" Hi Mary, what did you think of the tiles?"

" I liked the pale green ones, they will really go with the advocado suite in the bathroom. I didnt like those purple ones with the silver sparkly bits and the gold stars and the shells stuck on them though, a bit Indian i thought. What did you think?."

"Isnt that Douglas person awful, he keeps questioning everything and trying to say that were all doing things wrong at Villa Victima, who does he think he is?"

"I hear what you say Mary, but he does make sense on some things and he can be very assertive, i like that in a man"

" I bet he looks just like that picture in that icon thing that you see when he makes those long posts, fat and bald and i bet he chains smokes too, i cant quite see in the picture, I bet his wife hates him "

" No, i think he is probably tall and slim Mary, and maybe he does yoga and stuff, he said he was a vegetarian in one of his posts i remember"

"Well, it doesnt really matter what he looks like does it, i dont like him. I much preferr Dr Bereton. He says everything will be alright, so im sure it will be"

" Cant wait to get back can you"




Just douglas trying to get things back on track,things have been getting far to serious of late on this thread.

Hi again Bryson 7,

Your last para first, not quite sure if you are being facetious or thats an invitation to continue the debate.

Douglas is going to continue anyway, in reverse order.

I agree that this is a protective measure at state level, but more importantly it has national implications and involvement. As i said in previous posts the main issues are inflation control and national security. Thats why it wont go away after the local elections, despite what developers and hopeful brits may say.

Spain has its problems too, but nothing like goa. When all this off the plan stuff finaly gets built, i am sure there will be yet another layer of scandals concerning illegal planning, freeholders mortgaging the property etc just like in spain. Thats on top of the outrage that will follow when all those who are so unintelligent that they dont actually know whats happening to them and those currently in denial wake up and smell the coffee ( those in goa i mean)

Regarding homework being the solution, i agree that currently that is the case, there is so much stuff out there now warning people and explaining contracts and in my view we currently have a very clear message from the authorities, ie go home. Anyone who gets caught now has no excuse.

The old timers like me , who did their checks and balances and then subsequently had the goal posts moved against them have some excuse.

This word hope keeps coming up not only in your post but elsewhere and for a pro investor thats an alarm bell dinger and a no go, hope is a form of denial. Ive seen so many investors make a bad investment decision and then rely on hope to get them out of it, it never works because its subjective emotion at work.

The investor should gather the facts, analyse the facts, make a diagnosis, then a decision. If its as a result of a bad investment accept it will involve taking a loss. Take the loss and move on, it will release you from the uncertainty and the emotional drag that goes with it. Ideally you should have built in a plan B at outset in the form of a stop loss. As soon as the stop loss is hit you trigger it and get out, never move a stop loss downward. That applys to property in goa, just as much as it does to your share portfolio.

There main driver affecting this (as you point out ) world wide development, is that there is too much money chasing too few goods. A lot of the individuals who have that money really shouldnt have it, its therefore no surprise to me that many are going to lose it for whatever reason. But it will be a great surprise to them ( thats why they shouldnt have had it in the first place).

Finally, we are only just into the start of the clash of civilisations
( fundamental east versus decadent west) foreign travel and living in any country other than your own must become more difficult as governments
( and populations) become more and more fearful and protective. Thats sad.

douglas

Well said as always Douglas....

I feel that in the near(ish) future,we decadent westerners will only have rental as a means of staying,not living,in the Eastern countries.

I'm going to stash my investments into high interest sources and ride out the coming property crash(es) around the globe.I believe they will be spectacular and frequent,all the market signs are there... Douglas will know what I mean on this subject.

If I want to go and "live" somewhere,I'll rent and let someone else have the hassles,no more overseas property buying for me for a good while.

Keith Rogers

PSouglas,what do you recommend,purple striped a/c units or heritage mould colour???? (humour moment)

Hi Keith,

Thanks for that - regarding your last para, id have a chat with Mary about that if i were you.

regards
douglas

Thank you Douglas,

your interior decor style sense is much appreciated !!!!!


Keith

its

the

douglas and keith ,s punch 7 JUDY SHOW,horible pair of b----rds
youve had your say,why dont you p ss off on another site and leave this thread ,to us acron investers,of which it was set up for,not you pair of whinging know all gits.

good on you Karlq for saying what others have been thinking, can hear the tapping of their keyboards as we speak, Its all well and good to share information and experiences but to go on and on in a sarcastic and aggressive manner as they have is uncalled for.

