Marbella Market In Overview Now Is The Time To Buy

The Marbella market is of great importance to Quantum Mortgages as it represents a sizeable portion of our global business

. Since many of our clients use our services to buy properties in this region we thought it would be interesting to look at the current state of the Marbella market.

Most readers will know about the lengthy and intense property boom and the equally intense recession that followed it in the wake of the financial crisis of 2008. In Marbella, property was in bloom from the late nineties all the way up to 2006, when the market started to slow down in advance of the financial crisis. The latter had an acute effect on the Spanish real estate sector, though the best properties in the best areas continued to sell even during the downturn albeit at prices that are now some 5-20 per cent cheaper than their 2007 peak levels.

2009 was another tough year, but since December the previous 18 months of successive decline in property sales have been converted to successive months of growth. The conclusion is that the market is through the worst of the storm and that it is showing the early signs of recovery, though this is going to be a gradual one, not a sudden jolt upwards.

Where some areas have suffered terribly, the Marbella area has shown its resilience thanks to a persistent demand for the climate, lifestyle and services it offers so close to the main centres in Europe. This is particularly true of the middle to higher range properties, where choice, quality and prices are attractive, but also in the lower end of the market, where large discounts are enticing experienced investment buyers back.

Exchange rates, interest rates and bottom line costs

While the mass market fell away it is especially the experienced property buyers and investors who have capitalised on falling prices (up to 50 per cent in some cases, though generally around 25 per cent), fluctuating exchange rates and the lowest interest rates for many, many years.

The European Central Bank, which controls monetary policy for the Eurozone, has pushed interest rates to historic lows in an effort to stimulate the European economies back into growth. Individual countries have added their own localised stimulus packages, and while many of these are coming to the end of their shelf life the fact that interest rates still stand at 1 per cent means that we can obtain mortgages at low rates of between 2 and 3 per cent.

Falling prices and very low interest rates combine to make this an ideal climate in which to buy property, renegotiate an existing mortgage or release equity on the full property. For a long time a weak pound meant British buyers could not enjoy benefit of these savings, but since the beginning of the Greek financial crisis the pound has regained much ground in relation to the euro, making it a triple whammy for those buying with sterling. Scandinavian buyers are similarly finding their buying power much enhanced thanks to their strong currencies.

With the beginnings of a property market recovery in the air, combined with low interest rates and a favourable pound or krona to euro exchange, we can recommend Marbella as a very attractive market to buy in. Unfortunately financing is still not readily available to all, as banks tighten their criteria, but with Quantums track record we will not only get you the financing you need, but also negotiate the very best conditions available on the market today.

Why not Assess Yourself for a mortgage on our website: www.quantum-spain.com

by: Manifesto Design

Marbella Market In Overview Now Is The Time To Buy

The Marbella market is of great importance to Quantum Mortgages as it represents a sizeable portion of our global business

Contact

www.yloan.com

Products

Our Solutions

Press Room

Resources