Send to a friend

News

Agents Troubled by Icelandic Volcano’s Impact on the Overseas Property Market - 23 April 2010

The Icelandic volcano crisis isn’t only causing a disruption to European travelers stuck abroad, but to Europe’s entire tourism and real estate industries.

With holidaymakers having been stranded in airports for the last week without a clue as to when they’d be able to return home, few are considering planning a holiday anytime soon, and even less are interested in investing in a property shadowed by a dark, looming cloud of ash—which currently spans from the Arctic Circle in the north to the French Mediterranean coast in the south, and from Spain into Russia.

This natural climate disaster is devastating to the European real estate market, as peak holiday season nears and agents were hoping to continue the recent upward trend they’ve experienced and sell more overseas properties this month than any other in recent history.

Last weekend, agents of high-end, luxury properties in Spain and France reported massive potential losses as airports were shut down. One agents claims it cost him a potential commission of over €100,000.

Other agents are taking a wait-and-see approach, and predict that this will not deter serious buyers from nearby countries like Italy and Germany, who will travel by car if air problems don’t cease.

So far, according to the International Air Transport Association, the volcanic ash has led to the cancellation of 100, 000 flights and cost the world’s airlines over £1 billion. Aviation analysts say this has hit European carriers the hardest, as no one is sure if and when the volcano could erupt again.

Post this article to:

del.icio.us Digg Newsvine Reddit MyYahoo! Facebook


 


Browse our articles written by leading industry experts:

Overseas Property Buying Guides

UK Property Guides

Gardens and Interiors

Cosmetic Surgery Fact Sheets

Looking Good Guides

Money

Business

Community

Travel