Recent figures from the property register confirm the Spanish housing market expanded last year for the first time in 4 years. It’s the first bit of good news from the Spanish property market for several years, with 445,885 house sales last year, an increase of 5.38pc on 2009, according to the latest figures from Spain’s property register.
However, although this is positive news, temporary factors such as the elimination of mortgage tax relief at the start of this year, and the increase in VAT on new home sales mid-way through last year may have been the cause. This may be endorsed by the Idealista report in February 2011, who surveyed 400 estate agents all over Spain for their views on the property market today. These were the main findings:
- Discount to asking price accepted by vendors: 30pc of vendors accepted up to 10pc lower, 43pc accepted between 10 and 20pc lower, 19pc between 20 and 30pc less, and 7pc more than 30pc less.
- Change in stock of properties for sale since the end of 2010: 58pc of agents reported an increase.
- Vendor openness to offers: 88pc more open than a year ago.
- Main reasons why sales fall through: Vendors asking too much in 26pc of cases, buyers offering too little in 40pc of cases (remember, this is all in the opinion of estate agents), and banks not giving finance in 34pc of cases.
- Enquiries so far this year: Falls up to 20pc or more say 51pc, whilst 24pc say an increase of up to 10pc.
- Sales so far this year: Falls of up to 20pc or more say 71pc, whilst 19pc say an increase of up to 10pc.
- Expectations for the first quarter of the year (compared to same period last year): 47pc say worse, 27pc say the same, 26pc say better.
- Expectations for this year: 33pc say worse, 28pc say the same, and 38pc say better.
However you wish to digest facts, figures and statistics, the bottom line is that it’s still a buyers market in Spain and a great time to buy a property for anyone with a long term vision or for their own use. As always the key when buying is location and with an abundance of quality property for sale in Spain, this could make now the perfect time to invest.
Visit www.propertyoverseasgroup.com for properties for sale in Spain