# House prices in Spain by the end of 2009, up to 20% fall



## SunnySpain (Jul 30, 2008)

According to various reports house prices in Spain are falling in most provinces with properties in Extremadura and La Rioja seeing small increases in prices

Malaga and Cadiz are named amongst 10 cities as most likely to see major reductions in property prices by as much as 20%

If we are to believe these reports then the time to buy could be 2010

Any thoughts ? 

Dave


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## jojo (Sep 20, 2007)

SunnySpain said:


> According to various reports house prices in Spain are falling in most provinces with properties in Extremadura and La Rioja seeing small increases in prices
> 
> Malaga and Cadiz are named amongst 10 cities as most likely to see major reductions in property prices by as much as 20%
> 
> ...



hhhhmmm, this completely contradicts what a report in the "Sur in english" stated last week. According to them Malaga, Marbella and surrounding areas were showing lower than average losses or even slight increases???????

Which just goes to show that nobody knows what the hell is happening LOL

My own thoughts are that certain properties can and will command good prices if they have the right buyer, others, especially the mass produced complexes will struggle to stay steady and go into freefall cos there are too many of them and the days of easy mortgages are gone.... for now!

What will happen in the future and when it will all end... who knows anymore???

But I keep trying to work it all out and I'm watching it all with interest. Cos I wanna buy over here!

Jo


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## SunnySpain (Jul 30, 2008)

jojo said:


> hhhhmmm, this completely contradicts what a report in the "Sur in english" stated last week. According to them Malaga, Marbella and surrounding areas were showing lower than average losses or even slight increases???????
> 
> Which just goes to show that nobody knows what the hell is happening LOL
> 
> ...


True enuf, there are many contradictory reports, but having said that it's fairly reasonable to assume that prices on the Costa del Sol are indeed falling with the only exception being houses in particularly good locations, which will always have a number of interested parties.

The reports I have seen suggest prices are currently falling at between 1.2 and 1.9 percent each month in most provinces in Spain, thus depending which province would depend on the reduction in price in 2009

I happen to consider these reports to be fairly near to the truth and although we are certainly interested in buying a property we will however wait and see what happens this year and quite possibly during the first half of next year.

At the end of the day 20% is a lot of money to some people; especially considering that buyers must pay those ridiculous taxes of 8/9% of the value

Dave


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## jojo (Sep 20, 2007)

SunnySpain said:


> True enuf, there are many contradictory reports, but having said that it's fairly reasonable to assume that prices on the Costa del Sol are indeed falling with the only exception being houses in particularly good locations, which will always have a number of interested parties.
> 
> The reports I have seen suggest prices are currently falling at between 1.2 and 1.9 percent each month in most provinces in Spain, thus depending which province would depend on the reduction in price in 2009
> 
> ...


yep!! same here Dave! Now, if they did something about those ridiculous taxes, it may actaully help a bit???

Jo xxx


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## SunnySpain (Jul 30, 2008)

jojo said:


> yep!! same here Dave! Now, if they did something about those ridiculous taxes, it may actaully help a bit???
> 
> Jo xxx


Yes it's high time Mr Shoe Seller "Zapatero" did exactly that. He can either dramatically reduce the taxes or better still abolish them

If ever a President should have a pair of shoes thrown in his direction
then surely he is the one.

:lol:


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## algorfa (May 12, 2007)

I dont know about others, but in the area's we cover, which are mainly inland and south of Alicante, we are noting a slight increase in the price of property, this is coupled with the increase in the number of people who are now looking, though we have a number of properties on the same complex and there is 30K euro differance in price for the same type of property.

I do think and have thought for some time that by the end of 2009 we will have arrived at the lowest point and I do not think that the drop from now until then will be much if anything. I fell that most of those who are selling are looking to move back to UK or are close to the Bank taking them back and they will sell just to clear what they owe.

I have one property which is on the market at 70K but if someone really pushes then it will go for just over 50K as that is what he owes on it to the Bank.

Time to buy is now.
Dave


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## SunnySpain (Jul 30, 2008)

algorfa said:


> I do think and have thought for some time that by the end of 2009 we will have arrived at the lowest point and I do not think that the drop from now until then will be much if anything. I fell that most of those who are selling are looking to move back to UK or are close to the Bank taking them back and they will sell just to clear what they owe.
> 
> I have one property which is on the market at 70K but if someone really pushes then it will go for just over 50K as that is what he owes on it to the Bank.
> 
> ...


If you are right then prices will be lowest at the end of 2009, thus the time to buy is at the end of 2009 - it cannot possibly be now :lol:


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## algorfa (May 12, 2007)

SunnySpain said:


> If you are right then prices will be lowest at the end of 2009, thus the time to buy is at the end of 2009 - it cannot possibly be now :lol:


As I said, I don't think they will drop by much if anything by end of 2009, I feel they will increase as potential buying start to look and I think that by end 2009 we will see a slight increase in the number of Brits who start to look.

