With Spain into it’s seventh year of a housing bust, prime residential properties in Spain’s biggest cities are starting to look like a good investment, say property professionals.
“We are very close to the bottom for prices of residential and commercial property,” said Jaime Pascual-Sanchiz de la Serna, a director at the property consultants Aguirre Newman, talking to the Spanish financial press about real estate prices in central areas of cities like Madrid, Barcelona, and Santander.
“Everything that is exclusive and of good quality is resistant to price [falls],” said Adolfo Ramírez-Escudero, a director at CB Richard Ellis Spain, who also pointed out the best opportunities are properties in need of refurbishment.
But outside of prime areas, the experts warn that cheap does not necessarily mean a good investment. In parts of Gaudalajara, Toledo, and Castellón (Costa Azahar), where there is a big glut of property for sale coupled with weak demand, prices that are already down by as much as 80pc could continue falling until the glut has been absorbed, which can take years yet.