The Latest Spanish Property News from Kyero.com
April 22nd, 2008
Last week, one of the larger national property portals in Spain, Idealista.com, quoted an article which appeared in the Spanish newspaper ABC.
Entitled "Developers say that house prices will not fall further", the article explains how The G14, the association formed by the 14 largest Spanish developers, believes that property prices in Spain have now stabilised.
They think that from now on we can hope for a revival in new home prices, as long as the finance is there. If it is not, they warn that this could provoke the loss of 700,000 jobs and a drop of 1.5 points in the economic growth of the country.
I've never been a fan of the G14's style of PR and it would appear that the Spanish public sees things the same way. To date, almost 700 people have commented on these 'findings' by the G14.
Here's a couple of my favourite comments: "Developers can say many things .. the credibility of this group is zero." "G14 or G13? What will G12 say next week?"
The problem is that the G14 offer no proof or evidence that prices have actually bottomed out. They quote their own statistics and routinely conclude that the time to buy property is now.
Unfortunately for them, this kind of self-promotion is no longer effective (if it ever was). In a world where mass communication is easier, faster and cheaper than ever before, hundreds or thousands of people can pass judgement on such marketing insults.
Compare this to this article demonstrating the attitude of the Mayor of Marbella. Notice, how she acknowledges the problems and the difficulties associated with solving them? I'm not holding this up as a great example of PR but, compared to the bullying and threats of the G14, at least the Mayor of Marbella falls short of insulting our intelligence.
Despite the G14 spin, there's a correction in house-prices occurring at the moment - in Spain, in the UK, in Europe and in the US. As we said last week, for some this spells opportunity but one thing's certain, it's not over yet.
Martin Dell, Kyero.com
Entitled "Developers say that house prices will not fall further", the article explains how The G14, the association formed by the 14 largest Spanish developers, believes that property prices in Spain have now stabilised.
They think that from now on we can hope for a revival in new home prices, as long as the finance is there. If it is not, they warn that this could provoke the loss of 700,000 jobs and a drop of 1.5 points in the economic growth of the country.
I've never been a fan of the G14's style of PR and it would appear that the Spanish public sees things the same way. To date, almost 700 people have commented on these 'findings' by the G14.
Here's a couple of my favourite comments: "Developers can say many things .. the credibility of this group is zero." "G14 or G13? What will G12 say next week?"
The problem is that the G14 offer no proof or evidence that prices have actually bottomed out. They quote their own statistics and routinely conclude that the time to buy property is now.
Unfortunately for them, this kind of self-promotion is no longer effective (if it ever was). In a world where mass communication is easier, faster and cheaper than ever before, hundreds or thousands of people can pass judgement on such marketing insults.
Compare this to this article demonstrating the attitude of the Mayor of Marbella. Notice, how she acknowledges the problems and the difficulties associated with solving them? I'm not holding this up as a great example of PR but, compared to the bullying and threats of the G14, at least the Mayor of Marbella falls short of insulting our intelligence.
Despite the G14 spin, there's a correction in house-prices occurring at the moment - in Spain, in the UK, in Europe and in the US. As we said last week, for some this spells opportunity but one thing's certain, it's not over yet.
Martin Dell, Kyero.com
Is any property below €50,000 a cheap Spanish property? Are cheap Spanish properties only to be found at auction or as bank repossessions? How much below market value does a Spanish property need to be to be considered cheap?
Continue reading: What IS cheap Spanish property?
