Call now: (+34) 647 266 435     (+34) 956 642 171

Sotogrande

Property Prices Slowly Rise

Property Prices Slowly Rise in Spain

Andalusia once more posting strong results as property prices continue to rise in Spain.

Good news from the Institute of National Statistics for Spain (INE) – the property market continues to bounce back. House prices continue to rise albeit slowly. Andalusia strong in new builds and climbing steadily in Resales. The first quarter of 2016 is still the highest average figure for sales, notwithstanding, the Real estate Market is moving again. If you are considering buying a property, now is the time to commit, before prices rise even higher. Those of you thinking about selling, the average time for sale of a property is approximately 9 months – beat the trends and list with us!

HPI – SECOND QUARTER 2017

  • Housing prices are up two points over the previous quarter.

Annual evolution of housing prices

  • The annual variation of the Housing Price Index (IPV) in the second quarter of 2017 increased by three tenths and stands at 5.6%.
  • By type of housing, the annual rate of new housing prices is 4.4%, more than one point lower than the previous quarter, with consistent growth in property sales for Andalusia.
  • Meanwhile, the annual variation of Resale housing rose by half a point, to 5.8%.

Property Prices Slowly Rise

Quarterly evolution of housing prices

  • The quarterly variation of the general HPI in the second quarter of 2017 is 2.0%.
  • By type of housing, new housing prices rose 2.6% between the first and second quarters of 2017. Whilst, ‘second hand’ or ‘resale’ home prices rose 1.9%.

Property Prices Slowly Rise

Results by Autonomous Community. Annual variation rates

  • A total of eight autonomous communities increased their annual rate in the second quarter of 2017. The highest increases are recorded in the Balearic Islands, the Basque Country and Cantabria, with increases of 1.9, 1.2 and 1.1 points, respectively.
  • Andalusia is up 0.3 points over the last quarter.
  • In contrast, the greatest decreases of the annual variation occur in Aragon, Principality of Asturias and Castile and Leon, with declines of 2.1, 1.7 and 1.0 points, respectively.

Annual HPI Rates Second Quarter 2017

Property Prices Slowly Rise

Results by Autonomous Community. Quarterly variation rates

  • Most of the Autonomous Communities have positive quarterly rates in the second quarter of 2017.
  • Community of Madrid, Cantabria, Basque Country and Catalonia recorded the highest increases (of 3.4%, 3.2%, 2.9% and 2.9%, respectively).
  • Andalusia once more posted a strong quarterly variation rate of 1.6%
  • For their part, Principado de Asturias (-1.0%) and Extremadura (-0.2%) are the only communities with negative quarterly variations.

Property Prices Slowly Rise

 

These statistics are taken direct from INE’s Press Release dated 8 Sept 2017.

If you are thinking of re-entering the property market in Andalusia as either a Buyer or Seller and are in the provinces of Cadiz or Malaga, get in touch to see how we can help.

[button scheme=”yellow” fg_color=”rgb(10, 20, 30)” url=”https://www.tmtspain.com/contact-us/” size=”large”]Get in Touch![/button]

Related Posts: 2016 Growth    First Quarter 2017   Brexit Initial Response

. . .
Bargain Properties

Property Bargains Less as Market Rises.

Buy Property Bargains Now because Prices are Rising Again.

We are in a new phase of the property market now. We have turned the corner and can embrace a more transparent environment. There are still bargains out there for the Buyer, but Sellers are now starting to price their homes and investment portfolios at prices that are fairer returns for themselves. And why not? After all they rode out the worst part and no longer face an almost obligatory haircut if they wish to sell.  It depends on what their motivation is, those who wish to downsize can realise some equity. On the other side of the equation, Buyers with growing families can invest once more in medium to long term gains and opt for more ambitious properties than during the recession. It pays to take a deep look at what is out there. In Spain, if you sell and buy at prices of ‘La Crisis’ (recession) you stand to gain in the long term. It’s an open market across most of Europe at present. For those of you who make a tidy lump sum, you may well be tempted to choose the Buy to Let market than the vagaries of a savings account. Property Bargains are ideal opportunities for those getting their feet on the property ladder for the first time. Or venturing out again now the time is right.

Here are a couple of Distressed Sales – Bank Repossessions recently sold.

Great Prices – Bargains for All

Property BargainsTorreguadiaro Frontline  Property Bargains

Check out the video here:  1 bed 1 bath Torreguadiaro only 68,100 €

Property Bargains 3 bed distressed sale San Roque Club

Check out the video here, 3 bed 3 bath San Roque Club only 285,500 €

Because they were owned by a bank you could get very favourable borrowing terms. Up to 100% of the property purchase price over a 30 year term for residents. (You make a 10% down-payment on the total amount borrowed but lend more than the purchase price.) This can mean 290 € pcm fixed term for the Torreguadiaro apartment and 1,180 pcm fixed term for the 3 bed with huge garden and private pool in San Roque Club. (Actually the San Roque Club property was purchased by a cash buyer).

Non resident mortgages are also available.

These were just a couple of our property bargains, contact us now to learn more.

 

. . .

Britain Goes to the Polls on June 8th. Who Will Win?

UK Prime Minister Theresa May has announced plans to call a snap general election on 8 June.

She said Britain needed certainty, stability and strong leadership following the EU referendum.

Explaining the decision, Mrs May said: “The country is coming together but Westminster is not.”

Opposition leader Jeremy Corbyn said his Labour Party wanted the election, calling it a chance to get a government that puts “the majority first”.

