Saturday, 9 April 2016

Residential property sales in Costa del Sol and Spain continues to rise for 18 successive months

Residential property sales in Costa del Sol and Spain continues to rise for 18 successive months.

Property is on the up in the Costa del Sol and Spain.
The upward trend in Spain’s residential property sales extends to 18 months in a row as the most up to date data shows a noteworthy increase of 7.3% in residential property sales compared with the same month of 2014.

 The figures shown in the analysis report of the General Council of Notaries illustrate a year and a half of ceaseless growth in the housing market, meaning it is showing signs of a stable recovery.

An analysis of this data shows that the annual apartment sales have has had an increase by 6.2%, more than twofold the growth recorded in October 2015. The convincing rise in apartment sales can be traced back to an 8.3% surge in sales of free price apartments and also to a 12.2% rise in sales of second hand apartments.

The market for buying an individual investment family homes also enjoyed solid uptrend, up 11.4%, recording nine consecutive months of double figure growth. However, the downturn in new housing sales continued as prices dropped for a tenth month in a row, the decline rate in November being 18.6%.

Be that as it may, prices are still fluctuating. The average selling price of per square meter of homes saw a 1.1% year on year fall in prices, as prices dropped to €1,219 per square meter in November. A study suggests that apartment prices declined by 0.6% and the price of single family residences declined by 0.8%.

The data additionally demonstrates that the price per square metre of second hand flats dropped by 0.7% year on year to €1,320 but for new apartments it steeped by 5.9% to €1,666.

 Having experienced an annual increase of 7.3% in November, the total number of new mortgage loans is also on the rise, but when seasonally modified, this figure comes down to an annual increase of 2.4%, the minimum rate of increase in 18 months.

Concluding that buying property in the Costa del Sol and Spain continues its upward trend and recovering from the financial crisis that hit Spain in 2008.

Friday, 8 April 2016

As per survey, Spain is the best country in Europe to give expats a home like feeling

As per a new survey, Spain is the best country in Europe to give expats a home like feeling

It is not only the literal warmth that draws tourists to Spain. The moment you step foot at the Malaga Airport in Spain, you will be pleased to meet the warm and friendly people there and will be glad of your decision to move to Spain permanently.

Best country in Europe for expat to feel at home
As per a recent survey conducted by HSBC Expat, Spain stands at the top of the list of how responsive a country is to make guests feel at home when they visit it.

Named as the Expat Explorer Survey, it took the opinion of nearly 22,000 people from all over the globe and asked them to rate their country of residence on how friendly and warm the locals have been ever since the time they have started living in the respective country.

However, the shocking and least expected country, Bahrain, topped the list with nearly 2/3rd of the people saying that they as expats have felt very comfortable and welcome in Bahrain. India took the second position, while Malaysia stood third. The top spots were taken by far Eastern countries predominantly, leaving only Mexico, Russia and Spain as exceptions.

The only European country to feature in this list was Spain, which had a score of 56%, well over the global average of 48%, which clearly indicates its ability to be warm and welcome to expats despite the turbulence as far as immigration is concerned, prevails across Europe.

The survey also indicated that due to the advent of social media platforms and telecommunications in Spain, people are able to connect better and has helped expats significantly when they plan to settle in Spain. The sizeable community of expats in Spain also reflects how welcoming and friendly Spain is for expats from all over northern Europe. Most of the expats stay in the Costa del Sol region and the British and northern European have been able to settle easily in this region in comparison to any other country or region in Europe with Spain adapting to their new neighbours with even having films in English at the cinemas accompanied with a whole host of amenities in English that help the British and northern Europeans feel at home.

Thursday, 7 April 2016

The need to start constructing new off plan housing projects on the Costa del Sol

Specialists are now saying that construction needs to kick-starting house development projects in specific towns in Malaga province, Marbella area has the least amount and where the new housing stock could do with a boost as it still currently lies at a minimal level compared to second hand homes.

They also warn the urgency to start building properties in places like Malaga city, Benalmadena and Torremolinos as soon as possible, before the housing stocks dry up.

These are only a few of the conclusions drawn in the 2015 Tinsa valuation company’s most recent report on housing in Spanish coastal regions.

Crain's are returning to the Costa del Sol 
The worst years of the crisis has left vast pockets of houses in many coastal regions of Spain and selling them in such a slow market proved to be quite challenging. In the last few areas, however, the circumstances have changed. In Malaga province, for instance, the Tinsa report indicates that Marbella and Benahavís have now been in a recovering process for same time and each of these areas has had an exceptionally blooming real estate recovery.

