The Property Market

[petert74]

Ive heard many different opinions with regards to the current property market.

Most saying its has become stagnant and will continue to be that way. Others say the costa is still selling.

Anything thoughts???

Ive even been told prices are likely to fall due to many peoples coming out of their fixed rate agreements and now cant afford the payments.

[costakid]

it's a buyers market for sure but i dont think property is dropping, just slowing down and taking longer to sell. You would be brave to buy off plan. Certain areas are sensitive, mainly east of Marbella up to Fuengirola. I suppose that coment will cause a heated debate.

[Campo Kenny]

I heard an interesting article on the radio in the car the at the weekend.

It was saying that UK overseas buyers and "prospective buyers" over the last few years have been going to the EX Eastern Block countries after the huge TV coverage these new places have had over the last couple of years on the TV's "moving abroad" programmes etc. .

Apparantly people are now realising that it's cold over there and that the infrastructures and lifestyle are not what they thought and that because of this the huge profits forecast on purchasing in these places are not materialising.

It said that travel to these parts is dying off and to expect a return to the traditional hunting grounds of the Mediterranean.

Kenny

[BENIDORM]

As always during property 'booms' the property prices soar well above true value and realistic prices..I believe that the property market is now entering a calmer period,and prices have now started to drop to their true values...When I say prices dropping , I mean that they are not now being offered at inflated unrealistic prices....For anyone considering buying in Spain, I would consider that now is the best time to buy....There is an excellent supply of good property available on the Costas and Inland, and a discerning buyer will be able to buy well at present...I agree with the other replies that it would take a brave buyer to invest in 'off plan' ,at present ,probably best left to the experienced property investor. With regard to the interest in buying in Bulgaria etc, there is obviously some good buys to be had, but again at this stage I think it probably better to leave it to the serious investors..I believe that Spain will remain a firm favourite with Northern European buyers, and I really do believe that Spanish living will get even better in a few years time....Having said that, it is not the best place for everyone, and utmost care in choosing the 'right' home should always be the 'name of the game'
Anyone considering making their home here in Spain should research thoroughly and as everyone has different needs etc, I think it prudent to be careful when taking advice from anyone, you really are the 'only 'person who knows your real budget and requirements...

[daneinspain]

Something that will never change is that Spain is always going to be a very popular place to holiday and to have a second home, its in europe and a short flight away, weather is always nice, country is civilised and has a decent infastructure.

There are places that have better beaches, are less "spoilt", cheaper real estate, are more tropical and have somethings better than Spain but overall Spain has to be the most balanced, the one that overall is best when taking everything into account.

The fact is the property market reached its peak and cannot realistically climb any higher and will have to come down only to come back up again as is the natural cycle but whether sellers are too stubborn to allow this is another question, as is whether it actually will happen. No one knows for sure what will happen but many will speculate.

We can only wait and see........

[silver]

...the current property market on the costa might be a bit stagnant because buyers are buying all over Spain...e.g. Mucia is selling like hot cakes.

[alaninspain]

Holiday home purchases in 2006 in Malaga province dropped by 57% from 2005, as confirmed by the Costa Del Sol News on February 8th. I have also noticed that some smaller estate agents have folded, the larger ones may well weather the drop, although some have shed staff. It is taking an average 15 months to sell a property even after discounting. It is certainly a buyers' market at present.

[sick and tired]

there has been much speculation on the property prices in spain and as in any country prices have a tendancy to rise and fall periodically but property is rarely a poor investment ( there are exceptions) people buying now for a quick buck would have to be extremely fortunate although again not impossible,but what is confusing is the amount of new build which continues to appear in the coastal areas at still alarming rates as i noticed on a recent trip to gib from fuengirola cranes as far as the eye can see and the continuation of new build along the mijas road from alhaurin and on the hill around the water tower the prices appear not to reflect the alledged down turn so who is buying them????the germans and dutch are skint the scandanavians appear to have lost interest and the brits if we are to believe what we read have turned their eyes on the eastern block surely the spanish are not buying them at these prices!!!who are these mystery buyers???or is it one big tax dodge??

[silver]

surely the spanish are not buying them at these prices!

I know a few who have...apart from the foreigners buying Spanish from other parts of Spain also retire/holiday to the south coast...

