July 28, 2014
The property will be an interesting asset in which to invest, once the price is set, and profitability has fallen bank deposits and government bonds. But only for investors who have a high net worth, more than five years ahead, and after a rigorous selection of the property. That is pointed to by Bankinter option.
The bank portion of the real estate market slowly begins a cycle change and moves towards a recovery that will be gradual. It provides an improvement in the economic environment over the next 18 months and detects moderation in price declines.
In his view, the upward trend in offices and shopping centers could be moved in the coming quarters as the residential market. “The numbers of home sales during the first months of the year confirm that we are in a turnaround has come not defined by a rapid increase in the demand, but by a slower recovery than in previous cycles,” according Bankinter.
There are two reasons why rule out housing demand figures range 2005-2007: declining population and lack of credit. According to the INE group of those between 25 and 49 years will be reduced by four million people between 2014 and 2023, to which the return to their countries of migrants will be added. As for the mortgage lending continues to fall and not be reactivated given the degree of bank indebtedness, late payment that is not reduced and that the measures announced by the ECB discarded credit for homebuyers.
“However, these obstacles will not prevent sales to rebound gradually to 330,000 in 2014 and 365,000 in 2015 Of this total, sales of new homes should be placed in a figure close to 65,000 in 2014 and 90,000 / 100,000 2015, “the report Bankinter.
The improvement is anticipated that the Spanish economy accumulates three consecutive quarters in expansion and GDP will grow by 1.3% this year and 2.1% in 2015 also expect a reduction in the unemployment rate to 22 % in late 2015 on the side of demand, home purchases by foreigners and non-residents account for 16%, driven largely by the remarkable economic growth of Germany and the UK and the advantages of climate and security Spanish. Asians are particularly interested to get into Europe via Spain leveraging residence visas for real estate investments of more than 500,000 euros.
Bankinter’s report cites CBRE whereby purchases of non-residential assets reached in the first half of the 3.226 million euros, representing an increase of 122% over 2013 financial institution that holds the interest in the tertiary will end up moving to residential short term.
2015 expected price spikes in some of the best locations and predicts an increase of up to 4% in 2015 Note that there are several studies that have identified market price increases in some districts of the big cities that have consumed the stock.
Bankinter seeks growth in the average price of housing within nine to twelve months. This is one of the data so that it is inclined to prefer investing in residential real estate assets in good locations and capital costs, in view of the current spike in rental yield and future price spike and thinking about who has a good assets to support him.
Instead, appreciate still uncertainties regarding assets Socimi being created, except for Merlin Properties, despite the appeal that may involve operating traded, they are to be distributed as dividends 80% who do not reinvest and are exempt corporate tax.
Grows 110% real estate investment
Socimi have facilitated growth in non-residential investment in Spain, 110% in annual terms during the first half of 2014; 2,300 million euros, according to BNP Paribas Real Estate.
Almost 40% of the investment has gone to the hotel followed business assets (29%) and offices (27%). 65% of the capital comes from China, Latin America or the Persian Gulf. And the total, 810 million euros have the national seal, which is a percentage increase of 150% in the amount deposited by Spanish investors. The losing weight is on the institutional investor, with only 18% share merado and descending.
Chapter vendors, financial institutions directly or through their estate is the most active.
Francisco Manchon, investment director at BNP Paribas Real Estate in Spain, 2015 expected an increase in sales and profitability, as well as investors diversify into secondary markets and real value added.
July 14, 2014
Yields dividend yield Fibras outperform these vehicles in the U.S. due to higher interest rates and strong growth in Mexico that still have only three years after it was created.
Fideicomisos de Inversión en Bienes (fibras) in Mexico have distributed profits are more attractive than those of these instruments in the United States, called Real Estate Investment Trusts (REITs, for its acronym in English).
While in the first quarter of 2014, REITs dividends distributed with an annualized return of 4.1 percent, the lowest in the last four quarters, in Mexico this indicator was 6 percent.
The dividend yield (dividend yield) is calculated based on the distribution of market certificate made Fibers and price listed. Being hybrid capital and debt instruments between, investors do not only look at the price of the securities in the market, but also in the dividend yield.
Since leaving the Bolsa Mexicana de Valores (BMV), in March 2011, Fibra Uno has a yield of 132 percent to pass your Certificados Bursátiles Fiduciarios Inmobiliarios (CBFIs) for a price of 19.50 pesos to 45.27 (yesterday’s close ) and its annual dividend yield of 2013 was 12 percent.
