About Brian Kinkade

For more than 15 years, Brian Kinkade has been a Colorado real estate broker servicing the Denver Metropolitan area while providing full service representation of buyers, sellers and families relocating. A graduate of the University of Southern California, with a Bachelor of Science degree in Business Administration, with an emphasis on Real Property Development and Management, Brian has nurtured an invaluable working relationship with both his peers and other professionals in the real estate industry in Colorado. Along with being a national speaker and Advisory Group member with HomeGain, Brian holds several designations including CIPS, CRS, GRI, ABR, TRC, and member of the RLI. He is also President of the Colorado Council of FIABCI-USA, a FIABCI-USA Board Member, Social Media Chair for FIABCI-USA, a Unified Association's International Steering Committee Member and the 2011-2012 International Chair for the Colorado Association of REALTORS®.

Location


7995 E Hampden Ave, Ste 10,
Denver, CO 80231

Phone: 303-522-5544

Posts

China’s New Home Prices

The actions being taken by the Chinese government to strengthen the economy are now yielding the intended results. For the first time in 10 months the prices for new homes have increased in the country. This is according to data provided by SouFun Holdings, the biggest real estate website owner in the country. The easing on monetary policies by the Chinese government has been applauded as a step in the right direction. Home prices in the month of June increased by 0.1% from the previous month of May. This saw the pricing for houses increase to 8,688 yuan ($1,367) per square meter.

A survey conducted in 100 cities showed that Beijing had the biggest gains among the 10 biggest cities. According to the survey prices for homes went up by 2.3% from May. Shenzhen, China’s southern business hub was second with a rise of 0.8%.  China’s Vice Premier Li Keqiang, confirmed that controls by the government to prevent speculative home demand will continue. According to Xinhua News Agency the Vice Premier also called for the building of more affordable housing units in the country.

Although the government’s hand in the housing industry is still evident, it has also been instrumental in helping first time home buyers access funding. The government has helped to ease funding offered by lenders. The central bank’s cut on the benchmark one year lending rate in June was the first since the last cut done in 2008. The cut has influenced market sentiments. “Buyers are optimistic, they expect the government to be less stringent in smaller cities,” these were sentiments expressed by Jeffrey Gao, a property analyst based in Shanghai.

Mortgage providers in Beijing offered clients who were first time buyers mortgages at 15% discount. The discount was on the 6.8% benchmark rate. This discount was offered after the country’s central bank cut the borrowing costs. According to Wu Hao, a manager in Beijing’s second largest real estate broker, Bacic & 5i5j Group in the second half of 2011, buyers paid between 5% and 10% above the benchmark rate.

Some developers in the country have even called off discounts or raised prices after the increase in sales. Sales this year have increased, in the month of May the increase was by 19% to hitting the 375.7 billion yuan mark, based on information from the statistics bureau. The country’s largest developer, Evergrande Real Estate Group saw its sales volume hit a record 10.5 billion yuan in May.

Falling Prices for Country Houses in The UK

The price of country houses in the United Kingdom has gone down yet again. In the year 2012 during the second quarter the prices went down by 1.5%. Data obtained from the latest release by Knight Frank on country house index shows that the annual price decline has increased to 4.8% from the previous figure of 3.9% in the first quarter. Similarly the decline from the first quarter on country house prices was at a paltry 0.2% compared to the 1.5% in the 2nd quarter. This is a big decline expected to affect the market in the long term.

However, contrary to the trend witnessed, prices for country houses worth about £5 million and more had an increase in their prices. During the first quarter of the year these properties saw an increase of 0.8% on their prices. The increase on price for property worth £5 million and above continues to increase and on the year increase was by a whopping 3.5%. Property owners in London are also benefiting from the increase in prime property prices. A simple example could help to drive the point home, a family owning a home in central London in early 2009 valued at £2.4 million can today sell their home for £3.52 million.

