Advertisement: Increase your sales
Recent Notes and Tags
Top Searches: • is spain a good market to buy property • spanish bank for sell • |
Spanish Property Trader Blog To buy, sell or rent a property in Spain?
Realestateinspaineu 
It's a fairly common question.....What can I do? Well, if we analyze the situation we have: If I was a potential buyer I would find that house prices are falling between 1% and 14% per year depending on the province. This downtrend is well established and therefore the short term would not be a good time to buy. Although there are a number of circumstances to consider: - Not all provinces had the same behavior being the lower prices in Huesca, Teruel, Tenerife, Las Palmas, Palencia and Vizcaya very moderate, so in this case it would not be a bad choice to buy.
- There are areas where we can find two interesting features:
- There is so much stock with what we could find very good deals for both individuals and banks reaching real reductions from 20% to 30% (certainly not the 50% than advertise some bank or saving).
- And it's annual fall in prices is not very high being less than 5% so patiently looking for we would make a good investment, and we would have much variety to choose from. It would be practically throughout all the Mediterranean Coast, Canary Islands, Balearic Islands, Sevilla, Cadiz and Huelva, except Girona where prices fall between 7,9% and 8,2% per year (source: Ministry of Development and average annual price from real estate portals).
- In all areas we can find real estate bargains and is a good time for an owner who wants to change for various reasons (lack of space, neighborhood, communication, etc.). In most cases the buyer does not usually make the transaction due to conflict of interest as it seeks to sell property expensive and buy it very cheap. Usually sells who is forced by economic or personal reasons.
For a buyer who wants to invest looking for a return: - Just inform tht the housing market is not a continuous market (as the stock exchange) so it takes longer to set a trend change, which could result in a change of government (20 NOv 2011).
- If intend to buy to rent should take into account that the annual rent is a return of 3% to 5% depending on the area. If you buy properties in areas where the price falls over 5% it would only be justified as an investment buying with real reductions of 30% or higher on price, and considering that the medium term prices are stabilized. The rent price is estimated based on the price of housing, due to oversupply, if house price falls, the price of rents falls.
- The most advisable investing to rent in Spain is to rent for days or for seasonal rental, wich reaches a 10% annual return. This kind of lease/rent has gained in flexibility due to the proliferation of specific real estate portals. You can invest in the areas previously mentioned, in the major cities near to the center or the tourist areas, in tourist cities such as Salamanca, Granada, Cordoba, etc. This kind of lease/rent is also becoming in winter a good alternative to hotel.
- Other investment would be the self, that is to buy a building plot with the idea of making us our house or villa. Now is a good time to do this as we can find land at a great price, but more interesting is the availability of technicians, architects, riggers and builders, and we would get price adjusted budgets, higher quality construction, being able to be more demanding than in normal conditions, getting our house better finishes, costs and greater agility in execution.
For a conservative buyer it is the possibility of lease-purchase, which is one way to ensure medium-term price. - The lease in Bank and Saving is not very flexible, lasting 4 years and is often requested as a bonus between 3% and 5% of the agreed value of the property. That premium is an amount paid to have the right to exercise the purchase and is usually deducted from the final price and will be lost if we don't buy the property in the agreed term. The amounts of the first year rent will be deducted from the final price if the property is purchased on the first year, but the rest of years the rent is not deducted from the price or introduce clauses that are progressively penalized. That is, if we buy on the second year only deduct the 50% of the amounts paid as a rent, which ensures the bank a better price if you don't buy the first year.
- But some developers and individuals allow much more flexible contract, à la carte, in which sometimes there is no premium, the duration may be longer than 4 years and sometimes a lease is agreed with slightly higher price so that all amounts are deducted from the final price.
For the most conservative buyer, can opt for the lease and expect to stop lowering prices, but not get discounts from 20% to 30% since then the demand will increase and sellers do not require to reduce so much their properties. Finally, as we can see, there are many more possibilities than it seems in a market crisis, is to seek the best fit to our needs. The information of this post/article is of www.realestateinspain.eu
You can talk about... To buy, sell or rent a property in Spain? Tags: • property values • cordoba • granada • salamanca • girona • huelva • cadiz • mediterranean coast • vizcaya • palencia • las palmas • tenerife • teruel • huesca • builders • architects • sevilla • investment • mediterranean • provinces • spain • tourist areas • investment buying • housing market • balearic islands • canary islands • good investment • short term • house prices • price of housing • find real estate • property in spain • rent a property •
| Social sharing because it feels good:
| |
To buy, sell or rent a property in Spain?
Spanish Property Trader Blog
|
