Lithuania:could it be the next big thing?

Standard&Poors negative on Lithuania

http://www.fxstreet.com/fundamental/analysis-reports/flash-comment/2007-05-24.html

Lithuania scores poorly on the corruption index and Standard and Poors are also concerned about economic overheating, and the Russian Federation are now exerting major economic leverage on neighbouring states.

Now, some British estate agent(?) called Frank Knight says it's the next big thing... Well that's fine then I'll buy two off the plans apartments in Kaunas thank you very much! This kind of thinking is quite frankly bizarre.
 
That's hardly what i was saying.
Try actually reading what i said.
And Frank knight isn't some small town guy in Britain - It's a renowned global property consultancy firm.
I presume they had some methodology to their study.


Also -for every link you throw up anyone can easily throw one back such as below.
(Note the reference to the European commission and the world bank)

And by the way -can you tell me exactly the direct reprecussions for the property market due to this new status by S&P ?
I'm guessing not.


[broken link removed]
 
From S&P report
"urgent policy action is needed in all three countries to cool down overheating"
=> possible increase in interest rates by Bank of Lithuania
=> dearer mortgages in local currency.

S&P rating also affects the interest rate at which Bank of Lithuania can borrow on international market etc.

I seem to remember a big hoo-haa when Ireland Inc got an A+ or AAA from S&P or whatever. Big coup for the NTMA and reduction in our national debt burden.

I'm not an economist but I think S&P trumps your estate agents view to be honest.
 
Well I'm not an economist either but I wouldn't be so arrogant as to dismiss the world bank and european commisssion.
 
qwertyuiop said:
Well I'm not an economist either but I wouldn't be so arrogant as to dismiss the world bank and european commisssion.
Click to expand...

[broken link removed]

From the World Bank website:

Most countries in the region are struggling to contain inflation. In the Baltics, Romania, and Bulgaria, strong wage and credit growth are leading to overheating and inflationary pressures. In other countries, currency weakening last year contributed to higher price pressures later in 2006. Another round of regulated price increases is expected in 2007, and the recent sharp decline in oil prices could help dampen inflationary pressures

I was unaware that the European Commission gave objective economic advice
 
The European commission is an entirely independent body of member states.
 
SIgn, if you've never heard of Frank Kninght before then you must exist in a parallel universe that I'd certainly like to join you in. Frank Knight are a major player, they're very big in Russia, along with Savills, and can be relied upon to deliver a relatively good report on the local market. Savills I'd be less certain of but with anything in busines and life, you've to have a good look at what's put before you and know what you're about to do.
 
gearoid said:
[broken link removed]

From the World Bank website:

Most countries in the region are struggling to contain inflation. In the Baltics, Romania, and Bulgaria, strong wage and credit growth are leading to overheating and inflationary pressures. In other countries, currency weakening last year contributed to higher price pressures later in 2006. Another round of regulated price increases is expected in 2007, and the recent sharp decline in oil prices could help dampen inflationary pressures

I was unaware that the European Commission gave objective economic advice
Click to expand...

And anyway - worst case scenario interest rates rise by 1% or so over the next 18 months before they join the euro.
It's hardly going to have that big an impact.
 
The correct term is Knight Frank.

qwertyuiop, you sound like you've made up your mind regardless and seem to have a fairly bullish outlook in property in general.
 
CCOVICH said:
The correct term is Knight Frank.

qwertyuiop, you sound like you've made up your mind regardless and seem to have a fairly bullish outlook in property in general.
Click to expand...
Yes - i do have a fairly bullish outlook on property in general providing you look on a 5-10 year timeframe.

Also - on a shorter outlook I do think that something very significant has to occur for a country to go from significant double-digit property increases to static or negative.
My main criteria at that point would be looking for the best financing package available to maximise my ROI.
And also look for the country which is most likely to sustain good growth in the short term.
And as a gamble to spice up the portfolio I may look at a country which may be about to boom significantly.
E.g. Perhaps Lithuania - hence this thread.
 
wondered when it'd be picked up on, I was too tired to edit it an hour after posting it. A long 24hours of no sleep
 
I have been living in Lithuania since 2002 and I can tell it is the next big thing. Although time is running out.

PM me with questions if you wish

CJ
 
Cathaljoseph said:
I have been living in Lithuania since 2002 and I can tell it is the next big thing. Although time is running out.

PM me with questions if you wish

CJ
Click to expand...


Why not answer questions in the forum? Or reply to some of the points made above? Or, even better, post a summary of why Lithuania is the next big thing?
 
Because then the cover would be blown, actually I figure Albania is the next big thing, at least according to G Bush yesterday, or maybe he said the next big mess, I'm not sure!
 
I agree with CCovitch - you seem to have posted your question here in order to get positive feedback on your opinion and to dismiss any of the negative feedback.

qwertyuiop said:
Yes - i do have a fairly bullish outlook on property in general providing you look on a 5-10 year timeframe.

Also - on a shorter outlook I do think that something very significant has to occur for a country to go from significant double-digit property increases to static or negative.
My main criteria at that point would be looking for the best financing package available to maximise my ROI.
And also look for the country which is most likely to sustain good growth in the short term.
And as a gamble to spice up the portfolio I may look at a country which may be about to boom significantly.
E.g. Perhaps Lithuania - hence this thread.
Click to expand...
 
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