Property prices in London are higher than the previous highs seen in 2009. The price on property in prime central London has risen by 48%.  This increase on prices in London is creating demand for country commuter spots. Prices for prime property in places like Guildford have gone up by 0.2% as a result, while in other areas such as Oxford and Henley they have gone up by 2.5% and 0.5% respectively. According to Grainne Gilmore, the head of research in UK’s residential market at Knight Frank, the current currency movements have affected prime country property market.

The prime country property market today is more attractive for overseas investors. Russian buyers are particularly active in this market segment. The currency movements are making the market attractive to virtually all buyers from foreign countries. Buyers from Singapore buying a home in the UK can enjoy a 40% discount compared to prices in March 2008. This is as a result of the house prices and currency movements. Buyers using the American Dollar have a chance of getting a 34% discount on the price while those using the Euro can get a discount of more than 20%.

New Property Investment Opportunities in Brazil

Brazil is the world’s 6th largest economy. The country is regarded as one of the best performing real estate market. Statistics from Knight Frank’s Global House Price Index, show Brazil as having the second highest annual house price growth. Its growth was at 23.5% in the first quarter of 2012. The growth in the housing markets in Sao Paulo has seen the prices for houses increase by 18.7% year on year during the first 3 months of the year, 2012.

A new direct flight connecting Sao Paulo in Brazil with the United Arab Emirates expected to start in June 2013 is expected to open new investment opportunities. The investment opportunities to be borne out of this connection are expected to be in real estate. Real estate developers in Sao Paulo are excited by the prospects offered by Abu Dhabi’s Airliner the Etihad. According to the Brazilian ambassador to the UAE, the flights by Etihad Airways to Sao Paulo will create opportunities for the government, trade, tourism and cultural exchanges.

Dean Thomas, who is the director of DLT International in Brazil, a condominium Development Company, he believes that an increase in business is eminent. Commercial relations between North America and the Middle East are expected to improve drastically. Certainly interest in business opportunities in Brazil has been growing in the Middle East. According to Dean Thomas who has been in business in Brazil for more than six years the growth in interest has been growing steadily. About three years ago now, DP World a company registered in the UAE bought a majority stake in Embraport, Brazil. Embraport, a new port terminal next to Porto de Santos, the country’s largest container terminal.

Mubadala Development an Abu Dhabi Government owned strategic company went into a deal with EBX Group. The deal was worthy $2 billion and it was struck earlier this year. EBX Group has interests in oil, gas and the gold industry. More developments are expected to take place soon. Emirates Airline started flying into Rio de Janeiro earlier this year. The Dubai Department of Tourism and Commerce Marketing is expected to open an office in Sao Paulo.

Thomas believes that Emirati’s are competent investors. Emirati’s are able to spot new opportunities and take advantage of the opportunities. The robust economy in Brazil coupled with its wealth from natural resources and a growing number of middle class families makes the country an ideal place for foreign investors.

Global Day Colorado 2012 Announced

2012 Global Business & Alliances Colorado Council is excited to announce “Global Day Colorado”.  Be sure to mark your calendars and look for coming news.

August 23, 2012
10:00 am – 7:00 pm
Denver Metro Association of REALTORS®
4300 E Warren Ave
Denver, Colorado

GLOBAL DAY COLORADO Mission: To establish successful global business relationships for Colorado REALTORS® in these 3 areas

  • Tourism
  • Sustainable Energy
  • Agriculture

and create networking/business opportunities with our Sister Cities, Chambers, Consulates, World Trade Center and other international organizations as well to promote our dynamic “come to life” State of Colorado globally, a win-win-day for all!

Special Guest Speakers Include:

Zachary Benjamin
Business Development & Outreach Manager
National Association of REALTORS® Global Businesses & Alliances
Chicago, Illinois

Laura McLaughlin, Country Manager, US
Foreign Currency Exchange
Moneycorp, LLC., Orlando, Florida

Other guest speakers, experts in the Tourism, Sustainable Energy, and Agricultural areas, will be announced in the near future!

