Monthly Archives: November 2010

The Euro Crisis: Spanish Property Under Threat

  Tips on key points to decide whether to buy or not to buy in Spain?   The financial crisis has reached a new peak after the bail-out of Ireland. The pressure is now on Spain (and Portugal). The Spanish financial problem differs from the Irish one, but it is still bringing a debate as to whether Spain needs a cash injection from the EU as has happened in Ireland. Whether it does or i

The Spanish property market gets more aggressive

Spanish Banks have started the race of selling repossessed houses and flats by offering large price discounts and also by decreasing lending to buyers coming from State Agents. Banesto, La Caixa, CAM and Caja Madrid have launched aggressive marketing campaigns to attract home buyers in order to reduce their stock. Like in a high street after Christmas, buyers have now 50% off marketing campaign

Spanish sector leads the fall in house construction

In the construction sector, seasonally adjusted production fell by 2.1% in the euro area and by 1.7% in the EU27 in September 2010, compared with the previous month. Spain is leading the fall in construction in the EU. It dropped by 31,7 in September 2010 compared to September 2009. Compared with September 2009, output in September 2010 dropped by 8.1% in the euro area and by 3.6% in the EU27.

More bad news: Larger stock and -4.1% transactions

To solve the stock of the property market in Spain may take more years than expected. The Bank of Spain has reported that the Spanish banks hold a stock of nearly half a million houses, according to the newspaper 20minutos. Taking that figure into consideration, certainly the Banks have guaranteed to play  the main role in the sector. All the agents indicate that the stock will increase gradu

Accept lower house price or face 15% losses in 2011

The recent warning from the Bank of Spain (BOS) to Spanish Banks, calling for more transparency about their repossessed property stock in order to ease the sector during this crash, is another sign of the tendency in 2011: house price may fall to the bottom to adjust themselves to the reality of the market. Banks have €181 billion of “problematic property assets” – which obviously inclu

What’s happening on the Spanish property scene?

Well, it looks like the Spanish property market has been forgotten after the looters took away the treasure during the property boom and the economy fell in depression. It's the right impression and we do not blame you if this is your viewpoint. But the reality is that the market is alive, the rental sector is a strong option and investors have a tough task to find good properties in a market w