Property Investment News » international money

This week’s exchange rate news

movechannel — Mon, 13 Jul 2009 13:04:52 +0000

Last week saw a relatively poor performance from the Pound, even though the Bank of England resisted the temptation to use its entire allocation of £150b billion at its meeting on Thursday, leaving £25 billion free for future use…

This, in theory, should have been good news for Sterling – but after a brief rally, expectations of the remaining £25 billion being used in August instead quickly set in, with the Pound falling back accordingly.

This week, Tuesday's UK inflation data is the main data release to look out for. An increase in inflation should be good news if you are sending money abroad, while a lower figure would only be good for those of you bringing money back to the UK, and vice versa.

If you are sending US Dollars overseas, Tuesday and Wednesday afternoons see the major news releases, while in the Eurozone, Wednesday's inflation data and Tuesday's German sentiment survey are likely to be the key drivers for Euro rates.

UK Releases
Monday (overnight) – retail sales and RICS house prices
Tuesday (9.30am) – CPI & RPI inflation figures
Wednesday (9.30am) – unemployment rate for May

Amercian Releases
Tuesday (1.30pm) – PPI inflation and retail sales for June
Wednesday (1.30pm) – CPI inflation
Wednesday (7pm) – minutes from the last FOMC meeting
Thursday (3pm) – manufacturing survey

Eurozone Releases
Monday (11.30am) – ECB President Trichet's speech

Tuesday (9am) – German ZEW economic sentiment
Tuesday (10am) – industrial production data
Wednesday (10am) – CPI inflation

Other Releases
Canada – Monday (1.30pm) – Bank of Canada business outlook survey
Australia – Tuesday (2.30am) – key business confidence data
Switzerland – Wednesday (8.15am) – May retail sales

For more information on international money and the property market in general, please visit http://www.themovechannel.com/money/

-ENDS-

Notes to editors:

TheMoveChannel.com is a property website that was founded in 1999 as an online resource for buying, selling and learning about property. It now receives as many as 300,000 visits per month and advertises over 50,000 properties in nearly 90 countries, which are listed by over 500 partner organisations.

For further information, please contact:

Dan Johnson

Managing Director

www.themovechannel.com

0207 952 7650

Repayments on the rise

movechannel — Thu, 09 Jul 2009 15:41:50 +0000

British homeowners have paid off more of their mortgages than ever before as they rush to take advantage of historically low interest rates – which were held at 0.5 per cent today – and with the number of lender’s deals rising day by day, could this be a sign that the mortgage market is at long last starting to pick up again? TheMoveChannel.com finds out…

Figures released today by the Bank of England have revealed that British homeowners have repaid a whopping £8.1 billion off their mortgages in the first three months of this year – which is the highest level since records began 40 year ago.

This rush to repay is partly due to many homeowners finding their monthly repayments have dropped significantly, thus leaving them with some extra cash in which to plough into paying off chunks of their mortgage capital.

The total repaid over the last year is £76 billion.

Simon Rubinsohn, Chief Economist at the Royal Institution of Chartered Surveyors, said, “I’m not surprised by the figures, given the fall in house prices over the period.”

The recession has reversed the borrowing binge of the last few decades and people are now desperate to reduce their debts rather than live on credit.

It was the fourth quarter in a row of net repayments, which signaled very bad news for retailers as consumer spending has dropped right off – people preferring to pay off their mortgage than to have a blow-out shopping spree.

Ashley Brown of mortgage broker Moneysprite said, “The hedonistic days of living the good life and borrowing against the value of your property are a distant memory.

“Homeowners now recognise that this is the time to batten down the hatches and reduce their debt,” he added.

Number of deals on the increase

Financial information service Moneyfacts has revealed a further slight relaxation in lending by banks and building societies in the past month.

At the beginning of July there were 119 mortgage deals available which asked for only a 10 per cent deposit.

Although far fewer than a year ago, this is up from 101 such deals at the start of last month.

"It is encouraging to see that products available with 90 per cent loan-to-values are creeping up," said Darren Cook of Moneyfacts.

Nationwide Building Society’s decision to allow customers to take out loans worth 125 percent of the value of the homes they are buying shows that lenders are innovating to help borrowers struggling in the UK property market.

The Nationwide deal – which is only available to existing customers in negative equity who want to move house – enables borrowers to take out a loan for 95 per cent of the value of their new house at a fixed rate of 6.73 per cent for three years or 7.48 per cent for five years.

Borrowers would then be able to add on the negative equity from their old home, up to another 30 per cent of the value of the new property, at a higher fixed rate of 7.23 per cent for three years or 7.98 per cent for five years.

For more information on personal finance and mortgages, please visit http://www.themovechannel.com/money/

-ENDS-

Notes to editors:

For further information as well as images and interview possibilities, please contact:

Dan Johnson

Managing Director

www.themovechannel.com

0207 952 7650

Cooking up a cure

movechannel — Fri, 22 May 2009 10:17:13 +0000

‘Thanks but no thanks’ has been the attitude of the Cook Islands to the global downturn – Tourism Minister Wilkie Rasmussen has announced the islands will not be taking part in the recession – and strong growth is indeed being witnessed in visitor numbers…

The Government of the Cook Islands has officially decided not to take part in the worldwide recession, claiming that they are ‘recession free.’

The Cook Islands consist of 15 islands with a total population of around 19,000, scattered over two million square kilometres of the Pacific Ocean.

