Gary´s view of the Spanish property market – 2 – 4th March 10
As we enter the first months of Spring, I have found there has been an upturn in the level of enquiries for purchasing properties in Spain. These enquiries are mainly from the UK but also Denmark, France & Germany so it proves that the lure of Spain remains, even though the country itself is struggling financially.
When talking to the clients, I always ask the reason for purchasing and many of them are stating that “now is the time to buy” because of the falling prices and it is something which I cannot argue with. I firmly believe this downturn will help this region over the longer period as the prices were becoming too inflated and too expensive. We have seen what has happened to the Costa del Sol with over thirty years of investment there and now there is so much negative equity for owners that selling becomes very difficult.
With the problems happening now, although difficult to cope with, it has put a more realistic value on properties. One of the benefits of buying property in this region of Spain is obviously the weather and this is still the major draw for people so allowing the prices to be affordable again ensures a bigger market-place to attract. Emerging markets will come and go but Spain will always remain there, popular as ever so as long as there is sanity in the market-place then we will all be able to enjoy working in this industry, whether sales or rentals.
As for rentals, I have a villa in San Miguel and have been astounded by the levels of bookings for it this summer. Starting from next month the diary is filling up all the time and I only have three days empty in July and August meaning good returns. This is another reason for buying in this region, with the right property good rental returns can be achieved and is something I always am keen to discuss with people looking to buy here. Tina & Glynis have helped with these bookings and by working together has ensured work for them and a happy client – me!
If you have any questions on the property market, please feel free to contact me.
Regards
Gary
