Monthly Archives: January 2011

How to buy an apartment in Spain in Court Auctions

By Andrés Díez Bronzini, Lawyer Many Spanish banks and  particularly Cajas are in a dilemma: a relatively large number of their customers have not been able to pay the mortgage debts. To limit these losses, the financial institutions are looking for new homebuyers for those bad mortgage loans. But this is a very difficult task, because many people in Spain are offering real estate proper

Raising money against the clock = price drops

"When the perception of reality seems to be worse than reality itself, the best possible reaction is to explain it in the greatest detail", Bank of Spain Governor, Miguel Angel Fernandez, 13th December 2010. The Spanish market is going through a situation in which we presume that bigger price drops will be experienced in the next nine months. Prices will fall furthermore but with moderati

Spanish market is desperately fishing for buyers abroad

The collapse of the property market in Spain has left the economy in such deadlock that the main "actors" have, these weeks, been sitting at the same table to agree new solutions to the crisis. Government, developers and banks are drawing a common strategy in an attempt to promote the Spanish property market abroad. UK and German home buyers are in the spotlight. The attitude of the Spanish

Banks are disclosing their exposure to property risk

Slowly, slowly, banks are disclosing their exposure to property credit risk and grounding to the real status of their spanish property business. The Bank of Spain worked out six months ago that it could be 181 billion and now the banks have the word. Banesto announced the last week an exposure of € 10.3 billion related to property and assumed a loss of 21%  - already there is 18% debt from b

Madrid : latest property prices and demographic trends

Demography is one of the driving factors of the property market in order to assess the needs of properties…and to be able to predict the market. In this article, we introduce some figures about demography forecast in Madrid and current prices in the Spanish capital that may help property investors. According to the Regional Statistics Institute in Madrid, the population in residential areas o

Valencia property prices have fallen by 21% in the home owners market

The property market crisis is forcing home owners in valencia spain to bring down the selling prices by 21.6%, according to the chairman of API Valencia (equivalent to Deanery of Real Estates Agents), the newspaper El Mundo published yesterday. Therefore, property prices in Valencia are back to 2004 levels, which could be an excellent opportunity for home buyers who want to take advantage of the c