euro/pound exchange rates

[ganesh]

Just how well is the pound doing against the euro,and what's predicted. I'll be buying a house in greece and just wondered.

[ganesh]

Not good then,do the experts think it will go lower?

[legend_mark3]

Sorry but the daftest thing anyone can do is buy a house priced in euros when their currency is pounds.
Efectively over the last 10 months the value of the pound against the euro has dropped at least 20%.
so if you buy a house abroad , which is crazy believe me , you are in effect paying 20% more for it than a year ago.
Bearing in mind property prices have actually fallen then its a doubly crazy thing to do.
better to rent for the next year and then see if the pound has improved.at the moment its the lowest since the slide started last november.
best advice dont buy at the moment and regret it later .
hope this helped.

[ganesh]

Thanks legend,good advice. But according to the Greeks,their house and land prices ,unlike ours are still rising by about 20% a year. If this is true then it would still be a good time to buy rather than wait a year?

[legend_mark3]

Well ive yet to meet anyone selling a house or land who will be entirely honest .
if its like spain you need to allow 10% for fees and lawyesr
so

if you buy a house at say 100,00 you will pay 10,000 in fees .
that house costs 110,000 euros , when last year it wouldve cost you 88,000 including fees
even allowing for 205 rise , which sounds extremely high btw , your 888,000 house would be worth roughly 105,600
still less than the amount youre paying at 110,000 and thats if there really is a 20% rise in value .
id try googling for info as property markets in europe are either slow or in decline but may be better in greece.but 205 does sound very high.
obviously if the increase is less than the 205 stated then the value would be less too.


hope this makes sense as im not an estate agent but just saying what i believe to be useful information.

[legend_mark3]

Cant find any current info on house values
will try later

but there is a 11% tax on buying a property for foreigners and also
"A foreigner owning property in Greece may sell that property, but all profits gained above the original price paid for the property must remain in a special bank account designed to keep the funds in Greece. "

Therefore not really a great investment if any profit has to remain in greece if you do sell .

id take plenty advice , and remember most of the people advising you to buy do get a financial gain too.

just a thought .

[legend_mark3]

http://uk.reuters.com/article/oilRpt/idUKL7647 36520080807


And highest inflation rate in the eurozone too .

[legend_mark3]

http://www.euro-house.org/eng/articles/view/81 /1837



says prices are rising but exspensive buying cost for foreigners

hope that helps

[ganesh]

Thanks,yes I'm sure your'e right and I'm not really looking for an 'investment',rather, a home.
But I agree,estate agents are mostly fake,and it would probably be best to wait. But then we may go down further and I'll be unable to get anything at all!
With global struggles I'm suprised wer'e doing so badly against our european mates!