We all know the Pound is weak at the moment, though we don’t know if it is down at 1.1e to stay or will recover at some point.
This makes Spanish property more expensive for British buyers with funds in Pounds. If prices are 20% down, and so is the Pound, the British buyer is effectively missing out on the price reduction. There are partial solutions, of course, like taking out a Euro mortgage, but that isn’t as easy as it used to be.
My question is, are the people out there who want to buy but are prevented from doing so by the weak Pound?
Pound might be a big problem, but the lack of mortgages, imposibility to MEW the UK properties (due to stationary prices in UK) are also problems.
– the perception that prices still have some way to fall (same as in the boom period many believed that prices only go up…)
– job insecurity