summer drought??

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This topic contains 20 replies, has 10 voices, and was last updated by Profile photo of logan logan 5 years, 6 months ago.

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  • #56212
    Profile photo of Tinnat
    Tinnat
    Participant

    Has anyone noticed a drought in the property market over the last three weeks? In my corner of the land, for a reasonably-sized house in a good town, there has been no new property advertised at all! Plenty of recycled ones though…

  • #104450
    Profile photo of Anonymous
    Anonymous
    Participant

    So you are talking about a drought of property, not of buyers, correct?

  • #104481
    Profile photo of Tinnat
    Tinnat
    Participant

    Yes. there seem to be no new properties on the market.

  • #104483
    Profile photo of Anonymous
    Anonymous
    Participant

    They know it’s pointless so they’ve given up trying โ“

  • #104486
    Profile photo of Tinnat
    Tinnat
    Participant

    There are still people like me, wishing to buy! ๐Ÿ™‚

  • #104503
    Profile photo of logan
    logan
    Participant

    @tinnat wrote:

    There are still people like me, wishing to buy! ๐Ÿ™‚

    I should go an lie down in a darkened room if I were you. It will soon pass.
    Buying Spanish property right now will serious damage your wealth.

  • #104505
    Profile photo of Anonymous
    Anonymous
    Participant

    @tinnat wrote:

    There are still people like me, wishing to buy! ๐Ÿ™‚

    If you look in the right areas of Spain where there are no land issues, you can find some good deals. People on here are mainly being negative with regards to the south of Spain area where there have been problems.

    You must also remember a lot of people on here have vetted interests and want the market to drop even further so they can grab a bargain. The prices for them are still out of their budget so they find any given opportunity to knock to whole of Spain. Most people on other forums discuss openly how this particular forum is by far the most negative of all, so don’t let investors on here sway your judgement too much. Remember most of them are after all, investors. If they weren’t looking to buy themselves they would not be on here every day as they are.
    If you take note of people on here, you will be waiting another decade until they give out positive news.
    Just do your homework and employ reputable, recommended laywers as I have done with every purchase I have made in Spain. I have not yet had any legal problems โ— There are some good deals to be had, find one you like, put in an offer and good luck!

  • #104506
    Profile photo of logan
    logan
    Participant

    @jonas wrote:

    You must also remember a lot of people on here have vetted interests and want the market to drop even further so they can grab a bargain. The prices for them are still out of their budget so they find any given opportunity to knock to whole of Spain.

    This forum is not negative. It offers a realistic and independent insight into the Spanish property market, given current market conditions and highlighting legal and corruption issues in Spain which have caused many people a great deal of pain and anguish.
    There are very few other resources which can give an independent alternative view.
    Listening to sellers with a vested interest in earning a commission, (forums with heavy agent advertising for instance) will only lead people up a primrose path.
    People are half sold anyway because it suits their so called ‘dream’ to own a home in Spain.
    This forum reveals the other side. A potential buyer can choose to ignore it or take notice. Either way it’s a very useful resource.

  • #104507
    Profile photo of Anonymous
    Anonymous
    Participant

    @logan wrote:

    @jonas wrote:
    You must also remember a lot of people on here have vetted interests and want the market to drop even further so they can grab a bargain. The prices for them are still out of their budget so they find any given opportunity to knock to whole of Spain.

    This forum is not negative. It offers a realistic and independent insight into the Spanish property market, given current market conditions and highlighting legal and corruption issues in Spain which have caused many people a great deal of pain and anguish.
    There are very few other resources which can give an independent alternative view.
    Listening to sellers with a vested interest in earning a commission, (forums with heavy agent advertising for instance) will only lead people up a primrose path.
    People are half sold anyway because it suits their so called ‘dream’ to own a home in Spain.
    This forum reveals the other side. A potential buyer can choose to ignore it or take notice. Either way it’s a very useful resource.

    The reason I say this forum is negative is because it fails to highlight the thousands of British that purchased in spain and have had no legal problems at all. Spain is a huge country and the areas affected are only in certain areas of Spain.

    I would say there are more investors on here with vested interests than sellers or agents.

    The previous poster did not ask for your opinion as to whether he should buy or not in Spain, he just said he wants to. Your instant put down just comes across as if you yourself have a vested interest.