A person who invested 950,000 million pesos Fiber One, since it hit the market, has had a gain 3 million 46 thousand 570 pesos, that is, 156 percent. This includes the accumulated price of CBFIs and dividends paid to increase.
The highest yields of fiber are associated with the start-up phase by traversing the instruments in Mexico, just three years of being created, as well as aggressive expansion that has driven its financial results with up to triple digit growth in its operating profit, analysts said.
“The fibras are at a stage where they present significant growth rates in new properties and also yields (dividend) relatively attractive relative to interest rates, to vary between 4 and 8 percent,” said Augusto Arellano, director of Investment Banking Evercore Mexico.
Fibers with lower dividend yields are those that have in their portfolios a lot of properties in development that do not generate revenue by not being bound, which punishes the quarterly payment to investors, said Arellano.
The index brings together the eight fibers that are listed on the market today accumulated yield of 6 percent in the last 12 months.
In three years, Fibra Uno has taken its initial portfolio of 17 properties with a leasable area of 475 thousand square meters, 416 buildings with an area of 5.2 million square meters, resulting in triple digit annual growth in net income and operating performance up to 69 percent of its securities (including dividends paid) in 2012.
Other factors that make it more profitable dividends Fibras are interest rates and inflation.
Luis Gutierrez, Prologis president for Latin America, said the country risk is higher in Mexico than in other countries, like the U.S., where interest rates long term hovering below 3 percent in Mexico and levels exceed 7 percent.
Arellano said the spread between yields and interest rates in REITs is much lower than that of the fibras, making them more attractive to international investors.
“They are instruments that provide ‘yield’ and in an environment in which the investor is looking for a general performance with relatively low risk, the fibers have become very attractive and attract much foreign investment,” said the director of Evercore.
This was observed in the recent follow-on Fibras One in the BMV, where 60 percent of the paper was in the hands of foreign investors, said Roberto Solano, an analyst at Monex. Despite higher dividend yields of the fibers, the performance of its securities in the market has been punished in recent months.
Holiday in Buenos Aires rose 25 percent last year, below inflation in Argentina’s capital during the same period, from 39.5%, according to official data, but landlords and settings locatorios agree to not affecting the supply of housing.
According to the Law of Rentals, values must be kept fixed for 24 months or 36 months for housing trade contract, but “there is a relevance to what the law says with an inflationary situation, so the market found a formula that is agreed for global lump sum, ie, secured by a fixed total amount of 24 months total, but while adjustments are agreed from the seventh month, and instead of a year, which was what was being done, it is updated every six months, “explained José InfobaeTV Rozados, director of Real Estate Report, in dialogue with Luis Novaresio.
Thus inflation is seeking to cover for the contract deal for both parties: the tenant who can pay, and the landlord so you can have an income.
“In a lease, the logic is that to keep it, you must agree to both sides, one for live and the other to supplement their income or other needs. Common sense is basic to the lease for that people can get a room, “said the expert.
“Today’s rental market is generally balanced. One can say that in the neighborhoods where they built increased supply and demand, but lack good deal in the southern suburbs. When you leave a good property quickly rented. That makes prices tend to be equated with what can be in Chacabuco Parque Palermo and another in the northern corridor, “said Rozados.
The director indicated that Real Estate Report “for market garages warns a structural problem, because there is a mismatch between the amount of parking available and the number of cars, so they imposed increase the supply of parking spaces is namely the question goes through planning, to address a sensitive issue for the City. “
July 2, 2014
The International Business Centre and Exhibition Bogota Corferias-and-Real Estate Association of Bogotá are ready to offer the public the largest real estate showcase of Colombia and one of the largest in the continent, the eighth version of the Great Real Estate Exhibition. This event seeks to establish itself as the ideal solution for real estate business platform, through the presentation of new and safe investment opportunities, an excellent range of projects of new and used construction, and related services sector.
Attendees will enjoy five days of a space in which you will find options to acquire or lease new and used housing, investing in real estate, financial services and meet regional real estate, and to establish business contacts.
In October this year will be the eighth edition of the event which aims to increase its average of exhibitors and visitors. So this time around 3,900 square meters of exhibition grounds were arranged to cover as nearly 130 national and international exhibitors presenting their commercial offers to 21,000 attendees are expected to visit the fair to learn everything related to the current industry.