[petert74]

So is it a good time to buy now or wait another 6 months???

It seems that for a very long time prices have been artificially high.

what ever happenned to Value for money!!!

[Campo Kenny]

Irrespective of the current climate or the country, A cash buyer and a desperate seller always makes for a good deal (in the buyers favour )

Kenny

[samizdat]

according to the agent selling my house, all the current buyers are spanish - buying up "illegal" properties cheaply! He cant remember the last time he sold to a UK buyer.. They seem to be suckered into buying for investment in Bulgaria and Turkey


Apparently the spanish buyers have faith that all the "illegal" Marbella houses will be legalised this year so are taking opportunity to buy them cheap - strangely the spanish banks are still offering mortgages on them. There must be a list of the ones at the Town Hall which are only "slightly illegal"

[Heston]

Inland sales are booming along with prices North of Granada and upto Jaen prices are still cheap in some towns but I have seen a grown in prices of at least 25% in this last year

[Robbbo57]

It's gonna flop in about two years..the market is saturated with properties built by greedy (English) chancers.....in alliance with greedy Spanish property developers - all stomping (while smiling) on each other for the profit margin....Bound to crash...I'm waiting like a vulture.............wings fluttering....

[Heston]

Its not new builds up here its old cortjos and villages houses that the Brits are seeking out.

[Beachcomber]

I had to smile at two unrelated items on Selling Properties Abroad on Channel 4 last evening when they were discussing the problems of someone who had come unstuck when purchasing property in Croatia,

"Of course, Croatia is not yet a member of the EU so until it joins in a few years time there is no protection for property purchasers."

Probably quite true but the same programme then showed another item about the corruption scandal in Marbella with clips of the mayor and corporation being arrested and a woman who stood to lose over £100.000 (sterling) if she could not get an LFO.

The presenter failed to mention that Spain has, in fact, been a member of the EU for several years.

[olive]

mmm. Blah Blah.

1st It is Ok saying do your research. Most people don't have the time to spend weeks trailing from one crappy agent to another. Also when you see the property you love it is hard to balance that against bargaining as most are saying you should in the present climate.

2nd I thankfully know Nada about off plan and rabbit hutches on the Costas BUT on one of my raer visits east of Malaga I saw new "golf complex going up inland of the Arroya del Miel turn off the Motorway. Suerel they will sell like hot cakes!!

3rd Re Heston and the boom in inland properties. True people are seeking out rural properties and village properties inland and thus agents and owners can and do ask more for them. Around here the Spanish are cash poor and equity rich. They are ALL asking absolutely daft money for old properties that need a fortune spending on them. Every so often a Brit ( or North Europeans- we have Germans and other nationalities buying in the last 12 months so they are not that strapped for cash) like me buys a property and then the seller buys a new 4x4 and spends the rest on buying more olive groves....... They can all afford to wait. Bit like fishing I guess.

4th Maybe the flats being built everywhere are cheap housing for all the South Americans invited here over the last 2 years?

My advice would be if you are buying it needs to be as a long term investment - housing always seems to rise in value in the long run.

olive

[Beachcomber]

The developer of the complex in Arroyo that Olive refers to is the infamous Aifos although I think they are seeking to disguise the fact!

A strong case for caveat emptor if ever there was one.

[MANDERS]

weather is always nice

hmmmmmmmmmm

[Retro P]

Olive, what do you define as a "rabbit hutch" on the costa? I take offence at that remark, I have a large apartment with very big terrace which is very satisfactory for my family we have three large bedrooms a private garage and a secure site, I chose to buy here because I wanted to, I researched the background of the company I bought it from very thoroughly, I also took time to speak to my potential neighbours to get their views about the general local environment and living conditions.

Some of you campo dwellers will always offer the opinion that "it's the real Spain" or you don't want to be involved with the brits or some such other drivel when the truth is that living in the campo is the only financial option for some hard up families who want to live the dream, (whatever that may be) your dreams are your own and one mans meat is another mans poison etc, so perhaps you should keep your opinions about other peoples lifestyle choices to yourself! that's it, rant over now , I hope you're happy with your home, personally I wouldn't want to live in an ex goatshed, but each to his own