Archives for October 2008

October 31st, 2008

The residential Spanish property market shrank by 36.8% in August compared to a year ago, to 37,744 transactions, according to the latest data from Spain’s National Institute of Statistics (INE). On a year to date basis, the Spanish property market has declined by 28.4% compared to the first 8 months ...

Continue reading Spanish Property Sales Down by 27% in August

October 30th, 2008

Buy a townhouse on the Costa del Sol and get a one-bedroom condo on a golf course for free. Tempted? What about a 40% discount on a seaside flat? Then there are the internet auctions run by CB Richard Ellis, a property consultancy, promising properties at “2005 prices”. These are ...

Continue reading Look for Value in Spain, not Bargains

October 29th, 2008

Despite the slowdown in the Spanish property market there is still an astonishing volume of new properties coming onto the market targeting the holiday home buyer. So why, asks Mike Hamilton, Director of Murcia based Casas de Lorca, is the vast majority of Spanish property stock aimed at the holiday home ...

Continue reading New Spanish Homes Targeting Wrong Buyers

October 29th, 2008

The latest report from InspectaHomeSpain reveals a marked improvement in the delivery time and quality of new-build properties in Spain. Snagging surveys carried out on 700 new build properties, constructed by 51 developers/promoters over 21 months from April 2007 to December 2008 revealed the following: 83% of properties had a valid Certificate ...

Continue reading Off Plan Property Improving in Spain

October 28th, 2008

There are a couple of articles this week of particular interest, plus more observations on the problems caused by under-declaring the value of property transactions. At the start of this month, the Kyero House Price Index was updated and I noted, with some surprise, that house prices in a handful of ...

Continue reading Marbella Prices, Black Money and a 3 Billion Euro Bet

October 28th, 2008

Luxury developments in Marbella, on Spain's Costa del Sol, have defied the credit crunch by reporting strong sales of properties over the past few months. Marbella remains one of the most sought-after locations for the world's super-rich, although due to town planning regulations there is a shortage of new, quality ...

Continue reading No Credit Crunch in Marbella

October 27th, 2008

Unemployment went up by 217,200 people in the third quarter of 2008 according to the survey into the active population by the Spanish National Institute for Statistics (INE). The current rate of unemployment is now 11.33% which is a rise of 9 tenths and the highest level since the first ...

Continue reading Spanish Unemployment Highest Since 2004

October 24th, 2008

Some 47 million tourists have visited Spain in the first nine months of 2008, a figure that has remained largely unchanged (-0.9%) y-o-y, according to the Ministry of Tourism and Trade. Despite the slight drop in visitor numbers since September last year, figures of tourist activity in September itself show a ...

Continue reading Spanish Tourism Stable

October 24th, 2008

Consumers across the EU are set to benefit from greater holiday protection when they buy and resell timeshare holidays under new rules to be voted by the European Parliament today. The aim of the proposed Directive is to further boost consumer confidence in the timeshare industry, which is worth over ...

Continue reading EU Vote on New Timeshare Laws

October 23rd, 2008

The government will start buying bank assets from November after Prime Minister José Luis Rodríguez Zapatero secured near unanimous congressional support for a package of financial measures aimed at easing credit conditions and restoring confidence in the financial system. The plan, which was backed by all but five lawmakers, will allow ...

Continue reading Zapatero: Banking Support, Not Nationalisation

October 22nd, 2008

A story reported by Reuters gives us an insight into how long commercial lenders and borrowers believe the credit crunch will last in Spain. The article deals with how Reyal Urbis, one of Spain's largest developers, has managed to secure additional funding: "Spanish real estate company Reyal Urbis said on Monday it ...

Continue reading Spain Will Bounce Back by 2010 – Reyal Urbis

October 21st, 2008

This week marks the 200th issue of the Property Pulse Newsletter. I'm not quite sure whether it's much of an anniversary of note, or how to celebrate it but I feel sure there will be a bottle of cava involved somewhere along the way. I won't surprise you to learn ...

Continue reading Anything to Celebrate in Spain Today?

October 21st, 2008

"The reality," concedes banker Enrique Casanueva after listing Spain's advantages in the face of a deepening global financial crisis, "is that this economy has grown a lot because we have built lots of houses." Hundreds of thousands of those houses - in what seemed a virtuous circle, their construction was both ...

Continue reading Spain: The Most Complicated Economic Environment in Decades

October 20th, 2008

The prediction by José Luis Rodríguez Zapatero, the Spanish prime minister, of mergers among the country's weaker banks merely brought into the public domain a looming reality accepted months ago in private by Spanish bankers. "When there's a time of grave crisis like this, it's likely that there will be merger ...

Continue reading Spanish Property Crisis Undermines Local Banks

October 17th, 2008

The average salary in Spain is 34% lower than in the rest of the EU according to a study published today by Adecco and IESE with reference to figures taken from 2006. The report shows that the average gross salary in the EU was 32,414 euros while in Spain it ...

Continue reading Spanish Salaries 34% Below European Average