Thread: Economic Crisis, who thinks now is the time to be purchasing

A lot actually depends on which currency you currently have your money in. For instance if it is in Aussie dollars, while the prices in Bali may have reduced slightly (and I don't know if they have or not), so has our dollar and therefore the relative cost remains the same. If our dollar has dropped more than the price of property then you are actually worse off, because you would generally have to pay the whole price of the property now. You actually might be better off putting your funds into an investment property in Australia and then using the income generated to fund your living expenses in Bali. If you are just looking to play the property market, i.e. buy low, sell high, then with some luck you could come out on top. It can be a bit like educated gambling.

Thankyou sincerely for your replies Jimbo and Toucan.
Markit has recently purchased land in Bali and he suggests that with the economical turmoil and people world wide losing their savings/shares etc are probably inclined to invest in Bali so that they can afford a comfortable retirement for their future, i suppose its like gillette "cutting both ways" as to if tourism decreeses in Bali but residencies increase, how will Bali survive ?

Originally Posted by chilli

Who beleives it is a good time to be purchasing a residential home in Bali given
the world economy situation?
any opinions as to the pro or con ?

i think we can forget about the aussie dollar gaining any value while the oz govt sees exports as the mainstay of our economy.....so that in itself is a downer for purchasing international property for someone with oz $$ (unless youve got US $$ somewhere).

as far as the crunch in Bali goes and its effect on property, i think seeing as bali has an economy unlike anwhere elses (very little industry except handicrafts, tourism being the main $$ source), the rules are different.
We need to wait for those countries that provide most tourists to Bali to hurt first, then the tourist numbers will drop significantly, and then landprices should fall. The balinese have one thing the rest of the world doesnt....time. Theyd rather sit on their property for 10 years and not see the value of it fall than sell it for 5% less than what (they believe) its worth today.

i think the major hope that land prices will fall will come from the flood of major developments which have been started and have won backing to due "projected returns" which are never going to happen now (they never were going to happen anyway, even when times were good, with the crunch it will definitely never happen). Once all these developments have had their glitzy openings and sit unused/vacant for 6 months...i think youll see a bit of panic setting in around bali with people who have overcomitted and been sucked in by the "projected or gauranteed returns" blab on these developments, rental prices should finally start to drop due to the excess off all these developments on the market, and then the selling should start and prices fall. Dont forget the massive increases in property Bali has seen in the last 4 years also.....most say its largely overinflated, so theres quite a large amount that property can fall by.


Im looking at purchasing somewhere too.....but i think the market everywhere has quite a way to fall yet, and bali is going to be 12 months behind everywhere else.

Wait for these developments to finish and flop and the glut of extra vacancies to flood the market ,tied in with the delayed reaction of the crunch on Oz, Russia, Japan etc to stifle tourism in bali and i think things will definitely drop.

could be completely wrong tho................

Originally Posted by matsaleh

Originally Posted by hinakos

could be completely wrong tho................

Ha... I think this is what's called "covering your bases"! :D

CYA always........