|
by Enrique (Henry) Saldana
First was the world economic meltdown crisis, then it was the Swine Flu, and now it is insecurity. Somehow Mexico's Real Estate, and more certainly Playa del Carmen's Real Estate, has been hit with some terrible crises, or catastrophes, in the last few years, which one way or another have shifted the tremendous and incredible growth this popular Caribbean resort area was destined to be, to the extent that now some people out there are seriously thinking, Who would dare to buy/sell property in the Mayan Riviera today?
Let's analyze these factors that have somewhat affected real estate activity and thus economic growth in the Riviera Maya/Cancun/Playa del Carmen Corridor:
1. In late 2008 and early 2009 stories such as the following, were headlines describing a world in crisis that led to many economies in turmoil around the world:
It's official: U.S. in recession all of 2008 - THE ECONOMY IN TURMOIL
December 02, 2008|By Tom Abate, Chronicle Staff Writer
It took seven economists 11 months to decide what should seem obvious given all the foreclosures, bank failures and layoffs—the United States is officially mired in a recession.
However, what exactly happened and what caused the economic bubble to burst?
Abstract: Starting in mid-2007, the global financial crisis quickly metamorphosed from the bursting of the housing bubble in the U.S. to the worst recession the world has witnessed for over six decades. Through an in-depth review of the crisis in terms of the causes, consequences and policy responses, this paper identifies four key messages ...
So what does all this mean:
The late-2000s recession, more often called the Great Recession, a severe global economic problem that began in December 2007 and took a particularly sharp downward turn in September 2008, affected the entire world economy, with higher detriment in some countries than others. It was a global recession characterized by various systemic imbalances and was sparked by the outbreak of the late-2000s financial crisis.
There is a difference in the way that economists and laypeople use the term. By the scientific definition of the word "recession," the Great Recession ended in the U.S. in June or July 2009. However, economic hardship remains in the U.S. and many other countries. For the U.S. in particular, persistent unemployment, the continuing decline in home values, an escalating federal debt crisis, inflation, and rising gas prices have led many non-economists among the general public to use the term to refer to the ongoing hardship (in the same way that the term "Great Depression" is also popularly used). In fact a 2011 poll found that more than half of all Americans think the U.S. is still in recession or even depression, despite official data that shows a modest recovery.
2. Then our next big hurdle came.
Abstract. A novel influenza A H1N1 virus of swine origin is responsible for the influenza epidemic affecting Mexico, the United States of America (USA), and 39 other countries. While the origin of this emerging pathogen remains uncertain, an increase in the reported incidence of respiratory diseases was noted during March 2009 at the town of La Gloria, in the southeastern state of Veracruz, Mexico.
So, while the 2009 Pandemic H1N1/ of the Influenza virus, which is a swine origin Influenza A virus subtype H1N1 virus strain is considered responsible for the 2009 flu pandemic that kept a lot of people out of Mexico, and most importantly Mexican resorts, we have found that the origin of the virus was not exactly Mexico ...
3. And when we finally thought the real estate market was on a rebound, the third crisis hit us right in our face.
El Universal (Mexico City) 9/29/10 – Violence and insecurity costing Mexico
Mexico's Industrial Chambers Federation reported that the cost of insecurity in Mexico reaches 7% of the country’s gross national product, the equivalent of 9,640 pesos (U.S. $770) per person ...
Tourism has also been affected, not only in the border area, but also in such places as Cancun and Los Cabos. Conventions are no longer seen, or are cancelling and going elsewhere.
http://www.eluniversal.com.mx/notas/712346.html
So what is the insecurity level around Playa del Carmen, Cancun and the Riviera Maya corridor altogether?
Well, so far, apart from some isolated incidents in Cancun, we have no apparent major incidents that can determine a high level of insecurity in the area, much less in the Playa del Carmen–Riviera Maya area.
So, in conclusion, and based on the above presented information, the three different crises that have affected, or are presently affecting, our local economy can be combined into what we call a consumer confidence stigma with regards to Mexico in general.
What is consumer confidence?
Consumer confidence is an economic index that measures people's attitudes about current and future economic conditions.
How does the Consumer Confidence Index affect the economy?
Consumer confidence is important to the economy because consumer spending drives 70% of economic growth (this with relation to the USA). If consumers are uncertain about the economy, they will buy less, and the economy will slow further. If consumer confidence increases, then the economy will grow.
So, reverting back to our initial question, WHO DARES (HAS THE AUDACITY) TO BUY/SELL PROPERTY IN PLAYA DEL CARMEN TODAY?
Who Sells? ...
Now, Who Is Buying? ...
Our proposed solutions …
For a full copy of the report, please send us an e-mail request to the following e-mail address: moneylendingbus@hotmail.com
Mortgages "R" uS
Mexico Realty Solutions
A ONE STOP Realty Srvcs. Company
Enrique (Henry) Saldana Off: (984) 147-0100 Cell: (984) 111-8743
moneylendingbus@hotmail.com
www.mexicorealtysolutions.com/
http://hmortgages.blogspot.com/
|