Check back for more information at www.globaldaycolorado.com

(“Come to life” a phrase used by the State of Colorado Tourism as referenced in the Denver Post, April 4, 2012)

2012 Global Business & Alliances Colorado Council: Inge Frerichs (Chair), Jennifer ElpersWell, Gretchen Faber, Howard Leino, Brian Kinkade, Deborah Lepercq, Franci Wunderlich, Aline Chambre, Anapaula Schock, Gayle Stallings

U.K Housing Market Showing Signs of Stability

Chesterton Humberts/CEBR House Price Poll of Polls found that the U.K. housing market is showing a greater stability. The report found this is largely due to the increased number of mortgage approvals as well as the greater amount of credit availability.

In all, the recent report found that house prices have remained fairly flat while London has been helping to increase the national average. In fact, approximately thirteen percent of the national average in sales is due to sales in the capital city. As such, even a slight increase in house prices in London is likely to have a significant impact on the national average, which may create an misleading figures when looking at national statistics. Nonetheless, the recent fall in world stock markets has helped make Eurozone house prices in London a relatively safe bet for investors. Some additional highlights from the report include:

•    House prices in the UK increased by 0.2 percent between August and September of this year, which further increased the amount of stabilization in prices throughout the country
•    House prices in the UK reached £176,553 in September, which is -1.6 percent lower when compared to September of last year
•    The national picture does not accurately represent the diverging trend between the North and South portions of England, as house prices in London have increased by 2.5 percent over the past year while failing -5.2 percent in the North West
•    While house prices grew in London at about the same pace as the rest of the UK in September, they have outpaced the national trend over the year
•    August saw 52,410 new mortgage approvals compared to just 49,644 in July, which represents the highest level seen since May 2010

“In recent months the gulf between asking prices and selling prices has widened as sellers, on average, have been in denial about the true market value of their homes based on the economic realities. This is most keenly observable in the difference between the Rightmove Asking price surveys and the Land Registry data,” said Robert Bartlett, who is Chesterton Humberts’ CEO, in a recent WorldPropertyChannel.com article.  “In addition, buyers appear willing to wait longer at present, without much urgency to make offers or conclude a purchase.”
Bartlett expects to see asking prices fall during the winter, which is traditionally a less active time for home buyers. When the stamp duty relief ends in March, however, he expects to see a major increase in activity. Nonetheless, experts caution that additional steps may be necessary to ensure the housing market continues to stabilize.

“Three years after the collapse of Lehman Brothers, credit conditions remain a significant obstacle to improvements in the housing market,” said Douglas McWilliams, who is the Chief Executive of CEBR. “Small improvement in mortgage lending activity will not let the Bank of England off the hook. Another round of quantitative easing is now not only expected, but it is becoming increasingly necessary.”

Spain Housing Market Experiences Difficulty with Drawing Investors

As Spain attempts to rebound from its own economic problems, the country is facing a new set of hurdles. Namely, analysts are reportedly having a difficult time determining how much the properties are actually worth. As a result of all of the confusions, investors are unwilling to make the purchases that are necessary to help the banks clear out the backlog of homes that are currently sitting empty.

The method used to calculate home price data in Spain is one of the primary causes of the discrepancy. Rather than gathering the data based on actual sale prices, the formula utilizes the appraisals that have been made by private companies. In a slow market, appraisals are heavily dependent upon asking prices, which results in a great deal of variety in estimated home values.

According to the Ministry of Public Works, the price per square meter on the homes currently for sale dropped by 11% since its peak in 2007. On the other hand, Tinsa, which is a large Spanish appraisal firm, has shown an 18% drop during this same time period. Numerous other firms have placed the drop at somewhere between 20% and 30%.

“We don’t have an accurate measure, that’s the bottom line,” said Jose Garcia Montalvo, who is the chairman of economics and business at the Universitat Pompeu Fabra in Barcelona.