  • #104508
    Profile photo of logan
    logan
    Participant

    Well I accept your point about my remark. It was an off the cuff attempt at humour. That often fails on open forums, ๐Ÿ™
    The point of property forums must surely be to assist a prospective buyer or investor to arrive at a decision with information on current market conditions. Not just selling hyperbole.
    I think most contributors on here do attempt to do that.
    People who have bought in the past without any of the current legal disasters and are content with their property would probably have little interest taking part on here.
    Professional investors of whom I am one have long given up with this market and moved on to other things.
    My excuse is I have too much time on my hands. ๐Ÿ˜†

  • #104509
    Profile photo of Chopera
    Chopera
    Participant

    @tinnat wrote:

    There are still people like me, wishing to buy! ๐Ÿ™‚

    I’m going to have a look at a few properties this weekend. They’ve had 40% knocked off their original “fantasy” prices and I’ll try to get them to knock another 10% off one of them if I like what I see. Only then might I start to think I’m paying a reasonable price for it.

    From an investment point of view it’ll probably still suck though. Even if I rented it out for a few months in the summer, by the time the agent has taken their cut I won’t be getting much income, and I’ll have an asset that won’t increase in value any time soon, and which is very hard to liquidate. The only thing that might convince me is if it’s somewhere we’d like to spend significant time over the following years. A second home. However in these uncertain times I have serious difficulty in convincing myself that I can risk such luxuries.

    I’m sure I’m not the only potential buyer with such thoughts right now, and I’m fortunate that I don’t have to contend with the exchange rate!

  • #104510
    Profile photo of Anonymous
    Anonymous
    Participant

    @chopera wrote:

    @tinnat wrote:
    There are still people like me, wishing to buy! ๐Ÿ™‚

    I’m going to have a look at a few properties this weekend. They’ve had 40% knocked off their original “fantasy” prices and I’ll try to get them to knock another 10% off one of them if I like what I see. Only then might I start to think I’m paying a reasonable price for it.

    From an investment point of view it’ll probably still suck though. Even if I rented it out for a few months in the summer, by the time the agent has taken their cut I won’t be getting much income, and I’ll have an asset that won’t increase in value any time soon, and which is very hard to liquidate. The only thing that might convince me is if it’s somewhere we’d like to spend significant time over the following years. A second home. However in these uncertain times I have serious difficulty in convincing myself that I can risk such luxuries.

    I’m sure I’m not the only potential buyer with such thoughts right now, and I’m fortunate that I don’t have to contend with the exchange rate!

    The exchange rate is the one thing stopping me from buying now,if i had put my pounds into euro’s when i decided to start looking at buying a place in spain those properties that have dropped 40% would seem like a bargin compared to 2007 when i started to look and go to different areas to see where i wanted to buy.i am buying for lifestyle and not investment but because i didn’t change my money back then it is a regret i may have to live with or should i just drop to my knees and pray the pound starts to rise

  • #104511
    Profile photo of katy
    katy
    Spectator

    I find it preposterous that serious investors would be on this forum. Anyone with any sense wouldn’t even be looking at investing in Spain right now with all the uncertainty. With the current exchange rate they would be very fortunate to get a bargain. Even if they did it could be five years or more before the market starts to rise. So, the “investor will” be stuck with a property which they most probably cannot rent and will have taxes and council fees plus urbanisation charges. Although some people call themselves investor who have bought 2 apartments in Bulgaria ๐Ÿ˜†

    By all means buy for a lifestyle choice and enjoy the purchase right away, entirely different. I don’t think Spain will be a good investment for at least a decade.

  • #104512
    Profile photo of logan
    logan
    Participant

    @katy wrote:

    I find it preposterous that serious investors would be on this forum.

    Well we all need some occasional amusement. ๐Ÿ™‚
    Investment market conditions around the world are severe and uncertain. Making capital work sans risk difficult. However seeking inspiration requires many outlets and original ideas. Being open to them all for me is a particular reason for being.
    I like this forum because mostly contributors are reasonable, intelligent people, living on the ground and it’s become a sort of habit.
    Perhaps I should take up golf. ‘Sell in May and go away’ really does have some validity in investor terms.
    Property is dead. Long live commodities.

  • #104514
    Profile photo of Anonymous
    Anonymous
    Participant

    I don’t agree with you Katy. One always does the best deals when no one else is interested. I have made some great “catches” in my days and they have always been bought when the markets have been in turmoil. I have never bought property purely as investments though and therefor I’m more picky about when I will buy in Spain. I’m also not using pounds but swedish kronas which at the moment makes it easier for me. The biggest problem for me is that I don’t trust “Spain” as a state.

  • #104517
    Profile photo of Anonymous
    Anonymous
    Participant

    @jonas wrote:

    You must also remember a lot of people on here have vetted interests and want the market to drop even further so they can grab a bargain.

    Jonas, yes here is negativity on here but it is only reflecting the true state – and believed direction – of the market.