As for
Marbella, the report echoes something that local builders and developers have been saying for quite a while: that there is only a small number of remaining unsold housing stock in the area, and these have been hard to sell, because foreign clients, look for something more stylish, and exclusive and modern, but have found many don’t fit their buying criteria.

During the previous year, Marbella property for sale turned into one of the five major places to buy property with recording the highest amount of property sales, as shown by the data published by the Ministry of Public Works, with a total of 3,997 (28.7% higher than the year before). There was also a whopping 101% rise in new property transactions. Manilva area also relished extra-ordinary levels of growth, with an unbelievable surge of 193%.

A large portion of the properties that were purchased were by foreign investors mostly northern Europeans, who without them would have made the crisis even worse. According to Tinsa’s assessments, 60% of property sales in Marbella and Manilva were bought by investors from the UK, France, Sweden, Belgium, Ireland Switzerland, Norway, North Africa or the Persian Gulf.

The insufficient housing stocks that the experts have been warnings about for some time, by some new housing projects where upon the work is just starting and which will be sold off and understood that there will be more new projects planned, in view of the significant amount of land which is being obtained and bought by investors and developers alike. Which is a very positive sign moving forward?

The Tinsa report reveals that this also mirrors the current situation in Mijas, Estepona and Benhavis. A promising forcast indeed but it coincides with the latest controversy triggered by the dissolution of the Urban Plan for Marbella and the Coastal Regulation Plan.The effects these will have on the progress of forthcoming development projects are yet to be determined.

In Malaga province, the Tinsa report recognises three altogether different regions. In La Axarguia its prices are balancing out and demand from Spanish buyers is reigniting. In the surrounding communities, there is a lot of new housing stock, in spite of the fact that it is starting to reduce..

Between Torremolinos to Mijas there has been a rather encouraging scenario in that there is lots of interest among investors in the unfinished developments and lots of the housing stock has been slowly selling due to the price decreases over time, making them more attractive as buying property in the Costa del Sol area will always be in demand.

Also some property developments on the Costa del Sol which had been halted for financial reasons have started back up, and some others that have been completely built have been auctioned off by the banks.

It has been the Spanish and foreign developers who have been reviving the housing development projects in the areas between Marbella and Manilva.

The Tinsa reports does suggest great ‘signs of recovery’ in Marbella and Benahavís and ‘signs of improvement’ in adjoining Casares, Manliva and Estepona where lies a larger stock of housing, compared with that in Marbella which is basically has none left.

One important factor demonstrating the level of confidence portrayed by investors in these areas is the fact that in the most property sales in Marbella and Benhavis, have been paid by cash in 70 per of house purchases.

The conclusion by the report shows that buying property in the Costa del Sol will always be in demand by foreign buyers and the whole area of the coast will continue to be in demand no matter what financial restraints are thrown at it.

Wednesday, 6 April 2016

Mortgage Approval in Spain sees record rise in 2015

Mortgage Approval in Spain sees record rise in 2015

Spain witnessed the largest year on year increase in the number of mortgage approvals in 2015, as the rise was 19.8%, the steepest ever since they started to keep a record from 2003 which is great news for investors wanting to buy property in the Costa del Sol and Spain.

As per the statistics revealed by INE (National Statistical Institute), it is a clear indicator that the economy of Spain is back in track ever since the decade long slump after real estate market crashed in 2008.

Record number of mortgages approved in Spain in 2015
Ever since the global recession in 2008, people in Spain have continued to remain unemployed, started working for lower pays and also lost their financial security due to the global turmoil. However, due to the market scenario improving since 2014, the economy of Spain has been improving and has seen a growth rate of 3.2% in 2015, making Spain one of the best performing economies among the EU countries.

Following the recession, property prices saw a sudden cut of 40% on an average. It has only been improving since then and also, people now have job security. Banks have started to offload the properties they forcefully had to buy during the recession. All these statistics prove that the economy of Spain has been improving steadily.

Data released by INE also revealed that the total capital all over Spain borrowed as mortgages stood at €25.9 billion, which is a 24.1% increase compared to the previous year.

However, the mortgages borrowed were highest in 2006 just before the crash, which stood at a whopping €188.3 billion. Going forward, the growth is only bound to increase and home loans have registered an increased growth continuously from the past 19 months and investment properties are being bought in Spain.

