Monday, December 28, 2009

Key-ready homes are best bet in Spain

Following media coverage of the failing property market during 2008, most potential property buyers put their plans on hold and the complete market in Spain saw estate agents shutting through lack of sales and the crunch during 2008 was to get even worse. However as 2009 emerged, the estate agents were beginning to see a new surge of property buyers. The shrewd investor saw the decline as an opportunity to secure a dream home at a much reduced price. In fact this aspect of a declining market was the main purchasing selling point that the Spanish Market was using to attract buyers. New residences that have recently been completed has seen the best resulting sales in Spanish property market.

Known as key-ready properties, Martin dell of Kyero.com commented: "The difference is that these properties are available direct from the developer - who need sales to prevent the banks from taking possession." He added that these are better bets than repossessed lots being bought from banks, as developers are able to process matters faster and "negotiate from a more realistic property valuation.

He revealed in an article for International Property Journal predicting that overseas buyers will be able to negotiate "aggressively" over prices for Spanish homes in 2010. There is also a trend in Spanish market that follow the UK market. Smaller one bed apartments and studios seem to remain pretty consistent, as do the properties valued at over a £million.

Buyers looking for long term rental properties in Spain are able to push for bargains to the extent that only lets with no reserve price received offers at a recent auction organised by A Place in the Sun magazine, Mr Dell noted.

Friday, December 18, 2009

Demand for Spanish property is on the up

Falling house prices in Spain due to economic crisis and subsequent recovery of market will see more investors buying into the property market there soon, it has been predicted

Martin Dell of Kyero.com said that the high unemployment rate in the country is hampering the wider economy which in turn pushes house prices down further, while at the same time other European countries are recovering, leading to a situation whereby more overseas investors will "pounce" on a market full of bargains soon. Mr. Dell stated that this is already apparent at the "top end" of the market in Spain and is gradually working its way down to the "mainstream".

Irea Mikel Echavarren, head of Spanish real estate consultancy stated that prices have already dropped as low as they will go and anecdotal evidence in the sector has indicated that the level of transactions is going up. "As soon as there is a general perception that things are getting better, house prices will stop falling and start rising," he added.

In more good news for investors in Spanish property, Paul Bradley, Spokesman for the Spanish property Owners Guild said the rate of bookings for rental property in the country was up in October and is ten per cent up for 2010, as demand from sun-starved northern Europeans returns.

However, he advised that those looking to buy rental properties to ensure they have "exceptional rental qualities to defend a purchase", noting that "capital gains are not expected for at least four to five years" as a backlog of unsold properties remains to be cleared.

Friday, December 4, 2009

Spanish golf properties enjoy a 20% premium

Spain has some of the best Golf courses in the world and many of them are surrounded by wonderful properties such as villas, town houses and apartments which enjoy a 20 per cent premium over similar homes that lack this, it has been noted.

In a feature on the appeal and value of Golf properties, the Times stated figures from developer Clutton Resorts stating that such a price differential exists. With KPMG's Golf Advisory Practice stating that the country is tipped to be second only to Portugal as a golf property destination, The Times stated that this is beneficial for Spain.

Golf properties are among the easiest to rent out for holidays and represent an excellent investment. There are companies that specialize in renting out golf properties in Spain and include golf tee times and bookings. Over the last few years, the prices of golf properties in Spain have increased at a dramatic rate and huge profits have been made.

The Times also suggested the Desert Springs resort in Almeria as a good investment for a family in which Dad tends to be an occasional golfer. This has two-bedroom flats with discounted prices starting at GBP198,000.

In good news for golf property investors, mortgagesolutions.com revealed that the banks are willing to offer home loans to overseas buyers. It remarked that investors would be "surprised" at what is on offer and said that with prices having fallen the prospects of owning property abroad "may never be better".