Dave


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## Xose (Dec 10, 2008)

algorfa said:


> I dont know about others, but in the area's we cover, which are mainly inland and south of Alicante, we are noting a slight increase in the price of property, this is coupled with the increase in the number of people who are now looking, though we have a number of properties on the same complex and there is 30K euro differance in price for the same type of property.
> 
> I do think and have thought for some time that by the end of 2009 we will have arrived at the lowest point and I do not think that the drop from now until then will be much if anything. I fell that most of those who are selling are looking to move back to UK or are close to the Bank taking them back and they will sell just to clear what they owe.
> 
> ...


50K ?! - what is the property?! not land without planning concent is it?!


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## algorfa (May 12, 2007)

Xose said:


> 50K ?! - what is the property?! not land without planning concent is it?!


No, just your standard 2 bed apartment in Algorfa.

Dave


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## Tallulah (Feb 16, 2009)

algorfa said:


> No, just your standard 2 bed apartment in Algorfa.
> 
> Dave


hmmm....you've got quite a few tasty bargains on that_ property website_ of yours, haven't you? Cheapest on your books in Algorfa though seemed to be the 75k one - is that the one you're advertising here, the one that is 70k going for 50k at a push??:clap2:

ps - 50k for two bed flat sounds impressive. What's the m2??


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## algorfa (May 12, 2007)

Tallulah said:


> hmmm....you've got quite a few tasty bargains on that_ property website_ of yours, haven't you? Cheapest on your books in Algorfa though seemed to be the 75k one - is that the one you're advertising here, the one that is 70k going for 50k at a push??:clap2:
> 
> ps - 50k for two bed flat sounds impressive. What's the m2??


No it is not the one on the web site, we have had so much interest I have not yet had time to put it on, but it is the same layout as the one's on there.

62m2

To get him to 50K, you would need to push real hard, we have others for around 66K

Dave


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## Tallulah (Feb 16, 2009)

algorfa said:


> No it is not the one on the web site, we have had so much interest I have not yet had time to put it on, but it is the same layout as the one's on there.
> 
> 62m2
> 
> ...


It's sad really, isn't it - poor guy having to sell for a song to pay back the bank. How does that affect your commission rates? Are you flexible in negotiating fees?


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## algorfa (May 12, 2007)

Tallulah said:


> It's sad really, isn't it - poor guy having to sell for a song to pay back the bank. How does that affect your commission rates? Are you flexible in negotiating fees?


We are happy with what we get, we just want to help this guy sell, but we don't do it for everyone, I need to make a living, somehow.

Just as an update, we have someone flying out from UK on Friday to look at the lot and they will make a choice and go from there, they are looking for a view, unfortunately, we don't sell views, but some of our property come with one thrown in. Not sure if the cheap one will be the one that goes, they just want something for nothing.

Dave


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## Tallulah (Feb 16, 2009)

algorfa said:


> We are happy with what we get, we just want to help this guy sell, but we don't do it for everyone, I need to make a living, somehow.
> 
> Just as an update, we have someone flying out from UK on Friday to look at the lot and they will make a choice and go from there, they are looking for a view, unfortunately, we don't sell views, but some of our property come with one thrown in. Not sure if the cheap one will be the one that goes, they just want something for nothing.
> 
> Dave


A property agent with a set of morals.....!! You might just change the mind of a certain Mod on this forum! Unfortunately he appears to still be enjoying his afternoon siesta....!


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## SteveHall (Oct 17, 2008)

The cuts are too deep to heal.


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## jojo (Sep 20, 2007)

SteveHall said:


> The cuts are too deep to heal.


siesta over then???!!!

Jo xxx


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## SteveHall (Oct 17, 2008)

Sadly, so. Arguing with police officers at the airport - my fault, I fear!


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## jojo (Sep 20, 2007)

SteveHall said:


> Sadly, so. Arguing with police officers at the airport - my fault, I fear!



A lesson learnt I hope!!!

Jo xxxx


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## SteveHall (Oct 17, 2008)

jojo said:


> A lesson learnt I hope!!!
> 
> Jo xxxx


Yes, don't answer your mobile just as you are turning into "LLegadas"


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## jojo (Sep 20, 2007)

SteveHall said:


> Yes, don't answer your mobile just as you are turning into "LLegadas"



Mind you Malaga airports a mess at the moment, they're enlarging it dramatically and its like driving thro a building site! It'll be nice when its finished.. just no passengers!!!!!! :lol:


jo xxx


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## SunnySpain (Jul 30, 2008)

algorfa said:


> No it is not the one on the web site, we have had so much interest I have not yet had time to put it on, but it is the same layout as the one's on there.
> 
> 62m2
> 
> ...


