{"id":5138,"date":"2010-08-19T10:08:45","date_gmt":"2010-08-19T08:08:45","guid":{"rendered":"http:\/\/http:\/\/www.iliaspapageorgiadis.ro\/en\/?p=5138"},"modified":"2014-03-12T16:39:26","modified_gmt":"2014-03-12T14:39:26","slug":"how-can-you-explain-the-lack-of-appetite-of-some-developers-for-negotiating-when-it-comes-to-so-called-negotiation-why-nobody-changed-their-attitude","status":"publish","type":"post","link":"http:\/\/www.iliaspapageorgiadis.ro\/english\/2010\/08\/19\/how-can-you-explain-the-lack-of-appetite-of-some-developers-for-negotiating-when-it-comes-to-so-called-negotiation-why-nobody-changed-their-attitude\/","title":{"rendered":"\u201cHow can you explain the lack of appetite of some developers for negotiating when it comes to so-called negotiation? Why nobody changed their attitude?\u201d"},"content":{"rendered":"<p style=\"text-align: center\">\n\t<strong>Part 4<\/strong>\n<\/p>\n<ul>\n<li>\n\t\t<a href=\"http:\/\/www.iliaspapageorgiadis.ro\/en\/2010\/08\/16\/which-is-the-minimum-price-for-romania-and-when-is-it-going-to-be-achieved\/\" target=\"_blank\"><strong>to read part 1, click here<\/strong><\/a>\n\t<\/li>\n<li>\n\t\t<a href=\"http:\/\/www.iliaspapageorgiadis.ro\/en\/2010\/08\/17\/towards-which-version-of-a-credit-risk-calculation-would-you-advise-an-average-family-to-move-on-20-years-with-8-interest-or-30-years-with-5\/\" target=\"_blank\"><strong>to read part 2, click here<\/strong><\/a>\n\t<\/li>\n<li>\n\t\t<a href=\"http:\/\/www.iliaspapageorgiadis.ro\/en\/2010\/08\/18\/what-is-the-justification-for-higher-prices-than-600-euro-sqm-for-any-flat-type-cell-more-than-30-years-old\/\" target=\"_blank\"><strong>to read part 3, click here<\/strong><\/a>\n\t<\/li>\n<li>\n\t\t<a href=\"http:\/\/www.iliaspapageorgiadis.ro\/en\/2010\/08\/20\/do-you-think-it-is-possible-the-price-for-an-apartment-to-be-lower-than-the-price-for-a-car\/\" target=\"_blank\"><strong>to read part 5, click here<\/strong><\/a>\n\t<\/li>\n<li>\n\t\t<a href=\"http:\/\/www.iliaspapageorgiadis.ro\/en\/2010\/08\/21\/when-do-you-advise-me-to-buy-an-apartment-because-i-want-to-get-married\/\" target=\"_blank\"><strong>to read part 6, click here<\/strong><\/a>\n\t<\/li>\n<li>\n\t\t<a href=\"http:\/\/www.iliaspapageorgiadis.ro\/en\/2010\/08\/23\/with-a-view-to-the-purchasing-power-of-the-local-market-predicted-not-to-grow-over-the-following-5-10-years-which-is-the-real-estate-trend-in-bucharest-and-romania\/\" target=\"_blank\"><strong>to read part 7, click here<\/strong><\/a>\n\t<\/li>\n<\/ul>\n<p style=\"text-align: justify\">\n\tOn Tuesday, 6<sup>th<\/sup> of July I had given an online interview to <a href=\"http:\/\/www.hotnews.ro\/\">www.hotnews.ro<\/a>, the number 1 news site of Romania. I was replying live to the readers&#039; questions and after this I also gave a short recorded video interview. You can access this interview <a href=\"http:\/\/economie.hotnews.ro\/stiri-imobiliar-7537961-video-ilias-papageorgiadis-investitor-piata-imobiliara-sfirsitul-lui-2010-durata-anului-2011-vor-incepe-executarile-silite-atunci-vor-aparea-preturile-reale.htm\" target=\"_blank\"><strong>here<\/strong><\/a>.\n<\/p>\n<p style=\"text-align: justify\">\n\tToday I present to you the fourth part of this interview.\n<\/p>\n<p style=\"text-align: justify\">\n\t<strong>&quot;In the end of 2010 and during 2011 we will enter into the period of foreclosures. Then we will reach the real prices&quot;<\/strong>\n<\/p>\n<p style=\"text-align: justify\">\n\t&quot;In 2008, Ilias Papageorgiadis &#8211; A real estate player in Romania &#8211; was warning that property prices in Romania are inflated. Few people would stop from the madness of buying and selling at huge prices, most of them having contracted a loan in this regard. Now although the market is totally blocked, many owners and developers kept their prices high. Ilias Papageorgiadis Ilias a former journalist from Greece, talks on-line about the future<!--more-->of the real estate market in Romania.\n<\/p>\n<p style=\"text-align: justify\">\n\tIlias Papageorgiadis will answer our readers questions\n<\/p>\n<p style=\"text-align: justify\">\n\tQuestion no, 7 Andrei\n<\/p>\n<p style=\"text-align: justify\">\n\t<strong>1. Who is supporting the ghost neighborhoods in northern Bucharest which are completed more or less due to the the developers foolish stubbornness? Why the banks (let&#039;s say generic creditors) do not break this chain? After all if nothing sells nobody wins?<br \/>\n\t2. How can you explain the lack of appetite of the same developers for negotiating when it comes to so-called negotiation? (I only think of Bucharest. I do not know the situation in other areas). Why nobody changed their attitude? They are arrogant like 2 &#8211; 3 years ago.<\/strong><strong>3. Do you believe in a balance between old and new in terms of price as well as of number of transactions in a healthy market?<br \/>\n\t4. They say that for a property a significant importance has the location, the location and again the location. I am not an advocate of this belief but in Bucharest this often matters. From your point of view, what is sustainable meaning normal for the market of &quot;old apartments&quot; in Bucharest? <\/strong>\n<\/p>\n<p style=\"text-align: justify\">\n\t<strong>Ilias Papageorgiadis <\/strong>\n<\/p>\n<p style=\"text-align: justify\">\n\t1. Like I said before, I think some of the Northern areas are great for the next decades, but not for now. Do not ask me to tell you who supports these projects, I don&#039;t want to blame so many people involved. In the moment they invested, it looked to them like a good opportunity. The fact that they were wrong does not mean that they are not serious or intelligent. Please remember that during the mad period all these banks and investors were reading every day stories, analyses and predictions about how good the area is. I suggest you to blame those who talked without even knowing what they were talking about.