Sue

Hi Susan1 and Kariq,
Hey lets not shoot the messenger.
I quite enjoy Douglas's comments although I don't necessarily agree with all he says.
Just a touch too close to being Goa's answer to Nostradamus for my liking.
But he does have many valid and helpful points.
He certainly made me question a lot of things I hadn't previously even thought of.
But as I've said before I am happy with my decision, just know a lot more facts than I knew before Douglas visited this thread so surely that can only be a good thing.
Keep up the Good work Douglas, I'm sure property developers and home owners world wide are waiting for your next utterings.

Thanks for that defence cornishboy, they will be asking me to step outside next!

douglas

Hi Sue and Karlq
You may or may not know that a new developer has entered the Goan property market. It's an Irish company which has so far concentrated on Eastern Europe (mainly) but is now moving into Goa, with their first development at Cape Corinth. Their website is
http://www.larionovo.com/larionovo_goa_india
Their brochure (6 or 7 pages) can be downloaded as a pdf file. It makes an interesting reading in view of all that has gone on on this thread!
Best wishes
Chandu

Thanks Chandu, had a quick glance but will read through it on my return (that's if I'm in any fit state, on our way to a friends barbeque) What i have read seems very encouraging and look forward to reading what others think, bye for now
Sue

All gone quiet. Kya hua?

Whatever Acron say, all anyone will get is a very expensive
five year lease. Its in the property laws for everybody to read.

Hi all,

Ive been looking through the last three or four post on this thread and as someone said its gone quiete and perhaps more importantly it has become polarised. Thats not good.

So in an effort to clear the air and perhaps clarifty my own thinking, i would like to develop linesmans statement and go a bit technical on the five year lease concept.

To re - cap ,developers appear to be continuing to offer the five year lease with the option to buy to foreign nationals. Neither party seems to fully understand what they are buying or what they are offering!

So here goes on the technical bit, a five year lease is hopefully self explanatory and understood, (apart from the certainty or otherwise of the roll over clause). Its the option bit thats seems to be the major stumbling block.

There are two main types of options calls and puts, in this case were dealing with a call option.

A call option gives the holder ( the buyer) the right but not the obligation to buy something at an agreed price ( strike price) on or before a certain date.

In this case the thing is immovable property in goa, the strike price is the price asked by the developer and the date in this case is not stated, so it is presumed to be a perpetual offer.

Options have a value and that value is split into two parts, time value and intrinsic value. Any option which is open ended ( time wise) must have some time value, even if the chances of exercising it are minimal. In addition the call option may have intrinsic value if the strike ( original asking) price is below the current market price ( in the case of calls not puts).

So , if you hold a call option , that may entitle you to buy a villa in goa for say £100k and if the current market price of the freehold is say £110 k then your option has intrinsic value of £10 k. In addition it must have some time value which i will estimate at £2k given the current restrictions on FNs and the likelihood of those restrictions remaining for a long time.

Go back to the 5 year lease now, lets be generous and say its worth one twentieth of the freehold in this case £5k.

So now we can value this arrangement under current conditions and we come up with £5k for the lease and £2k for the time value, £7 in total ,thats not far off the valuation i came up in an earlier post via another method. The intrinsic value we can ignore. because the option is not currently exercisable due to the restrictions on x visas and the closure of the register.

So the concusion has to be that a FN should not currently pay more than
£7k for an arrangement that has a freehold value of £100k ( or 7% of any freehold price)

There was an attempt by someone to raise the bar, by demonstrating the fact that freehold prices are rising throughout india. That may be of interest to residents, pios and nris ( and the developer that holds all those other lovely freeholds, you know the ones i mean, the free ones) as they can register freholds but not to a lease holder.

Perhaps more importantly, rising prices ( which are inflationary) are the worst thing that could happen to aspiring FNs as the govt must be seen to doing something to control the importation of inflation. So they exclude ( and i think will continue to) the most easily identifiable and least popular group with the least ability to fight back, ie the FNs. If that doesnt work, they may even move on to the pios and nris.

douglas

Douglas, forget it mate, they haven't got a clue, let alone what an option is.