IF any of these properties exist then surely you would be better off advertising them on your website instead of coming on here trying to flog something that noone can even view, due to it NOT being on your website 

You also might want to alter the wording in the advert re apartment VAL328
from "spacial price" to "special price" :lol:

Dave


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## jojo (Sep 20, 2007)

SunnySpain said:


> IF any of these properties exist then surely you would be better off advertising them on your website instead of coming on here trying to flog something that noone can even view, due to it NOT being on your website
> 
> You also might want to alter the wording in the advert re apartment VAL328
> from "spacial price" to "special price" :lol:
> ...



wheres the advert Dave??? I'm s'posed to delete em??

Jo xxx


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## SunnySpain (Jul 30, 2008)

jojo said:


> wheres the advert Dave??? I'm s'posed to delete em??
> 
> Jo xxx


It was not an advert as such, but when you consider what was written it would be reasonable to assume it was essentially a sales pitch

i.e. I do not think that the drop from now until then will be much if anything.

and

I have one property which is on the market at 70K but if someone really pushes then it will go for just over 50K as that is what he owes on it to the Bank.

Time to buy is now.

Personally speaking if I was the owner of the property and knew the agent was telling everyone my personal financial situation then I would be peed off

Dave


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## scharlack (Nov 21, 2008)

Yesterday I saw in the newspapers that Santander is selling repossesed houses for -30%. They would rather resell than negotiate with the former owners... ridiculous! Moreover, the 30% off is not real as the houses were overpriced during the "golden years".

Imo we have not touched the bottom yet. The ones who are patient will get the very best deals on properties.


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## Tallulah (Feb 16, 2009)

SunnySpain said:


> It was not an advert as such, but when you consider what was written it would be reasonable to assume it was essentially a sales pitch
> 
> i.e. I do not think that the drop from now until then will be much if anything.
> 
> ...


I was having a bit of a naughty giggle on this one, seeing how long it would run for until the Mods picked it up.....still, he had a good run though, didn't he?!?!

Tallulah.x


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## jojo (Sep 20, 2007)

SunnySpain said:


> It was not an advert as such, but when you consider what was written it would be reasonable to assume it was essentially a sales pitch
> 
> i.e. I do not think that the drop from now until then will be much if anything.
> 
> ...


yeah maybe, but there are no names and its pretty annonymous, just a slightly "biased" opinion due to the posters profession! Hang on in there Dave, it'll be us patient ones who'll get the best deals in the end ??!! (now wheres that "fingers crossed" icon lol)

Jo xxx


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## jojo (Sep 20, 2007)

scharlack said:


> Imo we have not touched the bottom yet. The ones who are patient will get the very best deals on properties.


Yes!! Now thats what I've just said!!!!!! great minds et al :clap2:

Jo xxxxxxxxxxxxx


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## SunnySpain (Jul 30, 2008)

I should add that whilst prices in Alicante may not have decreased significantly in recent times. It would be quite interesting to know if sales have decreased substantially, which I suspect they have, just like the rest of Spain.

This is why the owner would accept as much as 30% less than the asking price

Thus, I find the comments of the agent totally incomprehensible.

The agent is telling us that there is a LOT of interest in this property and that is why he has not bothered to put it on his website. My question is, does this property exist, who is interested and at what price ?

The "truth" is, IF this property does exist then any interest in it whatsover has been generated by the agent telling other people that the owner would accept a much lower offer, which I find quite disturbing actually


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## jojo (Sep 20, 2007)

SunnySpain said:


> I should add that whilst prices in Alicante may not have decreased significantly in recent times. It would be quite interesting to know if sales have decreased substantially, which I suspect they have, just like the rest of Spain.
> 
> This is why the owner would accept as much as 30% less than the asking price
> 
> ...


I know what you mean Dave. I was talking to my estate agent friends a while ago and they told me that they get a list from a bank (dunno which one) and this is a list of all their repossessions, Now the banks apparently dont want the full market price for these places, they just want their money back on em. So they "give" these properties to the agents who "do" want the market price and then the agents pocket the difference!!??? Ok, business is business, but these so called distressed sales were peoples homes and these people maybe should be benefiting from the sales, not the estate agents!!

Hhhmmmm!

jo xx


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## Tallulah (Feb 16, 2009)

SunnySpain said:


> I should add that whilst prices in Alicante may not have decreased significantly in recent times. It would be quite interesting to know if sales have decreased substantially, which I suspect they have, just like the rest of Spain.
> 
> This is why the owner would accept as much as 30% less than the asking price
> 
> ...



Yes, I also find it disturbing and one can't help wondering if he's doing it without the vendor's knowledge.

I would say anyone looking at this should check Catastro, Registro de Propiedad, Ayuntamiento and anything else that is appropriate to ensure they are buying the deeds as advertised, and "libre de recargos" - without debt or commitments. 

