Investors who have lost faith in the banking system are turning to property as a safe haven for their cash.
Rebecca O’Connor and Grainne Gilmore, Times Online – 10 Oct 2008
Estate agents have identified a growth in interest from cash buyers, who want something tangible for their money rather than depositing it with banks they no longer trust.
The trend is emerging in all corners of the property market, according to one nationwide agent, from high-end mews houses in Knightsbridge to dilapidated two-up two-downs in the East Midlands.
Lindsay Cuthill, head of the southwest London office of Savills estate agents, said: “Ten days ago a wealthy, well-known businessman seeking to buy a mews in Chelsea told me, ‘I feel my money is safer here than in the banks’.”
Related Links
* World must follow my example, says Brown
* Investors flee emerging markets
* Steep rise in pleas over mortgage arrears
Robert Billson, head of Savills in Nottingham, said: “There are people with £50,000 who would rather buy a derelict house and board it up for a while than put their money in an Icelandic bank right now.” Full Article
This is just nonsense written by somebody who either is, is married to or has a close friend who is an estate agent. It is based on one sample and is not a realistic assessment of the current trends. It doesn’t matter how hard you wish for something estate agents, it just isn’t going to happen. The BMW really does have to go back and the Christmas skiing trip is indeed off. How sad.
Comment by David — 12/10/2008 #