Gran Alacant Forum

Gran Alacant Forum => General Discussions => Topic started by: John H on August 15, 2016, 09:47.

Title: Is there a "sell" point
Post by: John H on August 15, 2016, 09:47.

I see the £ is sat at €1.157 this morning.
Although trying to predict currency rates isn't an exacting science I can't see the rate improving for quite a while whilst the Bank is purchasing assets.....it could get even lower, on the other hand it might go up
I just wonder is there a point when you think "at that exchange rate I'm cashing in"
I must admit it's got me thinking that if we get down to €1.10 we might be having a Se Vende sign put up

Regards all

John


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Title: Re: Is there a "sell" point
Post by: mike and judith on August 15, 2016, 10:35.

Another aspect to it, John.  How do you put a value on the time you spend both in your house, & using it as a base to go elsewhere from?
If you sell, what do you do with the money?
I'm inclined to hang on for as long as my health allows it to be feasible.

Title: Re: Is there a "sell" point
Post by: BeachLife on August 15, 2016, 11:40.

Whilst the exchange rate for selling  Euros is low I often see a 3 or 4 cent on the "buy" side which some people forget about.  Some cheeky banks are selling at 1:12 now and buying back at 1:22


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Title: Re: Is there a "sell" point
Post by: Spurs on August 15, 2016, 11:41.

Don't think I'll be selling yet didn't buy it to make money and the value I get out of it as a holiday home is worth far more than money

Title: Re: Is there a "sell" point
Post by: John H on August 15, 2016, 12:15.

You sound just like Mrs H Mike!!

She said exactly the same.

No Se Vende sign for another few years!!

Rich, when I spoke to the agents a few years ago they all said they would assist in opening accounts at banks where you would get a favourable exchange rate........or following Victors splendid post on Transferwise you could just use them.

Regards all

John


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Title: Re: Is there a "sell" point
Post by: tony and lesley on August 15, 2016, 12:37.

Its a no brainer John.  Status Quo .  Where can you have a nice relax in the sun in winter thats only 2hrs away and pay £50 for the priviledge.

Only one way of  making money in this climate ,invest in shares with 4% and above yield.

Get back on yer lounger an enjoy .

Title: Re: Is there a "sell" point
Post by: BeachLife on August 15, 2016, 12:38.

€100.000 euros gets bought be Transferwise for £86.050 not bad (1:16 > £) - not bad at all they are selling at 1:15. Just a cent diff - that is very good

Title: Re: Is there a "sell" point
Post by: Brandon on August 15, 2016, 12:42.

Hi John,

I heard some senior forecaster expert on the radio this morning predicting that the Euro and Sterling could reach parity within the next months.
He sounded like an interesting guy (cant remember his name, but Ill try to dig it out)

He figued it was in Britans interest for sterling to devalue further for 2 reasons.
British exports and also to gve a good negotiating stance when negotiating the terms for Brexit.

someting to consider....

Brandon

Title: Re: Is there a "sell" point
Post by: Brandon on August 15, 2016, 13:04.

2 guys I heard on the radio this morning.

First was Neal Kimberley, Brexit & currency "Expert" who also writes a column with the South China Evening post.
Claimed HSBC predicting 0.92 exchange by Q4 2016 and parity before end of 2017.


Other guy was Pramath Gauche, Global strategist with Merrion Capital.
Similar outlook.

Title: Re: Is there a "sell" point
Post by: John H on August 15, 2016, 13:18.

Morning Tony, overseas shares/bonds make sound sense if the guys Brandon listened to are correct in their forecast......although most of the FTSE top 100 make a big percentage of their profits overseas.....one of the key drivers in the FTSE's current levels, your 4% could be way off the mark
I've used Transferwise about six times now Rich, great rates after fees, and a very easy to use and very efficient service

Regards all

John


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Title: Re: Is there a "sell" point
Post by: Blue and white stripes on August 15, 2016, 16:17.

A well balanced share portfolio paying an average yield of 4% knocks spots off the banks.

Title: Re: Is there a "sell" point
Post by: Tony Gillam on August 16, 2016, 07:24.

Whilst the exchange rate has theoretically increased the capital value of our properties, the annual running costs have increased by about 25%.

Title: Re: Is there a "sell" point
Post by: Corporal Jones on August 16, 2016, 08:46.

There's a lot of British living in euro land who bought when the rate was 1.50 euros to the pound, the closer to parity the rate becomes will enable them to get there money out on a technical loss on property value but break even or maybe a small profit on the currency exchange. I predict a small exodus over the next 2 years.

Title: Re: Is there a "sell" point
Post by: Blue and white stripes on August 16, 2016, 08:55.

Also the people who bought at 1.50 a few years ago may feel as though they've 'done' Spain and fancy a change.

Title: Re: Is there a "sell" point
Post by: Corporal Jones on August 16, 2016, 09:06.

A hypothetical question, if someone approached and offered you exactly what you paid for your property, paid today into your UK bank with all legalities sorted, no hassle transaction, how many would take the offer !

Title: Re: Is there a "sell" point
Post by: John H on August 16, 2016, 09:45.

Quote from: victor on August 16, 2016, 08:46.

I predict a small exodus over the next 2 years.

I think you are quite right on this Victor.
For a lot of people who moved out to Spain with dreams of a happy and healthy life, that haven't quite materialised, this  exchange rate gives them a chance to return to the UK and the opportunity to get back on the housing ladder here.

Your theoretical question, no, I know it's worth more, based on three valuations for a "quick sale" 18 months ago

Regards all

John


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Title: Re: Is there a "sell" point
Post by: Philndeb on August 16, 2016, 15:01.

Quote from: victor on August 16, 2016, 08:46.

There's a lot of British living in euro land who bought when the rate was 1.50 euros to the pound, the closer to parity the rate becomes will enable them to get there money out on a technical loss on property value but break even or maybe a small profit on the currency exchange. I predict a small exodus over the next 2 years.

That's assuming there are the people mad enough to buy at this very low exchange rate, so I think people will have to slash the asking price to make a sale.

Title: Re: Is there a "sell" point
Post by: John H on August 16, 2016, 15:36.

Not all buyers pay in Sterling.

If I look on our community over the last few years hardly any sales have been made to people from the UK.........the Spanish, Norwegians, Dutch and Germans probably make up 90% of buyers

Regards all

John

Title: Re: Is there a "sell" point
Post by: llamedos on August 16, 2016, 19:07.

Quote from: John Hannon on August 16, 2016, 15:36.

Not all buyers pay in Sterling.

If I look on our community over the last few years hardly any sales have been made to people from the UK.........the Spanish, Norwegians, Dutch and Germans probably make up 90% of buyers

Regards all

John

I look forward to some Norwegian and German bars opening up soon.

Title: Re: Is there a "sell" point
Post by: John H on August 16, 2016, 19:14.

As long as they don't charge Norwegian prices I wouldn't mind that!!
Pity the Norwegian restaurant, can't remember it's name, next to Max Coop shut

Regards all

John


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Title: Re: Is there a "sell" point
Post by: Spurs on August 17, 2016, 14:18.

If it's the one I think it was John it was Marandi very good fish

Title: Re: Is there a "sell" point
Post by: John H on August 17, 2016, 15:47.

That's the one, a sad sad loss, it was our favourite


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