I must admit, even though 62m2 seems pretty small for a 2-bed appartment, 50k wouldn't even buy you a building plot round our way....anywhere even.

Tallulah.x


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## SunnySpain (Jul 30, 2008)

Tallulah said:


> Yes, I also find it disturbing and one can't help wondering if he's doing it without the vendor's knowledge.
> 
> I would say anyone looking at this should check Catastro, Registro de Propiedad, Ayuntamiento and anything else that is appropriate to ensure they are buying the deeds as advertised, and "libre de recargos" - without debt or commitments.
> 
> ...


I ditto the above, well said Tallulah :clap2:


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## Tallulah (Feb 16, 2009)

Just as an aside....does anyone know if they do property auctions here as they do in the UK - usually for repossessed properties, etc??


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## SunnySpain (Jul 30, 2008)

Tallulah said:


> Just as an aside....does anyone know if they do property auctions here as they do in the UK - usually for repossessed properties, etc??


Good point Tallulah 

Yes they do and we would also be very interested to find out where and if there is a website with details of the properties et cetera

Dave


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## Tallulah (Feb 16, 2009)

SunnySpain said:


> Good point Tallulah
> 
> Yes they do and we would also be very interested to find out where and if there is a website with details of the properties et cetera
> 
> Dave


ooh, as always, Google is your friend!!

Just seen this link :

Property auctions and Bank repossessions in Spain

There you go!!

Tallulah.x


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## algorfa (May 12, 2007)

Oh ye of little faith, 

I can assure you that the property does exist, I do not make things up as you seems to be implying, yes there is interest, so why spend time putting it on the web site when I use my mailing list first and if nothing happens from that, I will put it on the site. 

My feeling is that this property will go quickly and from discussions I have had this morning from someone who has already been to see it, they may be back with an offer. If they don't, then others going tomorrow to look at a number of properties that meet their criteria, may put in an offer, who knows, but you do not spend time doing something that is not productive.

All properties on the market have a starting price, many will be sold below that price as everyone tries to get as much as possible for anything they try to sell. Those who are buying do not want to pay over the odds but will not negotiate, so they may get the asking price, they may not, only the person selling, knows the bottom price they will accept. As time goes on, that bottom price may change depending on circumstances.

You ask about sales decreasing, yes they have, but we have noticed an increase in enquiries over the last few weeks. We went months without anything for sales at all, just glad we are dependent just on the sale of property.

I will change the word on the web site, thanks for telling me.

Dave


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## algorfa (May 12, 2007)

I agree that the 65m2 is small, but small for what and against what, that is about an average size in this location for this type of apartment.

That has been one of the problems about the Spanish building for the holiday homes market. In the location you two are situated, then it may not be quite the same with millions of Brits dumping themselves on the beach every year. I would suggest that you have a completely different type of person visiting and buying in your area, so the provision will not be the same. So lets not get into a battle over this and realise that things are different in differing places and even within the same Country.

Dave


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## SunnySpain (Jul 30, 2008)

algorfa said:


> I agree that the 65m2 is small, but small for what and against what, that is about an average size in this location for this type of apartment.
> 
> That has been one of the problems about the Spanish building for the holiday homes market.
> 
> Dave



I don't wish to :rain: in your parade, but the main problem is that the construction of holiday homes is generally very shoddy and poor quality materials are often used

The house that Jack built et cetera

Does damp-proofing actually exist in Spain ?

For sure, every property (always nuevo o casi nuevo) we have lived in has had problems with damp, the windows don't seem to be sealed very well and don't even get me started on the plumbing....:lol:

As for heating, why is it that most homes in the South don't tend to have any ?
It does get cold in winter, even on the Costa del Sol.

Any thoughts ?

Dave


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## mickybob (Dec 31, 2008)

SunnySpain said:


> Good point Tallulah
> 
> Yes they do and we would also be very interested to find out where and if there is a website with details of the properties et cetera
> 
> Dave


Google it. There are a few sites that do repossessed property. There is allways some one who will make a profit out of someone elses missery.


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## Suenneil (Feb 17, 2009)

SunnySpain said:


> Good point Tallulah
> 
> Yes they do and we would also be very interested to find out where and if there is a website with details of the properties et cetera
> 
> Dave


I may be able to help you on that one in a coupe of weeks time - no suspicious or underhand reason why I cant tell you now - but from a work perspective Im involved in the legal aspects of a new company that will be doing something similar.... buts its still confidential .... Will keep you posted.


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## SunnySpain (Jul 30, 2008)

Suenneil said:


> I may be able to help you on that one in a coupe of weeks time - no suspicious or underhand reason why I cant tell you now - but from a work perspective Im involved in the legal aspects of a new company that will be doing something similar.... buts its still confidential .... Will keep you posted.


Lovely jubbly 

The question remains, why are we all here :lol:


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