We all know that there is a correlation between price, product and demand, and is the property market in Marbella.
Now that we’re in the seventh decade since people buy vacation homes, second homes or permanent residences in this area, the local real estate market is more mature and stable than ever. In this part will always be a growth and market opportunities, and years of rapid expansion and generally precipitated by external growth cycles seem to fall over.
On the one hand, land for new developments it is now rare, replace the ups and downs of a young pioneer and market more stability, since it has been established. In fact, if Marbella is its brand, its natural beauty and quality of its facilities attractiveness only grow more and more over time.
In a market like this amount is more than ever substituted by quality, price (per square meter) grow and remodeling becomes the natural way of creating a new, modern complex. This process is already underway with the reform and modernization of the houses in the best locations, and eventually, over time this will lead to the revitalization of most of the urban landscape with golf and real estate in Marbella.
How prices estimulate demand and limited supply reinforces its value: Once recovered sustainable growth, the process described above will see a strong demand due to the limited expansion of supply and prices of properties in Marbella will be pushed up.
However, before this can happen, the region needs to resume growth, which began in 2012, when the price has played a central role. You may have noticed that the innate demand of Marbella, properties and lifestyle offering, sometimes may vary slightly, but essentially has a consistency that comes from an environment and a difficult climate to improve in Europe.
For buyers who are interested in investing in properties
With personal contacts and, of course, the Internet, many potential buyers of real estate in Marbella were attracted not only by the charm of the region, but also property prices that had fallen to levels that began to be very attractive. This process contributed to a new interest to the market, but even more important is the way the sales growth falling prices stopped. Feeling that the market had bottomed out and prices do not drop, many potential buyers and investors decided to act quickly.
As a result, 2013 saw the safe return of the real estate business in this city, which previously have absorbed most of unsold new promotions. Prices should remain relatively stable for some time in the near future, but with implementation and execution of the first series of new buildings since the beginning of the ongoing financial crisis, expectations are that prices will begin to rise again soon.
With attractive prices, low interest rates, the recovery in demand and a product (properties) with a constant call brought the property market in Costa del Sol in an exciting phase that can still be considered a buyer’s market with obvious signs of growth. apart from the properties in Spain. If you want us to know also the option of properties in Miami Florida.
Spain is out gradually settlement prices and property again. However, they are very interesting. For more information, the first exhibition dedicated arrived in Paris. So you can tell them. In all cases, caution is recommended before deciding, frauds are frequent when the opportunity is too good to be true.
What price you can find in the property market?
Attention, after 6 years of crisis prices begin to rise, especially in the new! It’s still not the whole apartment, since we are talking about a 1% but this may be the beginning of a trend as the economy recovers. Remember that even when the market was devalued by half since 2007, and that this is more than 10 years that everything is going wrong in the sector.
But hey, this increase is not valid everywhere. La Rioja continues its precipitous decline. By contrast, Madrid and Valencia, it gets better. The average price of real estate in Spain is 1,700 euros per square meter.
There are a variety of options purchases and sales today:
Because there are a lot of homes for sale, advertisements have just found taker recent years. And the French, it is well known, the love of Spain, which are even the first foreign buyers in number, with English and German. The country remains perfect source for investors and retirees because the crisis or not, the weather remains the same, and tops, wonderful beaches and nice people.
It is Spain in the summer, but also to live a good part of the year you are retired (and not only in the Balearic Islands!). You can also go there on weekends, flights are fast and cheap. A lounge that is perfect if you buy new and want to meet with the sponsor before doing business. You can also take information on current legislation in the country, such as compulsory lawyer in all transactions and the fact that there is a promise of sale.
What to do before investing?
We must learn to avoid scams. Especially when you do not buy in their home country. You have to take your time and do nothing on a whim, on pain of suffering the disastrous consequences.
There are many offers on the market, compare and visit a maximum of goods before deciding. Good to know: If the previous owner of the debt, which is what they gather. The same goes for the research needed to shield you from that side. Please note also the field: it has been the legal construction, if you do not, you risk the utter destruction of their property.
