What Have You Decided about Purchasing A Property?
The market is improving mainly with European Ex-pats and especially property reasonably priced. We specialise in supporting clients who want to purchase a property. The cost to the Purchasing Client for our service is nothing. Unless we are requested to fund a payment on behalf of the Purchasing Client which we expect to be reimbursed. We will also reimburse the Purchasing Client up to a maximum of 500€ of their initial viewing trip to Spain if they successfully purchase a property through us; providing our commission is in access of 1,000€. Our remuneration comes from the vendor or the Agent acting on behalf of the vendor. (Property Seller)
What Have You Decided about Selling A Property? We work with various Estate Agents within the Cost Blanca area. Selling property for established residents is not our main forte. However we do have properties which we market on behalf of clients who mainly spend very little time in Spain or for solicitors acting on behalf of a client.
All of these for sale properties are placed on our website and with the Spanish Agents we work. The selling Agents with whom we work are paid 50% of the negotiated fee, we have agreed, with the Vendor (property Seller) if they introduce a client who purchases. This Commission fee is in line with the majority of the Agents in Spain and set at 5%. All of the local Agents plus any overseas Agents will not work with any established Agents if they are not guaranteed a working commission.
If we sell a property personally, without other agents, the commission is 4%.
Why Sell with Us. You are dealing with one Agent and getting the benefit of promoting your property throughout the area with other Agents her in Spain and in the UK and Europe.
Our view of the current property market. There are two property markets in Spain.
◊ Holiday and Retirement Property, bought mainly by Northern Europeans.
◊ Accommodation, bought by the Spanish nationals.
It is not common for Spanish nationals to purchase properties developed for the expat European community. The oversupply and spiralling valuation of the property built for the European market prior to 2008 is the sector still the hardest hit by recession. Five years on there is still a vast amount of property, mainly now owned by the banks,thus unsold. Many property valuations in the current market can be unrealistically valued. This is due to vendors trying to recoup their investment, having bought in the Spanish boom years of 1996-2008.
Many vendors want to either go home or sell a speculative investment. There is a very small market of expats selling and rebuying within the Spanish market. It is more common that decide to sell, then stay and rent another property.
If you are considering purchasing in the Spanish property market you have to take on board a pragmatic view and consider all of these factors.
Why would you buy in this Market?
It should be for one reason and one reason only
You are coming to live here, or you intend to spend the majority of your time here.
Great I applaud you! The Costa Blanca, especially the coastal and valley regions between Denia and Benidorm, are some of the best areas in the world to live.
Now you have made the right choice for the right reason, you have to find your Property.
The Guidelines to Work to…
Location, Location, Location: – You can always change the interior of a property and to a degree improve on the outside of the property, but you cannot change its location.
Accessibility: – Is the property accessible along a good road? If your car or personal transport was to breakdown would you have access to local amenities?
Do you both drive? If not, how would your partner get around? Make sure you purchase a property that is convenient to the amenities you require, public transport is very limited in the coastal regions.
Speculative Purchase: – You should look very carefully at a potential purchase if you are buying a property to rent on either short term leases (Holiday lets) or long term lets. The laws that surround these markets are being tightened up dramatically, also there is a massive over supply in the market. With government taxes, purchase costs and general charges, it is an expensive exercise.
From the property fall of 2008 there is still uncertainty and a lack of confidence in the property market. This is common in many countries, the days of buying today and making a good profit tomorrow are gone – except for a few hotspots around the world.
With the introduction of Brexit some, or all, of this information could be dated and incorrect