to prevent that is to recognize that those who have the money to actually enjoy retirement life in Cabarete will need to be catered to. Witness Central America's boom in retirement homes--it is driven by more adventuresome boomers. But those countries as well as the expat developers have created communities that are more "aging-boomer friendly."

The image of Florida's old age communities is not a valid portrayal of the retirees coming down the pike. Adapt or die works with communities and living species both.

[financial analyst]

Originally Posted by Otter

People have been talking about the Dominican quite a bit in the past few years and this rang Pavlov's investor bell.

Its looks so, but they are at least 5 years to late.

NAHB housing market index for the states felt down yesterday to a 16 years low. The states RE-crises will not be without influence of the DR-RE-market.

[globalmike295]

Originally Posted by financial analyst

Its looks so, but they are at least 5 years to late.

NAHB housing market index for the states felt down yesterday to a 16 years low. The states RE-crises will not be without influence of the DR-RE-market.

I agree , combine that with DOW Jones reaching new highs, without earnings.

Price to earnings ratios....?

With a new President comes fears and expectations that are not normally condusive to rational descion making.

Mike

[aegap]

Musing, I came up with the following interesting question: Can the Real Estate downturn be partially explained by the great run the U.S. stock market has been having? ...they both directly compete for investors, don't they?

[globalmike295]

Originally Posted by aegap

Musing, I came up with the following interesting question: Can the Real Estate downturn be partially explained by the great run the U.S. stock market has been having? ...they both directly compete for investors, don't they?

Absolutely, all markets run in cycles and that is why you need to have a diversified portfolio, of real estate, stocks , bonds, and commodities as well as emerging markets

Might I add that only a portion of your Real Estate holdings should be in an emerging market, and the Dr is just that

[financial analyst]

Originally Posted by globalmike295

...DOW Jones reaching new highs, without earnings.

Price to earnings ratios....?

Mike

Mike you are joking, the earnings are on a record level and the Price to earnings ratios for 2008 is around 16.

[globalmike295]

Originally Posted by financial analyst

Mike you are joking, the earnings are on a record level and the Price to earnings ratios for 2008 is around 16.

8-9 is optimal

[globalmike295]

Originally Posted by financial analyst

Its looks so, but they are at least 5 years to late.

NAHB housing market index for the states felt down yesterday to a 16 years low. The states RE-crises will not be without influence of the DR-RE-market.

Housing purchases In the U.S reached a new high, however the Median home price is down by 11% from the previous year.

[batich]

Originally Posted by globalmike295

Housing purchases In the U.S reached a new high, however the Median home price is down by 11% from the previous year.

A VERY strange statement (above). To say the least.

With due respect.

NAR is of a different opinion.

And the medium house US price is $220G while in Sosua/Cabarete a RE agent immediatelly slaps you with a $300-$400G asking price even for the most basic unit. In a country with an average normal salary of $400- $700US even for teachers or medical doctors.

Home prices fall for 9th straight month - Yahoo! News

[globalmike295]

Originally Posted by batich

A VERY strange statement (above). To say the least.

With due respect.

NAR is of a different opinion.

And the medium house US price is $220G while in Sosua/Cabarete a RE agent immediatelly slaps you with a $300-$400G asking price even for the most basic unit. In a country with an average normal salary of $400- $700US even for teachers or medical doctors.

Home prices fall for 9th straight month - Yahoo! News

With all due respect it is not strange at all but perhaps worded incorrectly as statistics are a tad misleading

The articale I read was that for the month of April there was a record number of houses sold for that month , however at a lower price which is 11% lower than last year for the same of April.

The Median
The Median is the 'middle value' in your list. When the totals of the list are odd, the median is the middle entry in the list after sorting the list into increasing order. When the totals of the list are even, the median is equal to the sum of the two middle (after sorting the list into increasing order) numbers divided by two. Thus, remember to line up your values, the middle number is the median! Be sure to remember the odd and even rule.

That is the definition of Median