Check quality. This is not because a city is bright as the materials will take time, and “cardboard houses’ tend to multiply in recent times. If you are buying off plan is the financial health of the sponsor will be for you the most important, nobody is immune to bankruptcy.
They not always have points in Spain, but to enjoy it, you have to do it includes: a good lawyer, a good lawyer and a good real estate agent.
The Spanish property market
The bursting of the housing bubble in Spain, which was economic miracle, however, described by some experts before the crisis, has severely affected the country’s economy, including causing the collapse of part of its financial system, explosion debt public and its unemployment rate.
After several years of decline, the Spanish real estate sector, but appears to have stabilized in 2014. The number of empty houses (which reached more than 700,000 units in the worst of the crisis) is gradually absorbed, and prices that had collapsed by more than 30% in six years will be reduced further since the second quarter of 2014 is even believed by 1.8% in the fourth quarter compared with the same quarter last year, according to the National statistics Institute (INE ) Spanish.
Investor transactions and purposes
Meanwhile, the mortgage again, since transactions increased by 2.2% year on year in 2014 to just over 390,000 units. Clearly the priority sector is the reduction of empty housing stock with only 35,000 new homes were built in 2014, as the Arcanum financial group, against 244,000 on average between 1992 and 2014 and a peak of 575,000 in 2007.
In short, the market continues its correction. On the one hand, banks have recovered the real estate developers went bankrupt during the crisis -30% in domestic stocks are gradually giving their real estate assets. This is particularly the case SAREB, the management company of real estate assets of the nationalized banks, a kind of Spanish “bad bank”.
And, secondly, some solvents Spanish families, found an appetite for stone. “First, because they were a few years in a waiting position, as prices fell sharply. Then, thanks to the fact that banks have devoted very little since the financial crisis begin to distribute credit. And finally, as in most other European countries, households have very low interest rates mortgages, “said Jesus Castillo, an economist at Natixis.
Price disparities between provinces
However, that the imbalance between supply and demand for housing have very strong differences territories. Some provinces such as Almeria, Castellon, Toledo, Ciudad Real and La Rioja are much more affected than others. The stock of empty homes was still above 4% of the total housing stock in 2013, according Arcanum. In these provinces, employment is weak and the recovery is still far away. While on the contrary, in Madrid, Barcelona or in coastal and attractive tourist areas, the reset is faster.
Should we expect in these attractive areas for a new “miracle in Spanish?” Again, you should temper enthusiasm. While the housing market in Marbella has stabilized, but all the elements are not yet in place for a sustainable recovery. For more information consult International Real Estate Consulting.
In fact, real estate is no longer the main driver of growth in Spain. The global construction sector, representing 7.3% of GDP on average between 1980 and 2014 and has peaked at 12% before the crisis, represents just over 5% in 2014. A party it tends to stabilize in recent months, as explained in the following article on the website www.fuster-associates.com.
In addition, the unemployment rate in February was 23.2% remains high. And “a significant proportion of Spaniards who have a job do not have a lot of income. This affects their solvency,” said Jesus Castillo. Therefore, “despite the sharp fall in property prices since 2008, the rate of effort for a household is very high: an average of six to seven years of income required to buy a house, “he added t- her. Proof that should not jump to conclusions.
The property market in the Costa del Sol ranks first in all Spain
In Marbella and surrounding areas, the situation is obviously different from the rest of Spain, since the market in this area not only consists of a local market (higher than the average market Spanish purchasing power) but also of a regional market and another national. However, the most important and influential market in this area is the international market.
Marbella is a quality destination that has captivated international customers for over 50 years, and for several reasons: its climate is the best in Europe; having a relatively low density of the construction; has 3 times more green spaces compared to other coastal cities; services and high quality infrastructure; a season of 12 months with high and low peaks and residents enough during the winter months (between 250,000 and 300,000) for restaurants, sports centers and other recreational facilities can remain open throughout the year.
The town of Marbella and the surrounding residents consists of over 120 different countries, which is a reflection of its international and multicultural composition. Marbella is constantly faced in the national and international press as a tourist destination of exceptional quality.
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Contribution of reader: know about how they are driving the property market in Spain and all the variables involved