Houses For Sale in Spain – Now at Rock Bottom Prices
By John N Stanley
Cash Is King.
Along with many other countries, the Spanish property market has plummeted due directly to the global credit crunch.
Those looking to sell their Spanish homes face a daunting wait if they are unwilling or unable to reduce their asking prices as there are literally thousands of houses for sale in Spain. It’s only the bargains now that buyers are pursuing and for anyone lucky enough to have sufficient savings to buy property in Spain then cash is king and they will certainly be able to snap up the bargains.
People hoping to take advantage of the current glut of properties but needing a Spanish mortgage are unlikely to succeed for unless they have a squeaky-clean credit history and a large deposit, they will not get the mortgage needed which are becoming very difficult now. The Spanish banks are seemingly unwilling to do what we expect of banks which is to make mortgages!
Cold Feet for New Developments.
Developers are being left with many unfinished and unsold properties as potential buyers turn their backs on anything new or off plan. They have been frightened off by the stories of developers going into bankruptcy half way through or are otherwise worried over potential problems if a developer does not have all the paperwork properly in place get the utilities on. Not much point in buying a property if it has no electricity or water, and then waiting for it, for, possibly months if not years to be resolved. Before considering a new property it is essential to check that the development has either been fully completed with all infrastructures in, and all services connected or ensure that proper bank guarantees are in place to ensure that you are not left high and dry.
Resale Bargains Galore.
With so many resale properties for sale they in fact can prove to be the best bet for those unwilling to get involved with the vagaries of the newbuild market . With so many people now finding it difficult to make a living in Spain it is inevitable that some are facing increasing difficult with their mortgage payments. Those wishing to sell up and move back to the UK, are forced to greatly reduce their asking prices in order to attract a buyer and with a similar scenario applying to some pensioners, who have seen their pension income hit hard by the devaluation in the Pound. They are not entitled to any additional UK benefits whilst in Spain and they too are finding life very tough and so they are also selling up to go back to blighty where at least they may get the financial assistance they need.
Money in the Bank?
If you have money in the bank, or under the mattress, it is probably the best time ever to look at houses for sale in Spain. In certain areas, like the Costa Blanca or the Costa Calida it’s probably unlikely that prices can fall much further with many owners already saying “Why should I give my house away to a complete stranger, I might as well hang on to it until the market picks up, because it will eventually.” It is possible that prices may have bottomed out as owners take their properties off the market and leave it to those distressed sellers and developers thereby actually reducing the stock available.
If you are seriously considering an overseas property investment then you should seriously look at buying a property in Spain whilst they are at rock bottom prices. Spain is still the favourite European country for Brits. looking to live in the sun. Those that are waiting for things to improve before buying may be disappointed as when the crunch arrive it arrived quickly and it could disappear just as quickly I hope.
For those waiting for the British Pound to recover against the Euro:
(1) I don’t think it will or not by much in any case.
(2) The virtual parity of the Pound with the Euro means that Brits can sell cheaper if they are planning to return to the UK.
Now is the time if you want to pick up a bargain.
John writes online information on various subjects, with his core business being Spanish Property, Mortgages and Solutions for those living in Spain. Check out his website and find much more information about Spanish Properties at http://www.fincalinkup.com
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