Eve was Adam’s second wife. She followed Lilith, who abandoned Adam after he tried to exercise dominance over her. According to the texts, Lilith refused to lay beneath Adam during sex. She believed they were created equal, both from the dust of the earth, thus she should not have to lay beneath him. After Adam disagreed, Lilith fled the Garden of Eden to gain her independence.
The lockdown has resulted in a savings boom, with total deposits growing by 2% year-on-year to €48.5bn. With bond yields at sub 1% (Cyprus bonds maturing in 2050 currently yield 0.97%), deposit rates at zero (they are negative for corporates), and international stock markets at an all-time high, many have turned to investing via insurance products to take advantage of income tax breaks or are acquiring real estate.
Properties in demand are mainly residential, either for primary residence or buy-to-let, typically in the €140-200k range for apartments and in the €250-350k range for houses. Demand for land, especially small-ticket parcels, is relatively high, as those with lower budgets are choosing to buy lots outside the cities hoping to capitalise on higher prices in the future or from fear of being left behind. The push towards investing in real estate is that it’s the best option around, even though it may not be a great option for everyone.
Acquiring real estate requires three considerations:
- Can you afford a downturn in your finances assuming you can’t sell the property you are considering acquiring? Real estate is illiquid compared to other asset classes.
- Who is the end user of this property? Is there someone willing to rent or buy it off you in the foreseeable future, or are you just hoping that something magical will happen down the line.
- Who will manage the property and what is the cost associated with maintaining it? All properties have taxes associated with them and buildings need regular maintenance, should be insured, etc.
Like all relationships, getting into one is easy but fostering it so that it blossoms takes time. Real estate investing requires considerable capital, the asset is illiquid, and buying/ selling has high frictional costs. In many ways it’s like marriage: easy to get in, hard to get out, and full of ups and downs.
Adam chose to be with Eve because God made her from his rib, rather than from the same soil as him (as he had made Lilith). He wanted someone beneath him and he ended up being kicked out of paradise because Eve ate the forbidden fruit. He was collateral damage.
When investing in real estate proceed with caution (or give us a call to chat).