    I’m looking to buy in Spain. Indeed I have been since about the time I joined here some two and a half years ago. At that time this site was pretty well alone in having a considerable body of opinion that felt that the market still had some way to fall. In amongst all the guff I was getting from EAs and puff pieces in the press saying that prices would fall no further the balance of arguments I found on here struck me as honest and refreshing. Since then I have been following both the market and the wider Spanish economy very closely. I can only thank those on here who shared their knowledge with me then and in the time since. They have saved me quite literally tens of thousands of euros.

    I can only speak personally in saying that despite my negative outlook I have no vested interests whatsoever. My purchase, when the time comes and it will, will be a cash one. It will be for lifestyle purposes, not for investment and it will be in Spain despite the well reported problems. My negativity now stems primarily from a look at the fundamentals of the Spanish market. It is over supplied, over priced, has a damaged image and IMO can only go in one direction for at least the next year. That is down.

    If you seriously believe that there are some on here with vested interests trying to talk the market down, so be it. It so happens that I think you are wrong in this assertion. There is of course a much bigger lobby also with vested interests, both here and elsewhere, trying to talk it up. Personally I prefer to read as much as I can from whichever side of the argument, look at the figures, then make my own judgement.

  • #104520
    Profile photo of Anonymous
    Anonymous
    Participant

    Having read all the above comments, I have come to the conclusion that it is just the British buyers that will wait maybe another 5 years due to the exchange rates. Any european can find themselves some very good bargains in Spain as the market approaches the bottom. I can understand why British are reluctant to part with their money.
    I have a property I am trying to sell in spain but covering my costs with holiday rentals right now, which is going well due to where it is located.
    But I have already this month had two russian managers coming to view the property as their clients are coming over in the summer period to purchase a property, they are cash buyers. My property is in the higher price range as it is a large detached villa, so would never appeal to a British investor anyway. British aren’t buying in that sort of price range in the uk at the moment let alone abroad for a holiday home. So I do not have any vested interest on here as a seller as my market is not with the British buyer, but with other europeans or further afield. I come on here just to see what peoples views are with regards to the spanish property market.

    It is a shame that the british do have the problem with exchange rates as other europeans are getting some bargains in Spain at the moment and will continue to before the market reaches the bottom. Once it does reach the bottom it will start creeping up again and any buyers will then be competing against each other for any decent properties.

    I can, however, understand why the British are reluctant to purchase at this moment in time.

  • #104521
    Profile photo of logan
    logan
    Participant

    I think the market will bottom when Sterling stays above and beyond 1.35 to Euro. The British are the principal market place for Spanish property. However in Britain and elsewhere disposable household incomes are diminished by higher commodity prices and higher taxation. The recovery in Spanish property therefore will be long and drawn out and its impossible to predict now when would be a right time to buy. I know this, it will be much later than anyone thinks.
    Spain is suffering from a high valued Euro. That fact has a bearing not just on property but all the country’s exports.
    However my investment capital is not in Sterling so your argument Jonas is a little skewed. Although you could say I have a vested interest in seeing the market fall that is not my motive in posting on the forum.
    In any case you would have to be more than a little daft to believe this forum could influence the course of market demand.
    I call it as I see it from my regular market research trips to Spain, talking to business people whose judgement I trust, bankers and sellers/developers.
    If my comments happen to be negative it’s because the market is just that. In a negative falling state. Tinsa index confirms month on month falls although I personally take little notice of that..
    If there were anything positive to say about this market I would do it.

  • #104524
    Profile photo of Anonymous
    Anonymous
    Participant

    Jonas, I do hear what you are saying but if I may I’ll continue to disagree with you.

    I’m based in the Netherlands. My money is in Euros, very secure ones at that. Regardless of currency, it simply isn’t the time to buy property anywhere in Spain. Things may change in the next year or so, if they do I’ll be the first one to jump in and buy.

    Logan’s point about the GBP/EUR exchange rate is very valid. I’m not quite as gloomy as him in regards to both Europe in general and the Spanish/world economy but I do seriously respect his viewpoint.

    The bottom line here is that nobody knows the answers. All we can do is listen to what is being said then form our own opinions.

  • #104526
    Profile photo of katy
    katy
    Spectator

    A shocking story here (Hope it’s ok Mark, worth reading)

    http://www.eyeonspain.com/spain-magazine/my-fraud-in-spain.aspx

  • #104527
    Profile photo of logan
    logan
    Participant

    Another distressing story. And some of us are accused of negativity when we point out how Spain can damage your health and wealth. ๐Ÿ‘ฟ
    The property business in Spain is littered with crooks because no effective regulation exists. It attracts wasps to the honey pot.
    I could personally write a book on a lifetime of dealing with shisters in Spain.
    It seems to me this poor lady should be advised to simply walk away. However I doubt given the story it’s in her DNA so to do.

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