Archives for April 2009

April 30th, 2009

It's no secret that times are tough for property markets worldwide. The credit crunch, or "la crisis" as it is known in Spain, has had a major impact on the Spanish property market and it doesn't look like it's going to improve any time soon. I'm not going to go ...

Continue reading Dear Mr Zapatero ..

April 30th, 2009

Higher borrowing and higher taxes weigh on sterling. Investors nervous about Britain's AAA credit rating. Euro keeps a low profile. Sterling gave back the previous week's gains, falling from €1.13 to €1.1050. A brief spike to €1.1350 on Tuesday was easily reversed. On Friday the pound had a serious look at ...

Continue reading Moneycorp: Euro Weekly Update

April 29th, 2009

A British couple who were forced to live in their garage when the Spanish government knocked their £600,000 Spanish villa over supposed building irregularities have been told the demolition was illegal. Len and Helen Prior, who retired to southern Spain from Berkshire six years ago, became the first British expatriates to ...

Continue reading Property Demolition in Almeria Illegal

April 28th, 2009

I suppose I should have expected a bumper news week following the UK Budget announcements on the 22nd. The only direct change potentially affecting property owners in Spain is that landlords may lose the ability to offset their UK tax bill. Following the budget, Moneycorp's predictions of Sterling struggling seemed ...

Continue reading Spanish Impact of UK Budget

April 28th, 2009

IMF urges Spain to curb fiscal spending Spain must prepare bank bailout contingency plans Spain risks L-shaped adjustment without reforms Spain should be wary of extra fiscal stimulus measures and must prepare contingency plans for bank bailouts to head of possible systemic risk, the International Monetary Fund said on Wednesday. In a report following ...

Continue reading IMF Comment: Spain to Curb Spending & Support Banking

April 27th, 2009

The International Monetary Fund fired off the latest round of criticism, lamenting in a report that coordination between EU countries on the financial crisis had been "far from optimal." Seven months into the worst financial crisis in generations, Europe is still coming under fire both from at home and internationally for ...

Continue reading IMF Comment: Europe Must Try Harder

April 24th, 2009

Spain could be sliding towards harsh budget cuts like those forced on another former euro zone high-flyer Ireland. Concern about Ireland's deficit and exposure to bank losses pressured its government to slash spending and hike taxes this month to reassure investors of its long-term solvency. Although Spain has just launched a bank ...

Continue reading Ireland & Spain: Property Boom Cousins

April 24th, 2009

Spain says restructuring to strengthen banking system Spain's banks at disadvantage, savings bank head says CECA sees more bailouts after Caja Castilla Banking association head calls for capital injections Spain's government on Wednesday said it would restructure the Spanish banking system as one lobby group warned of "catastrophic" risks without contingency plans to deal ...

Continue reading Spanish Banking Restructure

April 23rd, 2009

February drop broadly maintains January rate of decline No reaction to Q1 price decline Estate agents report hefty price falls New house sales fall 29.3 percent Spanish property owners were still struggling to sell homes in February, figures showed on Tuesday, even though price falls gathered pace according to official data and some estate ...

Continue reading Spanish Property Still Moving – Slowly

April 23rd, 2009

Thousands of UK holiday-home owners face losing a range of tax benefits under changes announced in the Budget. From April next year, holiday property landlords will no longer be able to write off "trading" losses from second homes against their tax bill. Capital allowances and capital gains benefits will also go. Tax experts ...

Continue reading Holiday Home Tax Break Cut

April 22nd, 2009

Politicians and commentators find reasons to be less gloomy. Even so, this week could be tricky for sterling. Sterling extended its uptrend for a third week, adding two more cents before topping out a little above €1.1350. After the failure of five attempts to break higher the pound retreated on Friday. ...

Continue reading Moneycorp: Sterling's Rise Looking Shaky

April 21st, 2009

This could hardly be called a cheery week for Spanish property news. Even the fact that Sterling is worth more Euros this week than last, is more of a reflection of European pessimism, than UK optimism. The eagerly anticipated Tinsa index failed to offer any crumb of comfort regarding early ...

Continue reading The Easy Way to Sell Your Spanish Property

April 21st, 2009

Spanish property prices fell at their fastest rate since records began in the first quarter, government data showed on Wednesday, while analysts forecast more big falls in property values. House prices in Spain fell 6.8 percent in the March quarter, compared with the same period in 2008. On a quarter-on-quarter basis ...

Continue reading Spanish Property Prices Continue to Fall

April 20th, 2009

Where are you if you can’t see anything around you, and don’t have a map? Lost, most likely, just like the Spanish property market, where a lack of reliable data means nobody really knows where the market is heading, other than somewhere South. But at a time like this, when the ...

Continue reading Spanish Ministry of Housing: We Need More Data

April 17th, 2009

A total of 58,686 foreclosure auctions took place last year compared to 25,943 in 2007 and is set to rise over 75,000 this year, says Spain’s judicial body. The number of foreclosure auctions of homes and businesses more than doubled last year in Spain, official data showed Monday, as people struggled ...

Continue reading Spanish Foreclosures Doubled in 2008