Tuesday, July 20, 2010

Current recession good for investment

The Spanish property market is showing hints of stabilizing and individuals looking to invest in Spanish property should do so in the early part of 2010, it has been suggested by a property buyer.

The purchaser purchased a house in 1994 in Marina Alta, a northern part of the Costa Blanca, when Spain was still in recession. He said that with little demand for building work at the time, he was easily able to source the local labor. The relocation to Spain helped develop new friendships, the buyer said, something that aided him settle into his new life along with choosing to join local clubs and become familiar with the area's traditions and culture.

Des Rowson, spokesperson for the National Association of Estate Agents International (NAEA), believes that investors should buy quickly to capitalize on rising house prices in the country.

He stated that it was doubtful there would be a significant change in the market until the GBP strengthened and confidence returned among purchasers, but noted that house prices are expected to rise around three per cent over the course of the year. He also said that the bargains are still available.

"So if you are thinking of purchasing a property, do so in the early part of 2010,” he concluded.

In more good news for investors, developers and agents in Spain reported that they had experienced a rise in the number of sales and enquiries. Alfredo Milla, director of international investments at Mediterranean said that there was a feeling that the economic climate was improving. He said that the confidence is returning to the international buyers as they can see the great offers that are now available in Spain.