[MASTICMAN]

Can anybody share any personal experience regarding buying property in spain for investment purposes mainly, has it worked out for you , should you have bought elsewhere and would you do it again

[VacantPossession]

MASTICMAN, on Mar 12 2005, 12:33 AM, said:

Can anybody share any personal experience regarding buying property in spain for investment purposes mainly, has it worked out for you , should you have bought elsewhere and would you do it again

<{POST_SNAPBACK}>

At the moment, buy because you want to live there, not because you want to invest. The whole of Southern Spanish Coast has already been ruined by us, and the Dutch, and the Germans, and the Spanish themselves.

A Spanish Costa house price crash is already underway. Put your money on the horses instead!

VP

[mercsl]

Do yourself a favour and don't bother. Go and live there but for investment purposes the market is saturated. This advice comes from a bull !

[BTLOptingOut]

MASTICMAN, on Mar 12 2005, 01:33 AM, said:

buying property in spain for investment purposes

<{POST_SNAPBACK}>

This sentence is a contradiction in terms! If you want an investment then don't buy in Spain.

I'm, catching a flight out there this afternoon to see the In-laws who have moved out there on masse. Even considered buying myself a town house in a traditional spanish (not Brit costa) village last year.

Despite it being considerably cheaper than here, comparitavely it's worse. Not only have the Spanish had a boom in these Phil&Kirsty 'esq shows they've also had daft Brits buying in their droves.

I would say if you expect the UK market to dip 10% expect Spain to dip 30%

I predict there will be dozens of Brit Eldorado ghost 'villages' with tumble weeds blowing through in 2010.

[Casual Observer]

There's a thread on Spain in the overseas part of this forum, with interesting views

[Casual Observer]

MASTICMAN, on Mar 12 2005, 01:33 AM, said:

Can anybody share any personal experience regarding buying property in spain for investment purposes mainly, has it worked out for you , should you have bought elsewhere and would you do it again

<{POST_SNAPBACK}>

My brother-in -law bought a property in Torrevieja, from new about 15 years `ago I think. He's been trying to sell it for about 15 months now, and has reduced the price gradually in that time.

The problem he has is that he's competing with all of the marketing power of the new-build developers - no-one seems interested in second hand places. He's despairing about ever being able to sell it, and it's become a bit of a mill stone.

Also, last August I spoke at length to an agent who was helping me to buy a property in Turkey. He had also had some involvement in the Spanish market, and knew a number of other agents involved there too. I a nutshell, he thought the Spanish market was in serious trouble, due to over development. He thought it was all heading for a disaster.

Take all this however you wish. I have no axe to grind at all, although I do feel a little sorry for my brother-in-law!

[Alfie Moon]

See the thread below:

http://www.housepric...?showtopic=3645

The thread will inform you about the 'Land Grab Laws' (LRAU and its replacement LUV). There are links that will lead you to more detailed information.
To buy property in Spain is very high risk, whether for investment or to live in, because of the land grab laws and because of the risk of a very severe property price crash.

[The Masked Tulip]

Yes, I would have thought many people would be fearful of buying in Spain now because of both the enormous bubble and also the land grab laws.

[JohnLee]

consa, on Mar 12 2005, 07:31 AM, said:

I personally own a run down townhouse in Spain, the coast (costa del sol) is saturated with property and the market is dead!!.
They are still building like crazy and the amount of properties available is vast, to buy or rent, very overpriced to buy although you can rent a nice place for approx 500 Euros pcm.

<{POST_SNAPBACK}>

Yes agree 100% - the resales and off-plan markets both saturated. I have been trying to sell an apartment on Costa Del Sol for nearly 5 months and even thought I've dropped the price by 20% now, there are just no buyers around.

[dogbox]

Casual Observer, on Mar 12 2005, 09:22 AM, said:

Also, last August I spoke at length to an agent who was helping me to buy a property in Turkey.

I know of a chap who has been buying off - plan and selling for healthy profits in Turkey. I beleive he's done it 3 times in the last 12 months.
For pure investment always consider European Cities as you are likely to get much better rent as its year - round as opposed to just holiday seasons.

[Casual Observer]

dogbox, on Mar 12 2005, 01:33 PM, said:

I know of a chap who has been buying off - plan and selling for healthy profits in Turkey. I beleive he's done it 3 times in the last 12 months.
For pure investment always consider European Cities as you are likely to get much better rent as its year - round as opposed to just holiday seasons.

<{POST_SNAPBACK}>

I was really looking for a holiday home rather than a get-rich-quick scheme! I didn't buy in the end - I reckoned it was cheaper and easier to rent one of the thousands of holiday homes that are always up for rent in Turkey - another area of over-development, IMO

[The Masked Tulip]

Sky News is reporting a big demo in Valencia today by ex-pats who have had their homes posessed under the land grab laws.

One of their journos must have lost his nest-egg!

[Michael]

BTLOptingOut, on Mar 12 2005, 10:17 AM, said:

This sentence is a contradiction in terms! If you want an investment then don't buy in Spain.

I'm, catching a flight out there this afternoon to see the In-laws who have moved out there on masse. Even considered buying myself a town house in a traditional spanish (not Brit costa) village last year.

Despite it being considerably cheaper than here, comparitavely it's worse. Not only have the Spanish had a boom in these Phil&Kirsty 'esq shows they've also had daft Brits buying in their droves.

I would say if you expect the UK market to dip 10% expect Spain to dip 30% 

I predict there will be dozens of Brit Eldorado ghost 'villages' with tumble weeds blowing through in 2010.

<{POST_SNAPBACK}>

yes, the prices may be lower in Spain than most of England but the HP to local income ratio is higher than here......
It must also be stressed that the rate of building is far greater than here.......
Spain's population is only two thirds of ours.....but last year they completed 4 times as many (half a million) new homes............

[VacantPossession]

Michael, on Mar 12 2005, 04:14 PM, said:

yes, the prices may be lower in Spain than most of England but the HP to local income ratio is higher than here......
It must also be stressed that the rate of building is far greater than here.......
Spain's population is only two thirds of ours.....but last year they completed 4 times as many (half a million) new homes............

<{POST_SNAPBACK}>

As was mentioned above, the best way to start in Spain at the moment is to rent long term. Rents in the non-obvious tourist places are a two thirds and even half the cost of the same in the UK.

But beware, many Spaniards in out-of-the-way places are beginning to be a bit anti people who pour in and snap up property, not so much the rental crowd but definitely the buying crowd. Of course the average Spanish person won't know at first which category you are in. They don't take to kindly to tasteless Brits wandering around in soccer support gear with lagers at the ready either. Spain outside the tourist traps is still, thankfully, a civilised and traditional place where they take a dim view of loud mouth Brits.

VP