The Bubble Bursting a view from the UK

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This topic contains 3 replies, has 3 voices, and was last updated by Profile photo of Anonymous Anonymous 11 years, 7 months ago.

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  • #51083
    Profile photo of Anonymous
    Anonymous
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    Inbox :: Message
    From: ricfci
    To: ricfci
    Posted: Fri May 06, 2005 9:45 am
    Subject: Moving to Spain, the property jungle and a bubble
    Hi there

    I intend to purchase a property in the South Costa Blanca area hopefully later this year, and become and become a permanent resident. Having read lots of things all over the web, I thought an insight to things in the Uk really are and how I feel it will affect the property price in Spain in a big way. The goverment have been given a new term today, not a problem one way or the other, but I will be so bold as to say if they had waited 6 months they would have lost. I run a business and if has been clear to most business for about 6 months now, things are in a bad way, sales are really bad, companies have been trying hide this fact for months, it now comng out. Unemployment is on the way up, business failures are rising. I presently have my house for sale, 18 months ago they would have been kicking the door down, ( not any more ) good, house, good area, best school in area. So the speculaters here, have fingers burned badly. The money coming from UK to Spain is drying up, Speculaters are of to places like Bulgaria ( thats if they can get there money out ). So factor in all the facts, over building in Spain, wages relative to the cost of housing which is worse in Spain than the Uk. Whilst I am looking for my new home to retire to in Spain I feel I am now the minority. Agents , builders, sellers will continue to try and talk the market up, ( this is now a distorted picture ). The bubble has large hole in it, and how big will the hole gets…??? could be very big. ( So an insight form the Uk ). ( The People still buying, will now be looking to pay a fair price, not the inflated one, or the one pulled from a hat. Just as I am having to reduce my property price here. ( and guess what it is still not sold )…. sorry to all sellers, its now a buyers market, be greedy and you will still be sat in your homes in five years time, and still get the same price as today… ( I have been through this before in the UK, house worth 20% less two years after I bought it )…..this does happen…sorry to bore everyone…. Richard….. Doncaster. Any tips and advice on my move, etc ….most welcome… I am on msn messenger….

    _________________
    Moving to Spain this year. Advice welcome. I am on msn Messenger its ricfci@msn.com should any wish to say hello and have a chat Richard

  • #58229
    Profile photo of Anonymous
    Anonymous
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    i am just back from the south costa blanca were i just purchased a 2yr old apartment in Playa Flamenca, i got it at a reduced price because the seller wanted a quick sale, if you shop around you can get this

    (some of the estate agents prices are just far too high)

    what area are you looking at in the costs blanca south?

    Matchey

  • #58233
    Profile photo of Anonymous
    Anonymous
    Participant

    Hi Matchey

    So you got a discount, I think this is what is happening. I agree estate agents, seem to try it on I feel. ( I am sure some are fair ). The areas I am looking are around, La Mata,l Torrveieja, Guardamar etc around this area, up to about 15 mins inland or coast. I have just come back, went to a new development at ( something like La Mineonis, cant spell ). Was shown new Quads, section complete, still one for sale, price 250000 euros, next stage maybe half built, ava Oct, ( not one sold, saw the plan asked the lady,these were very nice homes by the way, good postion overlooking the salt lake ). Large development so noticed a few for resales, chatted with this nice retired person who had a detached 3 bed on the same site, the not a quad like the new ones I looked at. His neighbour of his street was asking 225000 euros, cheaper, detached and not lived in, I suspect he would for sure have taken 200000. So there is a good example of what is really happening, they cant sell the new, was being offered them ie finished and not just this site. So the new are now overpriced, the used prices are dropping ( cant sell in both cases ). I know they are selling plenty, but you can see the wheels are coming off, it only takes a small slow down the market, to change the picture. So you got your discount ( if you dont mind, what perecentage did you get off ). From what I have seen if looks like 20% can be acheived, without great difficulty, would be nice to give others a good clue as to what the should be offering. No one need be in negative equity, one year later. Ands lets be fair, its not a if owners have not made great profits over the last few years so they have done really well.

  • #58245
    Profile photo of Anonymous
    Anonymous
    Participant

    the new phase on our development starts at 139,000 euros, we have just bought ours for 114,000 euros, fully furnished, all white goods and within walking distance to beach and all amenties, has communal pool etc
    the valuation from the bulding society was also 139,000 euros

    there are more of these bargains about if you look, hope this helps

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