Monday 30 March 2009

Banco Santander to offer mortgages of upto 100%

Last week Banco Santander and the Asociacion de Promotores Constructores de España (APCE) signed an agreement to offer mortgages of up to 100% of the transaction assuming the promoter has reduced prices by at least 20%. At the moment the offer is limited to those promoters which have financed their projects via Banco Santander. It will allow buyers to enter in to an agreement to purchase a property without the need to pay a deposit of typically 10 to 20%.

This is the first agreement by a Spanish bank to help the property market get moving again and will hopefully go some way to reducing the overhang of new build property available, which is estimated at anything between 500,000 and one million properties throughout Spain. Defintely a step in the right direction.

Tuesday 24 March 2009

Incredible Deal!!


This is a delightful property which I visited last week located a few kilometers from Moraira, on the northern Costa Blanca. This semi-detached property forms part of the Jamaica Park community, has two bedrooms, one bathroom, an open-plan kitchen and has been refurbished recently. The garden is open-plan as well and leads to the communal swimming pool. A great location with a hint of a sea-view too. More photos here, or check it out here: http://www.ultimatehomes-spain.com/ Only 120.000 Euros!!!

Tuesday 17 March 2009

St Patrick's Day in Benidorm


Whilst we might be living here in Spain, a small touch of the black stuff doesn't do any harm, especially today, March 17th which is of course St Patrick's Day. Our favourite watering hole is The Bodhrán Irish Pub (pronounced Bow-Rawn) located just off the Levante Beach in central Benidorm. Live music and a great craic guaranteed.

Monday 16 March 2009

Tax rebate available for sellers

Sellers of property in Spain prior to January 2007 may well be in line for a tax refund windfall following a recent court decision. The EU commission decided some time ago that the Spanish authorities were not entitled to charge 35pc capital gains tax (CGT) to foreigners while taxing locals at a rate of just 15pc. The High Court in the region of Valencia has now ruled in favour of a British couple, telling the Spanish tax authorities to repay them having charged a CGT rate of 35pc instead of 15pc. This is the first time that a legal case has actually been taken and won on this issue.

The opportunity to lodge a tax reclaim hinges on a change to the Spanish tax laws in December 2006, effected following an EU ruling that the discrepancy in rates charged to locals and foreigners was illegal. The recent judgement sets a legal precedent for thousands of EU citizens to reclaim money owed to them by the Spanish authorities. According to Spanish law firm Costa, Álvarez & Manglano, if you sold a Spanish property between mid-2004 and December 31, 2006, paying CGT at 35pc, you are essentially entitled to a refund. But, due to legal time limits, legal experts say submissions should be made quickly to avoid the expiration to an entitlement to a refund.

Contact us or your legal advisor if you have any questions over this matter.

Monday 9 March 2009

Sold in less four than weeks


Which goes to show that property is moving. This property in the Villamartin area was an absolute bargain for a DIY enthusiast. Listed on February 12th, the property has been sold in a record time - price: 77.000 Euros

Sunday 8 March 2009

Interest rate cuts to entice buyers into the market

The latest cut in interest rates makes it attractive for both home buyers and investors to consider buying what could prove to be the biggest investment in their life times. Many people, as writer Mark Twain remarked of himself, only recognise an opportunity after it has passed them by and now property afficiandoes are wondering if the current market is a time of such opportunity.

Increasingly Spanish home buyers are being enticed with the prospect that it is now cheaper to buy than to rent. And cash rich investors may find that they can earn a better return from investing in some residential properties than they can from the interest rates which banks offer on deposits. Furthermore investors are finding more opportunities for adding value to property investments. For instance investors who buy older homes in need of refurbishment will now find it cheaper to hire anyone from an architect down to the plumber.

The comment from legendary stock market investor Warren Buffet springs to mind - "There are that many opportunities, I feel like a mosquito at a nudist camp".

Friday 6 March 2009

Davis Cup update


Unfortunately with the bad weather we are experiencing this week, the opening day of the Davis Cup tennis match between Spain and Serbia has been delayed. A decision was due later today as to whether the tennis would start tomorrow or be cancelled until a later date.

Rates down again

The European Central Bank reduced rates yesterday by 50 basis points to take the Euro interest rate to an all-time low of 1.5%. Euribor, which is used for the majority of mortgage calculations here in Spain, has also been heading down and is currently under 2%, and more falls are expected. Hopefully this may help to persuade buyers that now is the time.........because it's not due to a lack of interest.
We are currently experiencing nearly double the number of "hits" on our properties at Expocasa/Facilisimo, the Spanish property portal compared to all of last year and the ration of clicks to enquiries is at 20%, a high going back as far as January 2007.
Another reason to remain positive.

Wednesday 4 March 2009

Signs of life in the UK housing market

Hometrack, the housing data group, have released a survey carried out in February which are showing clear signs of an improvement in the UK market. More homes are being put up for sale, new buyer registrations have increased by 17% and agreed sales are up by 36%. This increase is off a very low base but it is an improvement. Two clients of mine in the UK have both sold property in the last two months so it must br true, as one in particular hadf the property on the market for ages.

Monday 2 March 2009

Davis Cup fever hits Benidorm


The Davis Cup, won by Spain last year having defeated Argentina, has arrived in Benidorm and the famous trophy too is on show at the Town Hall until March 8th.
As for the tennis, which gets under way against Serbia this Friday, a great atmosphere is guaranteed.
The stadium, which is located in the parking area of Terra Mitica, has now been finished and received the thumbs up from none other than Rafa Nadal. The Mallorcan tennis number one has praised the portable court as "impressive", in particular referring to its size and proximity to the crown ensuring a great atmosphere when the real business starts.

Tinsa €/m2