British buyers still lead the way A Place in the Sun 10 July 12
The Corporate Practice Institute (IPE) are optimistic that the ‘stock’ of unsold homes in Spain will be reduced by 23.6% in 2012.
According to the seventeenth edition of the Real Estate Pulsometer prepared by the Corporate Practice Institute (IPE), they are optimistic that the ‘stock’ of unsold homes in Spain will be reduced by 23.6% in 2012, by up to 611,250 homes, and they anticipate that new construction activity will begin to recover in 2013.
On the demand side, the report notes a growing trend of home sales for cash, and in 2012 they expect to sign only a third of the number of mortgages that were contracted in 2006. In parallel, they anticipate promoting some 100,000 homes annually over this year and next.
El Mundo reported that the key to the rapid absorption of the ‘stock’ and the sector’s recovery will be due to the demand for housing by non-residents.
Overseas nationals snap up cheap homes in Spain
Monday 23rd January 2012 International Estate Agent Today
Foreign buyers spent €3.6bn (£2.3bn) on buying homes in Spain in 2011, as they took advantage of significantly discounted properties, according to data supplied by the Bank of Spain.
The figures show that foreign property investment in Spain increased by 27% last year compared to the preceding year.
With Spain’s economy in turmoil and the housing market in disarray, owed largely to a major oversupply of homes, property prices have been in freefall, attracting more bargain hunters in the process.
The hike in property sales in 2011 marks a second consecutive year of growth in international investment with 2011 beating the total value of transactions in 2010.
El Gobierno establece un IVA "superreducido" para la compra de vivienda nueva
7 May 11
Hi Peter, saw this article in the Mail which thought might interest you. It gave us a little wobble but I'm sure you can reassure us. I suppose we have to have confidence in the Monte Pego brand and trust that the building, mortgage and every thing else in which we are embarking is secure.
Spain tries to woo back British holiday home buyers with promises of reform . . .
9 May 11. Reply
Fortunately, you’ve bought in Monte Pego, now a hillside village, which was approved and urbanised 37 years ago and which now has over 1000 homes most of which are occupied year-round . You'll be glad to hear that UK solicitor Baily Gibson is on record as saying that land grab cannot affect Monte Pego. Read http://www.montepego.co.uk/profile.html#Simply (5 paragraphs down).
The four areas beginning to recover are all mid to high-end: Old Marbella; Mallorca; Costa Blanca North such as Monte Pego and Northern Costa Brava. In all of them it usually is the long established communities showing signs of recovery. In my 2 previous recession experiences, it was those same locations which led the country back.
Monte Pego is solid, very residential and was less affected by the recession than many other more intensely developed areas of coastal Spain.
Hope this cheers you up.
Best wishes, Peter
9 May K replies
I thought the article might interest you.
A Place in the Sun: Serious buyers and celebrities returns to the market
High-quality visitors were the focus at A Place in the Sun Live this weekend as exhibitors noted some serious intent amongst buyers. A busy programme of seminars and presentations attracted an audience with both the desire and means to buy overseas.
And in what was a surprising coincidence, celebrity visitors to A Place in the Sun Live included football stars past and present in the shape of Dutch legend Ronald Koemann appearing on the Propdate.com stand, and on a private visit to the show on Saturday evening, Chelsea star and now international property owner, Didier Drogba.
A Place in the Sun: Over supply of properties in Spain expected to fall
The oversupply of homes in Spain will start to be absorbed this year, thanks to rising sales transactions and a reduction in supply, according to a forecast made by Spain’s Association of Developers and Constructors (APCE).
If APCE’s projection is accurate it would be great news for the fragile Spain property market, which has suffered as a consequence of the glut of unsold homes on the market.
Galindo told the Spanish press: “More flats are now being sold then built.”
Galindo expects Spain property sales to increase further, thanks partly to significantly cheaper prices, while new housing starts should remain at an historic low.
