The problem with having your recession at the same time as everyone else is that it can put a damper on the dream that a wealthy foreigner will swoop in and bid the price of your Whalley pre-sale back up. According to this article, South Koreans are now purchasing 73% less overseas property than they were a year ago.
According to the Ministry of Strategy and Finance Wednesday, local residents purchased homes and other properties in foreign countries worth $25 million in September, down 73 percent from $92 million a year earlier. The number of transactions totaled 56, down from 288. The September figure was also lower than the $45 million of the previous month.
Overseas property buying in the third quarter totaled $141 million, down more than 50 percent from $312 million for the same period last year.
The ministry said the international financial market turmoil and the sluggish housing market at home and abroad continued to dampen local investor sentiment. The worsening credit shortage and the possibility of a global economic slowdown accelerated a drop in home prices around the world, discouraging Koreans from spending on homes and other properties in foreign countries.
I have a feeling that Korea is not the only country seeing a decline in overseas buying. But don’t give up hope just yet, the Canadian dollar has dropped dramatically against the US dollar recently, so once they get their financial house in order I’m sure we’ll start seeing lots of American buyers in BC again. Yessir, its only a matter of time.
A hat tip to Gadwin for the article link.