“Ultimately, they are looking for locations that are close to home with good infrastructure, including transport links,” he said.

In challenging economic times, buyers are more likely to target locations closer to home than far-flung locations, said Ben May, an economist with Capital Economics, a research consultant based in London. “I think that most buyers will be cash-rich and confident about their job,” he said. “And as prices have fallen in markets like southern Spain and Portugal — and may continue to fall — there is more of a feeling that there are some bargains out there.”

The interest in Portugal is focused once again on the Algarve region of the southern coast, according to the Knight Frank real estate agency. Agency figures show prices in many parts of the Algarve have fallen by 25 percent since the end of last year and, according to Georgina Richards of the agency’s London offices, Knight Frank has sold seven properties in the area to British buyers since April.

“British and Irish buyers tend to look at villas, because they offer more privacy,” said Ms. Richards. “Close proximity to restaurants and the beach is also very important to them.”

Typically, villas in the area sell for less than €1 million, or $1.5 million, although they occasionally come on the market for as much as €2.5 million, she said.

One man newly seduced by falling prices is Pierre Doyle, owner of the European pub chain O’Reilly’s. Originally from County Kildare, on the east coast of Ireland, he bought a villa along Praia da Luz, a crescent-shaped beach in the Algarve, in August.

“I’d been down in the Algarve last summer for a month and had one of the best holidays I’d ever had. There seemed to be a lot of opportunities to enjoy outdoor activities,” Mr. Doyle said. “However, the market was on a downward path and it didn’t seem like the best time to buy.

“Earlier this year, though, I started to look again. I wanted a place that was dog-friendly — for my dog — with a garden,” he said. “The cottage-like garden had so much character, it sold it to me immediately.”

In a sign of just how much prices have fallen, Mr. Doyle paid €400,000 for the three-bedroom villa with a pool. The 186-square-meter, or 2,000-square-foot, property had been on the market last year for slightly less than €600,000. He now intends to move from Germany next month and plans to make the villa his primary residence.

Next year, prices in the Western Algarve are likely to remain stable but not increase, considering the sizeable correction that already has taken place, Ms. Richards said.

In the Central Algarve, particularly Vale do Lobo and Quinta do Lago, prices already have stabilized, largely due to the proximity to Faro airport, waterfront location and good facilities, she said. As of 2011, prices are likely to increase by 3 percent to 5 percent a year, and possibly more in the more sought-after locations, said Mr. Weston-Baker of Savills International.

Even along the Costas in southern Spain, which have been plagued in recent years with construction and corruption scandals, interest from British buyers is rising.

According to Louise Cant, director of Hudson International Properties in Marbella, inquiries from potential buyers for midrange to high-end homes in southern Spain have tripled since January, to just over 60 a month. And more than half the inquiries are from Britons, she said.

Ms. Cant declined to disclose specific sales numbers. But she said: “I think that people have started to realize that the market has probably bottomed out — or won’t fall much further — and that there are some bargains to be had.”

Prices at the top end of the area market have fallen by around 20 percent since mid-2007, and by as much as 40 percent at the lower end of the market. Now, homes cost around €3,500 per square meter, down from around €4,500 at the beginning of 2007, according to Hudson figures. Typically such homes are spread over about 400 square meters, with four bedrooms, a private pool and a garden.

The lower prices also are spurring rental tenants to buy, she said, describing a British client whose rental is being sold so “he has decided to buy and really doesn’t care if the market drops further as his family is settled and wants a permanent home,” she said.

According to Mr. May at Capital Economics, housing prices in Spain are not falling as sharply as they were at the beginning of the year but they could decline by as much as another 30 percent over the next three years. And while the drop at the top end may not be dramatic because demand is stronger, developers may be forced to discount sharply to get rid of the glut of newly built units at the lower end of the market that have not sold, Capital Economics has said.

Some property funds, including British-based funds, are interested in buying residential units to turn them into rentals, but there is less interest from private individuals in the buy-to-let market, Ms. Cant said.

source: http://www.nytimes.com

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At first glance you will find the latest real estate options, including the new Vale Real development (The Royal Valley) – the last remaining golf-front plots at the resort, running alongside the prestigious Royal Golf Course. One of the hottest real estate opportunities in the region and not to be missed! You will also find details of the many year-round events taking place at the resort along with diverse real estate-related topics, with something for everyone. Be sure to ask the Goldentree team for more information on the fabulous opportunities available at Vale do Lobo.
Vale do Lobo, the Europe’s finest golf and beach resort, a world of leisure and luxury awaits. Situated just 20 minutes from Faro International Airport, with direct flights from most major European cities in under 3 hours, Vale do Lobo offers a completely holistic experience unlike any other.

With the versatility to cater for sports enthusiasts, spa lovers, gourmands and sun worshippers, and with a selection of accommodation to suit all requirements – from simple apartments to luxury villas with pool and garden, all fully equipped and serviced daily by a personal maid.
Vale do Lobo has an enviable reputation in offering an extensive range of sporting and leisure facilities, with something for every member of the family to enjoy. Discover two kilometres of golden beach, top international cuisine, year-round events and all the services one could ever need, harnessed in a single destination.

Vale do Lobo is many holiday destinations in one and a perfect place for families, with something to keep everyone smiling. Its almost year-round sun and proximity to Faro airport make it eternally attractive and easy to get to.

Situated just 20 minutes from Faro International Airport in a location of breathtaking natural beauty, the resort offers the ideal environment for your holiday, with top-quality accommodation ranging from modern apartments to luxury detached villas with golf and/or sea views.