The discrepancies between these figures are a matter of concern for investors, particularly after the bailout in Greece and the anticipated rescue of Ireland both failed to produce results. As such, investors are concerned about the possibility of the crisis spreading to other countries throughout Europe. While Portugal is the country that has garnered the most concern, investors are worried about Spain as well.

According to a study conducted by Luis Garicano, who is a professor at the London School of Economics, the housing boom that took place in Spain pushed housing prices up by more than 100%. In fact, two-thirds of the housing units built in Europe between 1999 and 2007 were built in Spain. As housing prices start to decline, it has been difficulty for experts to truly gauge where the value of these homes currently stands. This also means that banks are unable to determine the amount of potential losses they are looking at on their balance sheets.

“It could mean that banks will suffer high loan-loss provisions for many quarters yet,” said Andrew Lim, who is a European banking analyst with Matrix Corporate Capital in London.

About the Author: Brian Kinkade is a broker and team lead with Brokers Guild – Cherry Creek Ltd, one of Denver’s fastest growing full service Denver real estate firm. Brian’s team of Internet savvy agents service the Denver Metro area while specializing in Denver luxury homes, Colorado equestrain property and International real estate.

Expand Your Personal and Professional Network at the FIABCI-USA Fall Business Conference

The FIABCI-USA, which is a chapter member of the FIABCI, is hosting its Fall Business Conference this September 23rd through the 26th. The FIABCI, which is a non-political entity that works toward helping its members add an international component to their businesses, is comprised of chapters in 48 different countries. With members ranging from lawyers and architects to insurers and consultants, there is plenty of knowledge to be shared at the annual Fall Business Conference.

Last year, the Fall Business Conference was held in Denver, Colorado. This year, the annual event is slated to be held in Seattle, Washington at the Edgewater Hotel, which is located right on the water. Called “Connecting Continents,” participants will learn more about Asian markets as well as international market risks and opportunities. Participants will also learn about foreign investment in Seattle while also learning practical tips that can be applied toward their businesses immediately.

With so many great resources available to participants, there are many reasons to consider attending the FIABCI-USA Fall Business Conference this year. First of all, you will undoubtedly expand your business network. Even better, you will make connections with professionals from around the world as you learn new ideas and practices that you can use to improve your business. With the knowledge you gain at the FIABCI-USA Fall Business Conference, you will set yourself apart from the competition as you demonstrate a broader understanding and reach within your industry.

In addition to learning from the expertise of others, you will also have the opportunity to share your knowledge with other participants. As you break down into internationally-focused groups, you will get plenty of opportunities to get to know other participants. At the same time, the groups are large enough to provide you with the opportunity to meet with a wide variety of individuals with different types of expertise to share with you. Whether you are interested in the international market or you need to make some legal connections, you are certain to find the connections you are looking for when you attend the FIABCU-USA Fall Business Conference.

In addition to helping you expand your professional network, attending the FIABCU-USA Fall Business Conference will provide you with plenty of opportunity to make lifelong friends. As you enjoy the camaraderie of your peers, you are almost guaranteed to meet someone who you connect with. Hopefully, some of these professional relationships will ultimately translate into lifelong friendships that you will be grateful for finding.

U. K. Property Prices Continue To Rise

Property prices in the United Kingdom continued to increase in June, indicating broad stability according to reports. The latest index from Nationwide shows a seasonally adjusted 0.1 percent month-on-month, following a 0.5 percent increase in May. Only Northern Ireland saw values fall in the second quarter of 2010. In contrast, the annual rate of house price inflation dropped for the second consecutive month from 9.8 percent to 8.7 percent.

Overall U.K. house prices in the second quarter increased by 1.9 percent quarter-on-quarter. This resulted in an annual growth rate of 9.5 percent, up from 8.8 percent recorded in the first quarter of 2010.

According to Nationwide’s quarterly index, the South West of the country showed the strongest regional growth, with prices up by a seasonally adjusted 3.0 percent, and up 12.5 percent annually.  London had the strongest growth overall.  Its prices increased 13.2 percent in the second quarter. Growth in northern and midland regions was weaker than in the southern regions.

