Asking prices still 20pc too high say 84pc of house-hunters in Spain
Posted on July 5, 2010 by Mark
Filed Under Property prices | 1 Comment
Asking prices are still between 10% and 20% too high, reveals a new survey of house-hunters carried out in March by the Foundation of Savings Banks (FUNCAS).
84% of Spaniards think that vendors are still asking too much, and more than half think prices will fall around 10.5% this year.
Compared to the last time this survey was carried out, however, the general perception of value for money has improved. In 2005, 95% of Spanish house-hunters thought property prices were over-valued by between 30% and 50%.
“There is still a perception that prices are over-valued, although less so, probably as a result of official prices falling for 2 years,” explains real estate expert Prof. José García Montalvo in the report from FUNCAS.
Is now a good time to buy property in Spain?
Is now a good time to buy? Spanish house-hunters are divided. 55.5% say yes “fundamentally because of low interest rates,” whilst 44.5% say no. So the current and former Ministers for Housing are not the only ones who can’t agree if now is a good time to buy property in Spain.
The survey by FUNCAS also reveals that most house-hunters think it will take the market 7&1/2 years to recover fully, though a significant minority are optimistic a recovery will happen much sooner.
If you enjoyed this post, make sure you subscribe to my RSS feed!
Comments
One Response to “Asking prices still 20pc too high say 84pc of house-hunters in Spain”
Leave a Reply
|
|
Nice article on zerohedge about Caja’s
http://www.zerohedge.com/article/ticking-time-bomb-are-spanish-cajas
I dont see how anyone can think now is a good time to buy, prices are just not affordable for most spaniards, who are either unemployed now or earning between 1-2k a month,
Besides that, there appears to be a high chance that Caja’s are going to rob them of their savings if that report is close to being true.