Spanish homes continue getting cheaper at a great pace, statistic after statistic, regardless of the cause. So, according to the last report of the property prices index company Tinsa, the price of the home deepened its drop in the second trimester, going back 11.5% from Q2/2011 to Q2/2012. A percentage higher than that registered in the previous trimester of 9.2% from Q1/2011 to Q1/2012.
Spain is suffering probably the worst crisis since the Civil War in 1936-39. There is a lack of finance, huge amounts of debt and cuts, rising unemployment and a dramatic fall in property prices. The front pages of the media always show the worst side of Spain, but to be honest, life is going on in Spain and the country still has an interesting property market with succulent prices for home buyers
Starting on January 1st, 2013, the VAT for new Spanish homes will rise from 10% from the current 4%. This is one of the new measures that the Government has adopted in order to increase revenue. Many basic products will have their VAT raised, as was begun in September 2012, but the Government has decided to keep the 4% VAT for Spanish properties this year, as scheduled. The VAT is applie