Indicators point to an increase in the number of properties for sale while the level of demand remains stable. “This would in part help to explain the recent slowdown observed in the rate of house price inflation,” said Martin Gahbauer, Nationwide’s Chief Economist.

Commercial Real Estate Expected to Enjoy a Boost in 2010

According to a report released by real estate consultants Jones Lang LaSalle, direct commercial real estate transactions volumes are poised to receive quite a boost in many parts of the world in 2010. In fact, the experts at Jones Lane LaSalle predict that volumes will increase by 30% in the Middle East, Europe and North Africa.

These predictions are being made after the market experienced better than expected activity during the first quarter, a time during which the market is traditionally quiet. At the same time, Jones Lange LaSalle cautions that there was also a 75% increase during the first quarter of 2008, at which time volumes managed to reach €20 billion.

When comparing the first quarter of 2010 to the last quarter of 2009, transactions are actually down by 15%. Nonetheless, analysts are confident the market is in a good position for the remainder of the year. This is particularly true in the UK, where the transaction volume of €7.8 billion accounted for more than one-third of all transactions and remained consistent with figures from the previous quarter. Three other countries, France, Germany and Sweden, followed closely behind, with each experiencing an increase in activity when compared to the previous year.

“The first quarter of the year is typically one of the slowest quarters; investors do not have the urgency to press on and close deals as they do toward the end of the year. Typically the first quarter is some 20 to 30% below the fourth quarter, so we do not read a 15% decrease as a sign of a slowing market,” said Richard Bloxam, who is the Director of EMEA Capital Markets with Jones Lang LaSalle, in a Property Wire article. “We expect investment activity to increase throughout the year. Already a number of transactions over €100 million and portfolio deals are under offer in the market. We estimate that direct commercial European real estate transaction volumes will reach at least €90 billion for the full year. This will be around 30% higher than 2009.”

Nigel Roberts, who is the Chairman of EMEA Research with Jones Lang LaSalle agrees, saying there is a growing amount of investor interest in obtaining quality real estate.

“This has clearly been demonstrated by movement in prime office yields when compressed in the majority of the European markets in the first quarter of 2010,” said Roberts. “London prime yields moved in by 50 basis points and continental European markets between 10 to 50 basis points with only a handful of markets remaining stable. Whilst economic recovery still remains fragile, business confidence is generally rising and with improved credit conditions the demand for real estate from core investors is driving down yields. In the short term interest rates sill offer positive cash flow opportunities for leveraged buyers but longer term investors will be looking for improving fundamentals translating into stronger rental markets.”

Property Investors Dominate Australian Real Estate Market

Mortgage specialists expect 2010 will be a good year for Australia’s mortgage industry, but with property investors replacing first time buyers as the main purchasers as reported by PropertyWire.com.

Residential property prices in Australia increased by 11.3 percent after the country’s modest 3.8 percent peak-to-trough falls in 2008. According to the latest published information from RP Data and Riskmark International, the best performing city was Darwin with prices up 17.9%. Adelaide was the worst, recording just a 5.7% increase.

The volume of mortgages last year rose 10 to 12 percent and is expected to grow 4 to 5 percent this year, according to Mark Hewitt, general manager sales and operations, of Australian Finance Group. Investors now represent about 34 percent of all mortgages arranged by AGF, up from 25 percent a year ago. For example, two out of every five mortgages arranged in NSW were for investment properties.

Hewitt said investors looked to property as a ‘safe bet’ to offset the volatility in the share market and general uncertainties surrounding other forms of investment. Investors have been coming back since the middle of last year to take advantage of a tight rental market.

Ordinary families are waiting instead of upgrading. In comparison, property investors, able to take a long term view, are hoping to ride a new upward cycle in property values.

FIABCI-USA UN Symposium & Prix d' Excellence Gala

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