Archives for September 2009

September 30th, 2009

Spain's Socialist government has unveiled tax increases designed to raise an extra €11bn ($16.2bn, £10.1bn) a year and cut a budget deficit swollen by the economic crisis. But it failed to convince opponents that the measures would be enough to rescue the public finances. Before the summer, ministers insisted Spain did ...

Continue reading Spain’s 2010 Austerity Budget

September 29th, 2009

The big surprise this week was Sterling's decline against the Euro. At one point, 1 Euro was actually worth MORE than 1 Pound. Those heady days of 1.4 Euros to the pound seem a long way off now. However, Spanish Property: Profiting from Weak Sterling provides a handful of ways to ...

Continue reading Savvy Buyers Profit from Property Turmoil in Spain

September 28th, 2009

Spanish consumer prices are seen falling at the same rate in September as in August on an annual basis, though analysts see inflation rates turning more positive by the end of the year. A Reuters survey of 11 analysts produced a median forecast of EU-harmonised inflation of -0.8 percent in September, ...

Continue reading Spanish Inflation Trending Positively

September 25th, 2009

The rate of decline in stays at Spain's hotels eased in August as Spaniards opted to vacation closer to home, but a declining number of foreign holidaymakers continued to weigh on the country's key industry. Tourism, which accounts for around 11 percent of Spain's gross domestic product, has taken a battering ...

Continue reading The Changing Face of the Spanish Tourist Industry

September 24th, 2009

There is increasing talk in the Spanish press about an incipient recovery in the housing market, largely based on some statistics suggesting the collapse in sales might be bottoming out. Beatriz Corredor, Spain’s Minister of Housing, says you can now buy with “no worries”. Is she right? First of all, what ...

Continue reading Spain: Too Soon to Talk of Economic Recovery

September 23rd, 2009

That was the conclusion reached in the 2009 annual report on the Spanish property market prepared by Madrid-based real estate analysts R. R. de Acuña & Asociados. The report is described by Sunday Times Spanish Property Doctor columnist Mark Stucklin as one of the most influential annual reports on the sector, ...

Continue reading Three Million Unsold Spanish Properties?

September 22nd, 2009

The news this week is mostly about how the European economy is doing a shaky little recovery jig. So, should you be thinking about property in Spain yet? Maybe: But you should do this first. I think the best coverage is in this NY Times article: Eurozone at a Turning Point, ...

Continue reading Europe’s Recovery Jig: Time to Act?

September 22nd, 2009

The collapse in Spanish property sales appears to be running out of steam, which is good news of sorts. The latest monthly sales figures from the National Institute of Statistics (INE) show there were 33,694 home sales in July (not including social housing), the biggest monthly sales figure this year, and ...

Continue reading Spanish Property Bottomed Out – For Now

September 21st, 2009

The euro zone is emerging from recession, the European Commission said on Monday, but kept a gloomy overall forecast for 2009 as data showed job losses across the region still rising and sapping growth. In its interim forecast, the European Union's executive said the euro zone economy would contract by 4.0 ...

Continue reading Eurozone at a Turning Point

September 18th, 2009

The sharp housing correction that has sent Spain's economy into a tailspin is bottoming out, Housing Minister Beatriz Corredor told parliament Wednesday. "Recent indicators show a trend toward stabilization in the housing market," Corredor said. Spain's once-buoyant housing market collapsed last year as the global financial crisis worsened a correction that was already ...

Continue reading Spanish Property: Correction Bottoming Out

September 17th, 2009

When Santander launched its mammoth E7.2bn rights issue last year, rivals rushed to deny they needed to follow suit. Yet for the last six months, they have all been quietly raising their capital ratios – through asset sales, repurchase of their own bonds at a discount and the sale and ...

Continue reading Spanish Banks in Search of Capital

September 16th, 2009

Spain was brought to its knees when its Spanish property market collapsed. With a public deficit nudging 10 percent of GDP, Spain's government is testing the waters on a series of recovery measures - from improved social protection to green stimulus. Last week saw workers across Spain protest at layoffs from ...

Continue reading Spain: No More False Hopes

September 15th, 2009

After last week's article entitled Spanish property: Delusionism or Optimism, I received an interesting email from Property Pulse reader, Steve Dimmock: "I have also been looking to buy over the last two years and have just purchased. I am no economist or estate agent, but the reason I have just purchased ...

Continue reading Spanish Property: Austerity = Opportunity

September 15th, 2009

House prices are forecast to suffer a significant fall over the next 18 months as an "irrational" rally ends, according to a report today from a leading property consultancy. Housing analysts are increasingly predicting the likelihood of a W-shaped cycle where the recent house price bounce tails off and falls back ...

Continue reading UK: W-shaped Recovery Forecast

September 15th, 2009

Spanish month-on-month consumer prices rose in August after a sharp drop in July though less than expected, while annual inflation moved off its record low a month earlier, official data showed on Friday. Spain's year-on-year inflation was a widely expected -0.8 percent in August, its sixth consecutive month of decline, while ...

Continue reading Spain: August Inflation Matters