Overseas Property Video News in Russia

The Moscow International Property Show

Event date: November 18-19, 2011
Event place: Moscow, 1 Tishinskaya Ploshad, "Tishinka" trade center, "T-modul" exhibit hall

The Moscow International Property Show reaffirmed its status of the biggest and the most important event on the international property market in Moscow. According to the statistics there were 7792 visitors who came to explore the offers of 212 participating companies. By and large Moscow International Property Show clearly revealed all main trends and tendencies which defined the Russian property market nowadays.

The regions the most widely presented on the Show were Bulgaria, Spain and Turkey: the properties in these countries aroused very keen interest among the visitors. However, the demand is defined not only by price but by psychological component as well. Bulgaria, Spain and Turkey are the leaders by numbers of incoming Russian tourists; it means that Russians like and know these countries and would like to spend there as much time as possible. Besides, there were some qualitative changes in real estate in mentioned countries as well.

For example, Bulgaria which for the long time has been known for its inexpensive properties today offers houses both in economy and in business and even luxury segments, and the latter are in a strong demand. The representative of the “More-Bulgaria.Ru” says: “The myth about the low prices for Bulgarian property is gradually being exploded. It goes by a natural way: people come, see, and compare prices. The worthy house — near the sea, with a nice view and location — can’t be cheap. As a result a client who is really interested in buying a good property of a high quality in Bulgaria chooses among the apartments and houses supplied by the market.

The situation today is that up to 95% of foreigners who buy Bulgarian property are Russians, and in the most cases they purchase a property of middle or even of high price”.

Another favorite of Russian International property market is Spain. Each fifth participant on the Show offered properties in this country. Along with Costa Brava and Costa Dorada — destinations which are traditionally popular among Russians — the eminent interest of visitors was noticed on the stands of companies which offered the property in Costa del Sol, a well-known luxury resort.

“Many companies don’t risk and don’t expose expensive properties, — the representative of Elite Expert says, — However, we dared and didn’t regret! The interest which our offer aroused was really huge, all the promotional brochures and leaflets were gone. Why there was such a big success? The price of the Costa del Sol properties is high but it’s reasonably high. There are not only nice climate and nature in this destination but a perfect infrastructure as well, for which we have to thank English and Germans who selected this resort and began to develop it in the late 70’s. Furthermore the quality of the properties is beyond all expectations. All these facts attract a definite class of people: among the property owners in Costa del Sol are persons of very high ranks, movie stars, queens and kings, politicians and successful businessmen”.

Another participant who dared to exhibit Spanish luxury property — exclusive villas and townhouses in Benahavis Hills Country Club — was Fisher Island LTD. Its representative Johnny Nordmann made a special mention of a good organisation of the Property Show and said: “As a developer we realized that to find on this Show a buyer was very unlikely. That’s why our main goal here was making contacts with agents in order to promote our developing projects through them. This task was fulfilled absolutely. Frankly saying, we set big hopes on Russia owing to its economical stability on a contrary to European uncertainty. Besides, this country successfully coped with the last global crisis”.

Mr. Nordmann’s words echo in the opinion of Oxana Tumer, a Head of Sales in Toros Residence, one of the leading real estate companies in Turkey: “Inspite of a big demand in all European countries, mostly we count on Russian market because Europeans are not in a hurry to part with their money or go to bank due to the vagueness in economical situation”.

Mentioned Russian stability was one of the main reasons of participating in the Show of companies which came there for the first time. Among them — a group of companies from Andorra, which expose apartments in Canillo Park. “The number of Russian tourists in Andorra increases from year to year. We analyzed the market and the purchasing power of Russians and realized that it was one of the most promising countries, — that was a background of our decision of participating in the Moscow Property Show”.

This opinion is shared by Pamela Bunberry Lindsay, Flux Properties LTD: “60% of buyers of property in UK are foreigners, including Russians. At the same time Russians differ from other clients: generally, they don’t need mortgage, are aware of the market and its supplies, know the details of bargains, etc. To participate in this Exhibition we decided on the advice of our partner, a company which took part in the several Property Shows organised by aigroup and gained a big success. I must say that the Show lived up to all our expectations, we were satisfied with everything — the high class of organisation, the venue, the visitors, etc.”

During the International Property Show the interesting situation could be observed on the stands of specialized on Greek property companies, the most of which was in the center of visitors’ attention. Kim Waddoup, CEO of the aigroup , says: “Russians again demonstrate distinctive character and unconventional approach. Whereas Europeans hesitate to buy property in suffering from economical shaking Greece, Russians are ready to consider the chances of investing into the Greek real estate. All these troubles are temporary, and probably now it’s a right moment to arrange a good deal.”

By and large Kim Waddoup appreciates very positively both the International Property Show and interest to it revealed by the target audience: “The Moscow International Property Show is the biggest event of a year and the autumn event is the strongest among organized by aigroup Property Shows. These days when the November Show is held is the last weekend when people have time to think about money and investments, just one week later they’ll be busy with the New Year and Christmas preparation. It means that the time for the Show is very good and it’s proved by a huge attention paid to the Property Show by visitors: people came in an endless stream right up to the closing of the Exhibition”.

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