Welcome Mighty Fine 2009 !!

Sunday, January 4th, 2009

Hi there everybody!

I want to wish a belated Happy New Year to all our readers – as we wrote up above, a Mighty Fine 2009! Our company name already indicates that we are an optimistic organisation, so our saying for this year fits right in.

You might wonder why someone or some organisation that is dealing with Bulgarian Black Sea Shore real estate has reason to be optimistic. Well, I will tell you why. I believe that this world economic crisis that has everybody all stirred up is ultimately going to be a good thing, not only in other places, but also right here at home in Bulgaria. Why? Because I believe that it is going to separate out the flakey operators and thieves and crooks who have given our industry a bad name in the past few years from all the rest of the honest, hard-working people in the business.

Why will they be separated from the rest? Some already have been. They were looking for the quick buck (Dollar, Euro, Lev, Pound, you name it), and now that the fast money in our business and our area has disappeared, they disappeared along with it. Good riddance! The same is true for the flakey developers who were reputedly selling the same property 2 and 3 and 4 times – when there are almost no buyers, it’s difficult enough to sell a piece of property once, much less a number of times! The same for the thieves – although it is admittedly more difficult to get rid of them.

What I expect to emerge from this period of economic unrest is a more stable and more mature real estate business – the days of the fast money are most likely gone, but I truely believe that there are still opportunities – even today, no, especially today – for the investor who looks at the medium to long term – 3-5 years and more. Why? The basics that made the so-called “Bulgarian Bubble” were not false! Only the bubble was wrong. The Bulgarian Black Sea shore is still beautiful. The Black Sea is still clear and untainted in most areas of our shore line. There are beautiful natural beaches up and down the coastline – many of them still isolated and undeveloped. There are still trustworthy and capable construction people and companies in Bulgaria who have invested many years and many Leva in their own operations, and who want to continue to do that. There are still many people – foreigners as well as Bulgarians – who agree with what I just wrote, and who would like nothing more than to own their own small piece of the Bulgarian heaven on earth.

Will the Bulgarian real estate business recover from this crisis? Of course. And it is not even a crisis in many locations, where the foreign buyers and the foreign bank owners are not there to call the shots. Bulgaria – the real, rural, “natural” Bulgaria – is not in crisis. Houses and apartments are still being bought and sold (remember, it takes one buyer and one seller to make a deal, and each deal is both a purchase and a sale). Bulgarians have a desire to own their own home, and a revulsion about owing money to other people, particularly on their home. That has kept the local business healthy, even today.

The quick money, the new-rich people, the fly-by-night investors without sufficient financial backup, these are the ones who are being hurt. Somehow, I don’t see that as a particular problem, maybe more as “paying their dues?”

What do you think?

Bye for now,

Craig

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