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End near for real estate crisis

marciadottin, [email protected]

End near for real estate crisis

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THE CRISIS affecting Barbados’ real estate market due to the global recession should be over within the decade.At least the crisis affecting the high end of the market, predicted director of Best Invest (Barbados), Michael Webster.“The crises affecting the high end of the real estate market, which includes things like condos and properties worth between $800 000 [and] $5 million, is due to the global recession . . . [but] will ‘shake out’ by 2016 and will either go back to normal or be better than it was.“In the lower end, however, the problem has to do with the availability of affordable land and with the inability to build houses at a reasonable price,” he said.Webster, speaking yesterday prior to a real estate symposium held at The Dining Club, 11 Newton Industrial Park, Christ Church, and hosted by the Caribbean Mortgage Network (CMN) in conjunction with Best Invest, said Government was currently working on this.“Government is making an attempt to make a dent in the low-end market but because of the limited land they have and the huge number of people outside of the price range . . .  they are looking to solve the problem by cutting the existing land into smaller lots and looking towards cheaper building solutions in order to help people afford homes,” he said.However, Webster said prices would continue to rise over the next five years, which was why they were urging the public to consult with them so they can find solutions.He added that part of the solution was in regaining the trust of returning nationals, which could be done by eliminating some of the problems in the lower market.Chief executive officer and chairman of CMN, Dave Sahadath, said they had heard too many “horror stories” from returning nationals regarding bad construction practices in Barbados and the region which was a part of why the company was formed.“A lot of times folks would go see a property, get excited about it, then find out a month-and-a-half later they’re not qualified for that mortgage.” Sahadath said the symposium was open to the public, although an RSVP was required.He said they invited attorneys, bankers, realtors, architects and other professionals to speak on a variety of informative topics.“We pay attention to all the details and try to simplify the process.” (CA)