Property Frontiers – Blog writing
In keeping with our ethos of due diligence and offering expert advice, Property Frontiers speaks with US developer Anton Tardif and his years of US real estate experience.
Anton, you’ve been involved in US real estate for 10 years now. How has the market changed since 2005?
It has been an incredible period, like nothing that’s been seen since the 1930s and the Great Depression. In 2005 the property market was still very much on the up, the price of land was the highest it’s ever been and the cost to build in some areas was similar to the UK. By 2006 things started to flatten out, which was thought of as positive and likely that the market wouldn’t “overheat” but by the end of the year events in the banking world led to the lack of ability to continue to finance property and the market simply imploded, along with the US economy overall.
By 2010 the market had dropped to its lowest point. This offered an enormous opening for investors to get back into the US property market when the only way the market could go was up – and that opportunity is still there. It was a slow movement until around two years ago, when confidence returned to the market. Now the market is growing by around 6-8% p.a. and providing good yields.