There will be a vote in the House of Commons on Wednesday to approve the election plan – the prime minister needs two thirds of MPs to vote in favour to hold a vote before the next scheduled election date of 2020.

Explaining her change of heart on an early election, Mrs May said: “I have concluded the only way to guarantee certainty and security for years ahead is to hold this election.”

So, could Labour leader Jeremy Corbyn, three times married, a tee-totaller and vegetarian, win the next election?

Prof Paul Whitely, from the University of Essex, has been researching the demographic makeup of party membership since 1992 and most recently he has investigated norms in political opinion.

“Voters are not asking themselves, ‘Where is Jeremy Corbyn on the left-right dimension?’ They’re asking themselves: ‘Is this guy saying something which is new which might help me and deal with the problems that Britain faces?’

“The thing about Jeremy Corbyn, whether you agree or disagree with him, is that he has a new narrative and I think that’s what’s exciting people.”

Let’s see first, which party wins . . . but whatever the result it can only mean stability and strength. This ensures that the business community and ordinary home owners will continue to gain in confidence.

 

. . .
Property Sales Buoyant

Property Sales Buoyant After BREXIT and Fixed Rate Mortgages Increase

Spai

Property Sales Buoyant

The price of housing in 2016 increased (on average) by 5.7% over 2015, according to the Association of Property Registrars.

The purchase and sale of registered property in the fourth quarter reached 93,423 transactions, 11.2% more than in the same period of 2015 and the best result of any fourth quarter in the last seven years.

Over the whole of 2016, the market surpassed the barrier of the 400,000 conveyances: 403,743 operations, showing an increase of 13.9%.

Property resales rose by 18.5%, while new housing experienced a decrease of 3.2%.

Of the total transactions, 13.3% were made by foreigners (about 53,000 transactions).

By nationality during the fourth quarter, not put off in any way by Brexit, The British led with 16.4%, followed by Germans (9.2%), French (8.5%), Swedes (6.4%), and Belgians (6.3%).

Mortgages – Sales Buoyant after Brexit

  • Average mortgage of 111,656 euros
  • The average mortgage in 2016 was 111,656 €, resulting in a year-on-year increase of 2%.
  • 31% of new mortgage loans are fixed interest rate, a new historical high.
  • 2.4%, is the initial interest rates for new mortgagors, similar to the 2016.
  • The length of mortgage taken out decreased slightly during the fourth quarter, to 23 years and two months.
  • The average monthly mortgage rate in 2016 stood at 522.60 euros (2.7% less than in 2015), eating up an average of 27.5% of salary.

Brexit No Sweat

It will be Wednesday 29 March when the United Kingdom activates Article 50 of the Treaty of Lisbon, the mechanism that initiates the process of Britain leaving the European Union.

Around 284,000 Britons, according to official data, reside permanently in Spain.

British Residents in EU

The National Bureau of Statistics has updated the figures of British residents in the European Union, and vice versa. About 900,000 Britons are scattered throughout the EU, while 3.1 million Europeans live in the United Kingdom.

Brits Choose Spain

Spain is the EU country where most British people live (308,805). However, it is ninth in the list of countries whose citizens move to Britain, behind Poland, Ireland, Romania, Portugal, Italy, Lithuania, France and Germany.

London waits to see what the EU proposes for British residents in the 27 countries in order to match the arrangements and provide certainty.

Spain - The Lifestyle Choice

. . .
A couple and a house under a Spanish Sunset

Property Prices Rise 5.7% in 2016 – Britons Lead the Way

Property Prices rise – now is the time to buy.

  • House Buying was up 13.9% in 2016 compared to 2015
  • A quarterly increase of 1.9% in the IPVVR (Case & Shiller Methodology of the price of housing applied to Spain)

    Property Sales

  • 93,423 operations as property prices rise
  • 11.2% more than in the same quarter of 2015
  • The best result of a fourth quarter of the last seven years.
  • The year 2016 has broken the 400,000 registered sales barrier with 403,743
  • Best year-on-year figure since mid-2011, with an annual increase of 13.9%. However, behaviour remained distinct with resales increasing to 18.5% while new housing showed a decrease of 3.2%.

Property Purchases by Foreigners

  • Ex-pats and second home owners find the bargains – unphased by BREXIT.

Brits Top New Owners Figures

The fourth quarter of the year shows the highest percentage of foreign purchases in 2016, with 13.6% of home purchases.
13.3% of purchases were made by non Spaniards, around 53,000 operations, of which the British led the way.

Mortgage Patterns and Stats

  • The average mortgage debt for 2016 was € 111,656, a year-on-year increase of 2%.
  • Fixed interest rates were up by 31% in respect to new mortgage loans, a new historic high.
  • As property prices rise there is growing availability of Mortgages
  • Average mortgage loan in the fourth quarter was 524.7 euros.
    1.7% lower than the previous quarter, while the percentage of salary it cost to pay the mortgage went down 0.45 percentage points to 28.3%.
  • Year-on-year results marked new historic lows (over the last fourteen years), with € 522.6 million and 27.5%. With respect to 2015, it represents a decrease of 2.7% in the mortgage rate and -0.88 pp. with respect to wage cost.

It’s a great time to buy.

Note: The complete report can be accessed (in Spanish) at the following link: http://www.registradores.org/portal-estadistico-registral/estadisticas-de-propiedad/estadistica-registral-inmobiliaria/  Spanish Land Registry.

. . .