Capital Gains (CGT) Tax changes in the Uk's emergency budget June 2010: how it affects your purchase in Spain
CGT has increased to 28%. So how does this affect you?
Spain and the UK have a double tax agreement (DTT) which means that once you pay your CGT to the Spanish government on the profits of the sale of your holiday home in Spain, you will only have to pay the difference between Spain's CGT and that of the UK's. The CGT in Spain is currently 18%. This is deducted from your profit after all expenses, costs and inflation are factored in.
Additionally, allowances specific to the buyer also apply. You will need to discuss the fine detail with your accountant.
Britons over the age of 65 who have lived in Spain for over 3 years are exempt from CGT.
Britons domiciled in Spain are also exempt on disposal of their property as long as the proceeds are used to buy another home.
The Times: A new generation of Britons warms to a life of sun, sea, sand and Spain
They became a symbol of the global housing market crash, unsold, half-built, lining the Mediterranean like skeletal relics of a bygone, more prosperous age.
But villas and apartments on the Spanish Costas are suddenly hot property again as Britain’s second-home buyers rediscover the attractions of life in southern Spain.
Fresh from a chilly, dismal winter, drawn by falling prices and apparently undaunted by the low sterling-euro exchange rate, a new generation of would-be buyers has descended on Spain, according to the Spanish division of Taylor Wimpey.
Typical holiday home buyers are no longer “stereotype retirees”, the UK’s biggest house builder said. Instead, executives with families who spend an average of 60 days a year in Spain have emerged as the dominant British buyers in a region that enjoyed huge popularity during the credit-fueled boom years.
Perhaps in search of a bargain, Rightmove Overseas, the website, said that the number of searches had risen by 60 per cent compared with March last year. Portugal was its most popular search among buyers of holiday homes, it said.
Primelocation.com reported a rise in searches for international property of 72 per cent between February 2009 and 2010, with France recording the biggest annual rise of 113 per cent. Spain remained the most popular country, accounting for 32 per cent of all searches, compared with 29 per cent for France.
After two of our worst years in recent properties abroad history, it came as a long overdue relief to be able to report that this Spring's 2010 A Place in the Sun exhibition offering, in London's Earls Court, was one of the best for many years. Not only were visitor numbers heading back towards pre-recession levels, but crucially, the number of serious buyers at the quality end of the Spanish market is the main market sector driving the recovery. This confirms the anecdotal rumour doing the rounds that the higher end Spanish market is definitely returning.
Peter Mustafa of Monte Pego UK said: "This show was a great success for us. Many visitors to our stand have booked viewing trips to Monte Pego and with higher budgets than we have seen in recent years. This was definitely our best exhibition for years."
Monte Pego's founders and builders, Juan Porsellanes, introduces an exclusive new service to give buyers and vendors of resales additional peace of mind. This facility is exclusive and only available for villas bought through the official Monte Pego resales department. The idea is to provide the villa you are buying with an extended structural warranty free of charge. This valuable facility is completely unique to their company. It is only possible because as builders, they provided the original warranty, have all the original plans and know the history of each villa.
The aim of the company is to de fragment the marketing of resales by making the official on-site Monte Pego resales department, which the company is now expanding, user-friendly and a one-stop-shop for all sellers and buyers of resales in Monte Pego.
Additionally, any client interested in a specific resale not already shown on official lists, can simply inform the company of their interest by sending an email with details of the specific villa to firstname.lastname@example.org and they will contact the owner and add that villa to their portfolio. This provides a buyer with all the official benefits which only the Monte Pego developers can give, at no extra cost more >
9 Oct 09
News release: 8th October 2009 A Place in the Sun
HIGH QUALITY VISITORS AT NEC
22 June 07
21 June 07
The plans for the "Club Social" are exhibited in the reception of the Monte Pego Service Center.
17 Grosvenor Gardens, London, SW1W 0BD
Tel: +44 (0) 20 8920 9414