They lie in the centre of the Polynesian Triangle, flanked to the west by The Kingdom of Tonga and the Samoas and to the east by Tahiti and the islands of French Polynesia.

Tourism makes up a whopping portion of the islands’s GDP – more than 67 per cent – so protecting this lucrative sector from the downturn was vital to the economy.

Despite most other countries facing daily doom and gloom, the Cook Islands have reported sustained bookings and areas of growth in their tourism industry and new operators opening businesses.

They have also started a witty website about their ‘recession free oasis’ with advice on how to ‘avoid recessionary thoughts entering your headspace,’ and ‘how to chill out.’

Air New Zealand Deputy Chief Executive Norm Thompson said that the Cook Islands were the company’s number one Pacific island destination.

“We are seeing strong interest and growth in bookings for flights to the Cook Islands despite slow-downs in other markets,” said Mr Thompson.

Tourism Minister Wilkie Rasmussen announced the Government’s decision not to take part in the recession after the submission was presented to Parliament earlier this month.

“As industries around the world feel the weight of the current economic global recession and the international effects of slowing economies and cautious consumers, the Cook Islands is seeing local businesses grow, new businesses open and offshore investment increase.

“The country is using its financial growth as a marketing tool and inviting people to visit the ‘world's first recession-free oasis.

“Everyone is tired of hearing about the global economic doom and gloom.

“Travellers are now being given the opportunity to escape the recession by coming to a country where it doesn't exist,” Mr Rasmussen added.

And here’s a bit of advice for you from the Cook Island’s ‘recession free oasis’ website: ‘If u detect a recessionary thought approaching, immediately alert a waiter and order a cocktail.’

For more information on international money and the property market in general, please visit http://www.themovechannel.com/money/

-ENDS-

Notes to editors:

For further information, please contact:

Dan Johnson

Managing Director

www.themovechannel.com

0207 952 7650

Bournemouth Riviera

movechannel — Wed, 22 Apr 2009 10:07:25 +0000

The UK summer is synonymous with a good old fashioned British seaside holiday – but now the resorts of Bournemouth and Poole are moving with the times and will accept the Euro as payment in a bid to attract our continental cousins and increase the number of tourists this summer…

Two well known English seaside resorts will accept Euros from visitors this summer – so some European visitors can now buy an ice-cream, rent a deckchair or order a pint without the need to convert their money overseas into pound sterling.

Although the resorts represent a very traditional kind of holiday and their wholesome beach hut breaks hark back to days gone by – as they are so reliant on seasonal tourism, they have been looking at new ways to entice continental visitors.

As well as attracting more foreign visitors, it is hoped that the new Euro scheme will also appeal to British families who cannot afford an overseas holiday, but who have Euros left over from previous breaks.

Mark Smith, Tourism Director for Bournemouth, said, “While it is obvious we’re all hoping for an early end to the economic crisis, the recovery may not come in time for the peak summer season.

“Just in case, we’ve teamed up with our colleagues in Poole to make summertime living even easier.”

Whilst experts are predicting that the new Euro idea could inject as much as £10 million into the local economy, so far only 20 businesses have signed up to the scheme, including smaller family-run firms and boutique hotels. They will accept only Euro notes and will give change in pounds and pence. There will be a one-to-one exchange rate.

Graham Richardson, Poole’s Tourism Director, said, “It’s a small start but we’re confident we can sign up lots more hotels and restaurants – every little helps.”

Tourism chiefs estimate that every leftover 20-Euro note lost down the side of the sofa or forgotten in a drawer in British homes could pay for a sunbed on Bournemouth beach for five days, 12 boxes of Dorset fudge, or fish and chips for a family of five on Poole Quay.

Tune in for a BeachPod

Bournemouth has another reason to be celebrating this summer – the Boscombe beach pods, which are the most innovative beach huts in the UK – are attracting high levels of interest from buyers despite the crunch.

The pods are unique in that, rather than the traditional wooden huts seen along Bournemouth’s seven miles of golden sands, the pods are situated within the Boscombe Overstrand complex.

Designed by Wayne and Gerardine Hemingway MBE of HemingwayDesign, each pod is a piece of art in its own right as it features a retro, coastal artwork from Wayne Hemingway’s personal collection, creating a unique feature wall.

More than 400 people have pre-registered their interest in purchasing the beach pods, which will be for use in daytime only.

Savills has been confirmed as the sales agent and has unveiled prices; £64,995 (inc. VAT) for a single pod and £89,995 (inc. VAT) for a double.

Wayne Hemingway of HemingwayDesign says, “The Beach Pods at the Overstrand will simply be the best in the world. We love Bournemouth and the project is one of the most exciting we’ve ever done. The Overstrand excites us both as designers, and as people interested in seaside regeneration.

“It’s the restoration of a cool, historic building. With the great work being done on the Pier and Europe’s first artificial surf reef, Boscombe is about to become big news.

“We are designing wonderful, unique beach chalets for both surfers and beach lovers alike. We want to re-establish a sense of community on Boscombe seafront, by creating something modern and unique, yet still retain the purity of this historic building,” he added.

For more information on international money and the market in general, please visit http://www.themovechannel.com/money/

-ENDS-

Notes to editors:

For further information, please contact:

Dan Johnson

Managing Director

www.themovechannel.com

0207 952 7650