In what properties can a Romanian medium income family invest in

Source: www.wallstreet.ro

By Sorina Negrila, 5^th of January 2010

Ilias Papageorgiadis (photo), CEO of the real-estate consultancy company More Real Estate Services, states that 2010 is a transition year for Romania and thinks that the present crisis will continue, except for the case in which the Government will undertake painful measures to stop the economical decline and will stabilize this sector. Otherwise, after Greece will recover, thing likely to happen during the first months of the year, the pressure will fall on other countries, Romania being among the first ones on the list.

“Under these circumstances, a family which has made some savings, should play it safe and follow a conservative strategy. 30-35% of their income should remain in a bank deposit, just in case, taking into account both the interest rate, as well as the terms under which the contract can be broken and the period for the rate to be paid”, Ilias Papageorgiadis has declared for Wall-Street.

A second aspect a family owning liquidities has to take into account is that, in a difficult economical period, is good to invest in real opportunities or in properties which can be easily liquidated. That is why buying something for personal pleasure is out of discussion, as long as it can hardly be resoled to another person.

Further more, even without investing, 2010 will allow to many medium income families to improve their standards of living, Papageorgiadis mentions. They can rent a property at a price level considerably smaller compared to the 2008-2009 period, they can buy a new house or they can move to a better area of the city, by taking advantage of the opportunities.

Link article: http://www.wall-street.ro/top/Real-Estate/78141/Top-cele-mai-importante-lucruri-pe-care-un-manager-trebuie-sa-le-stie-despre-imobiliare/3/Chirii-mai-mici-dar-stabile.html