subject: Spanish Property Market On The Up [print this page] We here in the UK have been receiving a few positive reports about the Spanish property market lately, so much so that it seemed to be past the worst.
According to a recent survey, Spaniards do not share our sense of optimism. 83% of Spaniards surveyed by Spanish developer Basico Homes believe further price falls are on the way. 53% of respondents are expecting slight/moderate falls, while 30% are expecting severe falls. Of the remaining 17%, only 14% were hopeful that the market is bottoming.
The numbers of respondents who have opposite views on prices so far is coincidentally very similar to the figures for people with differing predictions: 60% of respondents believe prices have fallen slightly lately, while 30% believes the market has remained flat.
Spanish Prime Minister Jose Luis Rodriguez Zapatero will be disappointed that his spinning isn't having the desired effect. The PM has recently stated that the worst is behind the Spanish property market.
This is good news for British buyers though; a lack of confidence in the market to that degree will hamper sales and could mean yet more bargains for the savviest foreign buyers.
Overseas mortgage provider Conti has just told us that over 85% of mortgages are dedicated to just three countries, France 43%, Spain 24% and Turkey 18%.
Mortgages are usually indicative of low budget buyers, which is the segment of the market least exploited by foreign buyers. Increasing buyer numbers at this level, and increasing availability of bargains could be a recipe for some more positive news on the Spanish property market.
