More Rentals & Creativity for 2008
January 15th, 2008
Only a couple of weeks into 2008 and I think I can pretty much guess what we can expect of the Spanish property market in 2008.
Four different sources of information tell me that more people will be renting long-term in Spain and that everyone involved in the sales of new-build and second-hand properties will be getting very creative. Here’s why I think so ..
- Your feedback
Remember the new ‘Get Answers‘ on Kyero.com? – lots of you have been using it (thanks for that). The most common subject of your questions has concerned various aspects of renting long term in Spain. I expect your demand to drive an increased supply of properties in 2008 - The Ministry of Housing
In one of this week’s news articles, the government announced financial subsidies to help young people get into the rental market. The rush to find out more crashed a couple of government web sites. Again, their demand for properties to let long term in Spain will boost supply – probably from people who may have been thinking about selling but will choose to let for a few years instead. - Developers
It’s no secret that a number of developers have found it hard to keep going as they get squeezed between the credit crunch and buyers being more cautious. Still, new-build prices are not dropping – because developers are bundling lots of goodies and extras to make their deals more attractive – see this story as an example. - Banks and Mortgage Brokers
They’re getting ever more creative to drive business. See this story as an example. Between them and the developers, we can expect to see more and more deals on new and resale properties to make property ownership in Spain easier than ever.
Although we’re at an early stage of 2008, my early gut feel is that it’s working. Taking Kyero.com as an example, we’re seeing substantially more visitors and more genuine enquiries than this time last year.
I think it’s still going to be a challenging couple of years – not just for Spain but for much of Europe – but Spain’s fundamental appeal hasn’t changed and, today there’s a lot more people in the market making a lot of attractive offers.
Martin Dell, Kyero.com
