Archives for February 2009

February 27th, 2009

Official data reveals that Spanish public finances accumulated a deficit equivalent to 3.8% of GDP in 2008. Spanish public finances lurched into deficit in 2008 to 3.8 percent of output and breaching the EU limit, official data showed, as the government spent heavily to stimulate the economy through the global crisis. The ...

Continue reading 2008 Spanish Deficit 3.8% of GDP

February 26th, 2009

The Spanish property market shrank by 29% in 2008 reveal the latest figures from Spain’s Property Register, released in a report yesterday. There were a total of 561,500 home sales last year, compared to 788,500 the year before. Sales of new properties fell 13% to 296,400, and resales fell 41% to ...

Continue reading 2008 Spanish Property Sales Down by 29%

February 25th, 2009

The fall in Spanish home sales accelerated in the final quarter of 2008, a report showed on Tuesday, reflecting a collapsing property sector that has helped tip the fourth-largest euro zone economy into recession. Some 113,274 homes were bought and sold in the fourth quarter, down 13.5 percent from 130,884 in ...

Continue reading Spanish Property Sales Down 13.5% Q4 2008

February 24th, 2009

There are two 'must-read' articles this week, not because I wrote them, but because they deal with a significant problem in the Spanish property market - no price transparency. Now, the good news is that a price index from Tinsa assessors looks like it's the real deal - a reliable barometer ...

Continue reading Transparent Spanish Property Prices

February 24th, 2009

Leaders of Britain, France, Germany, Italy, Spain and the Netherlands agreed there was a need for greater regulation on financial markets. The heads of Europe's largest economies agreed on Sunday on the need for greater regulation of financial markets and to double IMF funding to avoid a repeat of the global ...

Continue reading European Leaders Agree to More Regulation

February 23rd, 2009

You want to buy a property in Spain, but are put off by the fact that you have no idea what price you should pay - especially in today's market. You know that prices are falling, but how low will they go, and when will they rise again? In the ...

Continue reading What Will You Pay for a Spanish Property in 2010?

February 20th, 2009

This month, a petition will be delivered to Number 10, suggesting that Gordon Brown picks up the phone and talks personally with Spanish Prime Minister José Luis Rodríguez Zapatero about Spanish real estate and the UK investor. The document demands he lodge a complaint on behalf of thousands of British ...

Continue reading New Build Spanish Property Under Fire

February 19th, 2009

At last, we have access to a set of numbers about the Spanish property market which are worth taking seriously. Regular readers will know that the Spanish Ministry of Housing figures are laughable - not just because they still show property values increasing - but because their average house prices are ...

Continue reading Finally, Realistic Spanish Property Trends

February 18th, 2009

Property companies and mortgage borrowers are defaulting in rapidly rising numbers as the Spanish property slump digs in, leaving the banks that financed them holding the baby. Defaults and repossessions are turning Spanish banks into some of the country’s biggest estate agents. This is not the first time that Spain’s banks ...

Continue reading Spanish Banks Left Holding the Baby

February 17th, 2009

There's a mixed bag of Spanish property news this week. On the bright side, we learn that inflation in Spain has reached a 40-year low. Aside from the fear that the economy will experience deflation as consumers decide to delay spending and wait for even lower prices, I think that ...

Continue reading Spanish Property: New Highs, Same Old Lows

February 17th, 2009

Spanish inflation fell to 0.8 percent in January over 12 months, the lowest level since June 1969, after 1.5 percent in December, official data showed on Friday. The figures from the statistics institute INE showed that this was the sixth month running of declining 12-month inflation in Spain, which entered its ...

Continue reading Inflation in Spain Drops to 40-Year Low

February 16th, 2009

After celebrating its third birthday this week, US property valuation and portal zillow.com has released its fourth quarter Homeowner Confidence Survey, and the results are interestingly optimistic. Writing on the company’s blog, Amy Bohutinsky, zillow.com’s VP, Communications, said that two and a half years after house prices peaked, homeowners are finally ...

Continue reading Global Property Market: Renewed Consumer Optimism

February 13th, 2009

Spanish MEPs have hit back at threats to withdraw EU funding if the nation continues to abuse property rights. A draft report by Danish Green politician Margrete Auken – who had been commissioned by the European Parliament to investigate Spanish property and environmental abuse in Spain – suggested that Brussels ...

Continue reading Spanish MEPs Defend Valencia Land Grab Laws

February 12th, 2009

Luxury villas go up just metres from the sea despite coastal law banning building within 100 metres. Work goes ahead in Mijas while 100-year-old cottages in Galicia face demolition. Angry residents have slammed the hypocrisy of allowing new homes to be built beside the sea, while a coastal law is threatening ...

Continue reading Mijas Defies Spanish Coastal Law

February 11th, 2009

During the boom Spanish property prices were fuelled by a virulent mix of cheap credit and speculation, which inflated a bubble. The credit crunch triggered by the US subprime mortgage meltdown put an end to that, and the bubble has now burst (it was going to burst one day anyway). But ...

Continue reading Spanish Property Market in a Nutshell