Holiday rentals can be organised on a once-off basis through the Resort Reception or, alternatively, by joining the Exclusive Vacation Club, which offers preferential advantages to its members, who choose to holiday frequently at the resort.

Ana Paula Marques | Goldentree Director
www.goldentree.eu

You can access the full Goldentree – Vale do Lobo Newsletter here.

Monte Santo’s Golf Package “European Senior Tour Qualifying School”, which incorporates the Pestana Golf’s European Senior championship held from the 11th to the 19th of November throughout the Vale da Pinta, Gramacho and Silves golf couses is already available for reservations. This package is available for as little as €85 per person per night while including the transfers to the golf courses, accommodation and full access to all of Monte Santo’s facilities such as the health club, indoor pool, Turkish bath, sauna pools and a round of golf at one of the Pestana golf courses, so that you may observe great swings and put them into practice.

Vilamoura needs no introduction when it comes to receiving prestigious international golf tournaments; one example being the soon to be held third edition of the Portugal Masters. This tournament is considered one of the sport’s most important championships and includes a prize of over 3 million Euros. The match is played from the 15th to the 18th of October on the Oceânico Victoria golf course, designed by the mythic player Arnold Palmer. The Portugal Masters strongly helps to position the country as a leading golf destination in Europe.

IMOCOM Hotels and Resorts’ Vilamoura property- As Cascatas Golf Resort & Spa- has created a 2009 Portugal Masters golf package. With rates as low as €139 per person per night this promotion incorporates luxurious accommodation, complimentary access to the 7Seven Spa Vilamoura social areas, a €100 spa voucher, tickets to attend the golf tournament and a round of golf.

“The proximity of our resorts to the best golf courses in Vilamoura and Carvoeiro, makes golf a primary segments. Vilamoura is world-renowned for its golf. Carvoeiro, while there is still margin for growth, also has great courses. When collaborating with the Pestana Group we intend to join two high-quality products in one offer, therefore creating synergies that allow us to make golf available to everyone; proving it is no longer an elitist sport.” commented Marc Sontag, IMOCOM Hotels and Resorts’ Residential Tourism Director.

More information regarding these and other golf packages are available on the resorts’ websites www.montesantoalgarve.com and www.ascascatasvilamoura.com.

source: www.algarvemais.com

Sterling to Euro
With the Interbank breaking through the 1.18 barrier for the first time this year, June has been a testing time for the Euro. The overall trend is upwards and is predicted to remain that way, however the Currency Markets are some of the most volatile in the world, so be sure to discuss Limits andStops.

The Current Euro performance can be mainly attributed to the overall weakness of the Eurozone Economy. Each week key data is released that shows how the Eurozone or key Economies within are performing. Clearly good news can strengthen the Euro and conversely poor data will see the current trend continuing.

Upcoming data releases we will be watching this week include the German Unemployment Statistics on Tuesday followed on Wednesday by the German retail sales figures. Thursday sees the release of the Euro Unemployment figures and the European Central Banks interest rate decision. Any of these releases can affect investor confidence in the Euro. To ensure you know how they may affect you, contact us today.

US Dollar
Last week saw a relatively quiet calendar for Cable, and this was reflected in a narrow trading range throughout the week of 1.62-1.65 at interbank level, closing the week out at roughly the same mark where it had begun.

Both Sterling and the US Dollar are under heavy pressure at the moment for different reasons.

Many analysts speculate that the Dollar has been dramatically overbought due to the current global financial crisis, and is therefore overvalued. Sterling on the other hand is still seen as extremely weak, with one Bloomberg analyst comparing the UK economy to that of Zimbabwe.

Serious doubts have been cast of the Brown government’s ability to see the country out of the troubles which have sunk several major banks, and sent unemployment to record levels in recent history.

Looking to the week ahead, we have a much busier calendar, with a final Q1 GDP reading for the UK on Tuesday, followed by Manufacturing, Unemployment and Vehicle Sales releases from the USA later in the week. This could suggest the Dollar weakening, as we are likely to see further rises in unemployment, and a continued decline in Vehicle Sales.

Despite a return to the 1.60s from a 2009-low of 1.35, clients buying US Dollars should not expect these gains to continue back up to the 2.00 mark as we saw last summer.

Continued Sterling strength and Dollar weakness are far from guaranteed, as many analysts believe the levels of early 2008 were artificially inflated by the interest-rate cutting cycle. Therefore, clients who need US Dollars may wish to consider a Forward contract whilst these levels are available.

This Week’s Data
As a whole, the week ahead looks relatively quiet in terms of important data releases. Of course the main event that will effect those buying or selling Euros will be Thursdays European Central Bank (ECB) Interest rate decision.

Of course, interest rate decisions impact heavily upon exchange rates as large scale investors such as national treasuries and investment banks will naturally prefer to hold currencies with higher interest rates and thus returns. The more one particular currency is bought, the weaker it becomes relative to another currency. Therefore should we see an interest rate cut on Thursday, it would be realistic to expect the Euro weaken against the pound; meaning a better exchange rate if you are buying Euros.

source: http://www.foremostcurrencygroup.co.uk

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Vale de Santo António was specifically conceived to give your family unique moments.

From the luxurious villas to the lush gardens and majestic waterfalls, from the careful design of the swimming-pools and bicycle tracks to the comfort of the Clubhouse, from the security of the resort to the excellence of the service, all details have been thought so that every moment you spend with your family is absolutely unforgettable.

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more info: here

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