\n<\/p>\n<p style=\"text-align: justify\">\n\t2. Above all, I want to remind you that for a large part of society the process of selling means sitting behind a desk, informing the customer about the price and if&nbsp; he does not like it, this is his problem. It is not easy to change mentalities in such a short time. Even if you train people, not everyone will accept new strategies and techniques. On the other hand, if the developer paid the price of 1.000 Euro \/ sq.m., how easy is it for him to sell for less? Do you think the bank will allow him to sell at any price he wants? Isn&#039;t it natural that he tries to protect his money and investment? The problem is not that he tries to protect himself but the methods he uses. If you find someone arrogant, who will not respect you, just your back to him him and leave. It will be his loss, not yours.\n<\/p>\n<p style=\"text-align: justify\">\n\t3. For a healthy market, we need an entirely new system, new laws and strategies for real estate development. For this let me talk to you in September.\n<\/p>\n<p style=\"text-align: justify\">\n\t3. In one of the most expensive areas of Athens, called Kolonaki, there is a square with a corner cafe. It is very famous and always full. Just next to it, there is another cafe with 30% less customers. Next to this one, there is another cafe with 30% less customers. The last one is changing its owners each 2-3 years. And next to it there is one more caf&eacute;, which is usually empty. So it is clear that the location is the most important factor that characterizes a property.\n<\/p>\n<p style=\"text-align: justify\">\n\tWhen we talk about the old apartments in Bucharest, we consider sustainable a property with good location, acceptable construction and many other parameters. If you buy a property that many others want to buy at the same price, it is a good sign. It means you are on right track.\n<\/p>\n<p style=\"text-align: justify\">\n\t<strong>Question no 8. Daniel<\/strong>\n<\/p>\n<p style=\"text-align: justify\">\n\t<strong>For a long time, indeed he is one of the few people who kept their logical thinking even when the market had no logic.<\/strong>\n<\/p>\n<p style=\"text-align: justify\">\n\t<strong>1. How will the prices be correlated with the income in Romania, how many salaries per sq.m. will be needed, or how many square meters could we buy with a salary.<\/strong>\n<\/p>\n<p style=\"text-align: justify\">\n\t<strong>2. If after 10 &#8211; 15 years we will have highways, will good roads have an impact upon real estate prices? Assuming that one can travel 40 &#8211; 50 km in about 20 to 30 minutes. just like in the western Europe.<\/strong>\n<\/p>\n<p style=\"text-align: justify\">\n\t<strong>Thank you,<\/strong>\n<\/p>\n<p style=\"text-align: justify\">\n\t<strong>Ilias Papageorgiadis <\/strong>\n<\/p>\n<p style=\"text-align: justify\">\n\t1. You ask for a feasibility study for free. What I can say is that &#8211; with VAT at 24%,&nbsp; 8% inflation, the salaries of people who work for the State decreased by 25%, a possible depreciation of the lei in the coming months and European funds still blocked &#8211; the average income will fall and all prices must adjust to the new reality.\n<\/p>\n<p style=\"text-align: justify\">\n\t2. It is obvious that when we have new roads, the price of the properties will increase where new roads will exist. But in Romania, we hear about many projects that remain in the project stage. Some people have speculated and made money from the rumors regarding the projects and some are crying and blaming others for their mistakes. &nbsp;Therefore I always like to focus on real infrastructure work and I don&#039;t invest according to rumors.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Part 4 to read part 1, click here to read part 2, click here to read part 3, click here to read part 5, click here to read part 6, click here to read part 7, click here On Tuesday, 6th of July I had given an online interview to www.hotnews.ro, the number 1 news [&hellip;]<\/p>\n","protected":false},"author":3,"featured_media":59454,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[224],"tags":[],"_links":{"self":[{"href":"http:\/\/www.iliaspapageorgiadis.ro\/english\/wp-json\/wp\/v2\/posts\/5138"}],"collection":[{"href":"http:\/\/www.iliaspapageorgiadis.ro\/english\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/www.iliaspapageorgiadis.ro\/english\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/www.iliaspapageorgiadis.ro\/english\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"http:\/\/www.iliaspapageorgiadis.ro\/english\/wp-json\/wp\/v2\/comments?post=5138"}],"version-history":[{"count":0,"href":"http:\/\/www.iliaspapageorgiadis.ro\/english\/wp-json\/wp\/v2\/posts\/5138\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/www.iliaspapageorgiadis.ro\/english\/wp-json\/wp\/v2\/media\/59454"}],"wp:attachment":[{"href":"http:\/\/www.iliaspapageorgiadis.ro\/english\/wp-json\/wp\/v2\/media?parent=5138"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.iliaspapageorgiadis.ro\/english\/wp-json\/wp\/v2\/categories?post=5138"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.iliaspapageorgiadis.ro\/english\/wp-json\/wp\/v2\/tags?post=5138"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}