Tuesday, 5 April 2016

Reciprocal Agreement with Spain likely if Brexit s confirmed: Foreign Secretary of UK

Reciprocal Agreement with Spain likely if Brexit s confirmed: Foreign Secretary of UK
With recent fears emerging that the Brits residing in Spain would have to go back to UK if majority of the voters choose so, the Foreign Secretary of UK, Phillip Hammond has said that in such conditions, UK and Spain will enter into a reciprocal agreement which will allow the foreign nationals to continue having residency in Spain and in their respective countries.
Brexit in our out
Phillip Hammond said this when he was asked a question regarding Brexit in a recent think tank event that was held in London.
The Foreign Minister appreciate this question and went ahead to answer it, giving a relief to Brits living in Spain. As of now, over two million Brits are living across different European Union countries.
Phillip also said that UK has provided a lot to EU citizens living in UK and have made sure that their stay is comfortable. On similar lines, over two million Brits live in EU nations and the largest number of them live in cities in Spain.
He said that they are planning to negotiate if there are any voting policies as such and would also try to enter into a reciprocal agreement, so that citizens living in different countries are left undisturbed.
As of now, nothing is in their plate regarding the plan of action after Brexit and said that there is a two year transition period before UK becomes totally independent of EU.
Post Brexit
If people of UK decide on June 23rd to leave EU, it will just be the beginning of the process and not the end; as treaties with mandates of two years are less likely to be enforced within such a short span. However, if the Brits decide to relocate, the British Government will do the needful and serve a notice to the EU to start with further round of negotiations.
We personally believe that if Britain decides to leave the EU it will hardy affect residents in Spain when it comes to buying or selling in the Costa del Sol,. Spain would do everything in their powers to make trade agreements with the UK by making sure that the British don’t leave.
To give a good example that all will be well you only have to look at Norway who is a non EU member and Norwegians buy property in southern Spain in there droves and do not have any problems that is being suggested by the British government if a no vote takes effect.
There maybe a little more paperwork, and the pound may drop for a few years, but it will come back. Spain will always be the Brits number one holiday and expat destination, Why! Very simple because the sun will always shine and the Spanish people are the most friendly and family orientated nation in Europe and we are welcome.
Stay in Europe or  vote out of Europe Life is SOOOO much better in Flip Flops.

Monday, 4 April 2016

‘Golden Visa’ scheme by Spain turns out to be a looming success

Golden Visa’ scheme by Spain turns out to be a looming success

First launched in 2013, the Golden Visa scheme by Spain was in rough waters initially, but over a period of few years, it has attracted €911 million in investments of real estate till the end of 2015. This scheme was started by the Spanish Government to get their economy back on track following the real estate crash and economic crisis that was seen in the past decade. Foreign investors are now keen to invest in Spain and over $500,000 worth of investments from each investor have flown in to the reviving Spanish economy, getting it back on track. Spain is now one of the most promising destinations when it comes to investing in Europe.

Golden Visa for Spain and the EU
Until the end of 2015, 1,189 Golden Visas were granted to foreign investors, which allowed them to purchase properties across Spain. This scheme was launched to attract non-EU nationals and their investments towards the luxury property for sale in Spain, as a similar scheme was launched in countries like Portugal and Cyprus, which had become highly successful within a short span of time. The main idea of this scheme was to lure non-EU investors to invest over €500,000 on properties across the country, which would grant them a permanent residency in Spain. Investors found this to be attractive as their residency in Spain was secured, enabling them to freely travel throughout the EU Schengen Zone, which was otherwise a tedious and complicated process owing to hurdles in the bureaucratic and application process.

In this period, the majority of investors belonged to Russia and China, who contributed to over 65% of the overall transactions and they preferred investing in the Malaga region, followed by Barcelona. Of all the Golden Visa transactions that happened, 18% came from Malaga and Costa del Sol. 35% of the properties under Golden Visa transactions were purchased by Russians, owing to their strong economy back then. Investors from China also went aggressive on the Spanish market, investing over €268 million since 2013. Rest of the buyers came from other less preferred locations such as Middle East, Ukraine and Venezuela.

Costa del Sol was one of the most sought after locations among investors under the Golden Visa scheme, all thanks to the cosmopolitan crowd from different nationalities, abundant sunshine and lavish properties available for sale. Due to this, Spain has attracted investors from all over the world to buy investment property in the Costa del Sol.