Friday, 28 October 2011

EspoonKruunu Oy, Madness At Play ...

This article is to honor my barber. A nice single mother lady, always smiling and ready to put you in good mood.

As usual, we have a small chat of what is happening around the world she is in, made of customers of various background - the citizen of Finland.

Today, she cut my hair very well - she is a real professional and hard worker who do not speculate CDS or is short oil or wheat on the NYSE CBO stock market - a normal citizen from Finland.

She told me the following story. She had to move from the place she rents because EspooKruunu, a communal owned company ( of the republic of Finland) owner of the rivitalo (build in the 80's, 2 floor - 80 m2) , decided to renovate it. They also....

humm...also, kindly requested that the rent will be raised from 800 Eur to 1000 Eur. A 25% increase overnight.

Of course, a quarter or more of the renter of the same housing community decided to look somewhere else. To me, the action of the EspooKrunnu, deserve some attention, and the media should be a bit more critical of this kind of action.

In addition, to that State owned company playing with the rental market - you have also state pension fund heavily invested in real estate in rental market, easily setting the price to their wishes....

DISCLAIMER: All characters appearing in this work are NOT fictitious. Any resemblance to real persons, living or dead, is NOT coincidental. Believe me it is a true story.

Friday, 14 October 2011

2012 - The Liikanen-Mayan Forecast

In a hearing with the Finnish Parliament, Liikanen (Bank of Finland) stated that global economic growth for late 2011 and early 2012 was falling behind this summer’s projections. Liikanen emphasized that banks now need to preserve their own liquidity, securing additional capital from private sources.

to me it looks like Liikanen is telling to banks to get ready for the worse...

Sunday, 2 October 2011

Full House or Flush, a poker lie?

Are house prices Safe As Houses? from Neil Monnery on Vimeo.

I am wondering what is the current housing price versus income in Suomi Finnland?

When you see that new flats put in the market are at over around 400 000 euro and that income are between 30-40000 euro/year, you wonder how long this house of card will sustain before we see the flip side of the coin. Maybe god is playing with dice, but it seems that down earth, people are playing a poker game...