# What are the house prices in Spain?



## Sirtravelot (Jul 20, 2011)

I'm asking because I have no idea where to look to find out anything.

Does anyone know what a 2-3 bedroom house or flat would cost? I understand coastal areas will be much more expensive than inland areas.

I can only say that in a town an hour away from Lisbon they were selling houses (with very little luck) for half a million euros ten years ago. Different country and all, but I hope it's not too similar.

Also, I read on this forum somewhere that house prices in Spain were suppose to drop by 20-30% in the next few years. This true?

Cheers in advance!


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## djfwells (Sep 28, 2009)

Sirtravelot said:


> I'm asking because I have no idea where to look to find out anything.
> 
> Does anyone know what a 2-3 bedroom house or flat would cost? I understand coastal areas will be much more expensive than inland areas.
> 
> ...


According to the Bank of Spain, house prices have fallen an average 15.4% (in nominal terms) since 2008 and 20% after taking inflation into account.

They also estimated that prices could still fall to 30% in real terms before they start to level off, which they expect to see at the end of 2012 or the beginning of 2013.


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## Sirtravelot (Jul 20, 2011)

djfwells said:


> According to the Bank of Spain, house prices have fallen an average 15.4% (in nominal terms) since 2008 and 20% after taking inflation into account.
> 
> They also estimated that prices could still fall to 30% in real terms before they start to level off, which they expect to see at the end of 2012 or the beginning of 2013.


So I guess that'll be the best time to buy.

Is it the 30% going to add up on the 15.4, or will the 15.4 rise to 30?


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## thrax (Nov 13, 2008)

Trouble is it just isn't as simple as that. Yes house prices will tumble but struggling estate agents are keeping prices artificially high. But this year saw many of the banks who had reposessed homes having to put them on the market to avoid various taxes. Of course, they are using tactics to hide these assets but they can be found. I know a few people who hav ebought homes worth (in old money) several hundred thousands of euros for around 50K, but just now these are exceptions rather than the rule. But prices are falling, make no mistake.


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## Sirtravelot (Jul 20, 2011)

thrax said:


> Trouble is it just isn't as simple as that. Yes house prices will tumble but struggling estate agents are keeping prices artificially high. But this year saw many of the banks who had reposessed homes having to put them on the market to avoid various taxes. Of course, they are using tactics to hide these assets but they can be found. I know a few people who hav ebought homes worth (in old money) several hundred thousands of euros for around 50K, but just now these are exceptions rather than the rule. But prices are falling, make no mistake.


Sounds like Portugal. They would never budge the house prices despite signs of weak economy.


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## djfwells (Sep 28, 2009)

Sirtravelot said:


> So I guess that'll be the best time to buy.
> 
> Is it the 30% going to add up on the 15.4, or will the 15.4 rise to 30?


The 15.4% is estimated to rise to 30%

Obviously you need to bear in mind that this is the Bank of Spain's general estimate of the market as a whole. You are always going to find somebody whose circumstances dictate that they may need to sell way beyond these values, and likewise those who are not in a desperate position to sell.
The rule of thumb in my area seems to be that the advertised asking price of a property accounts for Jack, and that the majority of savvy buyers offer a price of around half of the asking asking price and negotiate from there.


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## Cazzy (Nov 23, 2008)

We live inland and have noticed that the Spanish are not reducing their prices, but desperate Brits are. We have 2 similar houses for sale in our village - 4 bed, 2 bath, lounge, dining room, laundry etc. Both are detached. One is 70k euros, belonging to a Brit, the other "spanish"at 220k euros. To be honest the Spanish don't really care if they sell or not, they will just wait!!


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## nigele2 (Dec 25, 2009)

Cazzy said:


> We live inland and have noticed that the Spanish are not reducing their prices, but desperate Brits are. We have 2 similar houses for sale in our village - 4 bed, 2 bath, lounge, dining room, laundry etc. Both are detached. One is 70k euros, belonging to a Brit, the other "spanish"at 220k euros. To be honest the Spanish don't really care if they sell or not, they will just wait!!


Spoke to our agent three days ago up here in Asturias and he offers the same. Prices staying high in the papers and the agents windows and only forced moves taking place. He and his wife have plenty of time on their hands. 

A well located three bedroom flat still costs 250k+. Flats below 100k can be found but are small and in bad areas.

Worth noting though that local tax is going up. Not like council tax back home but heading upwards rapidly.


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## Alcalaina (Aug 6, 2010)

Cadiz is a great city - it surrounded by the sea, the people are renowned for their character and sense of humour (it has one of the best Carnivals in the world), and there is always something going on. It is a university town and reasonably cosmopolitan without being overrun with foreigners (except when there is a cruise ship visiting).

You can buy a 2 bed flat from about €80,000 upwards.


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## Pesky Wesky (May 10, 2009)

Here's an article from an economic paper telling you why not to buy a house in 2011 and to buy in 2012, in Spanish unfortunately, but it talks about taxes and mortgages and unemployment etc.
Cinco razones para no comprar vivienda en 2011 y esperar a 2012. Noticias en Invertia


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## Sirtravelot (Jul 20, 2011)

Does anyone regret buying property in Spain?

I've heard people saying they've gone to Spain with a big fortune and left with a small one.


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## xabiaxica (Jun 23, 2009)

Sirtravelot said:


> Does anyone regret buying property in Spain?
> 
> I've heard people saying they've gone to Spain with a big fortune and left with a small one.


that's a well known saying - and sadly rings true -especially for many people who bought businesses reliant on expats, too - sometimes investing their life savings

there are a lot of expats from various countries who bought property here at peak prices - and even not at the peak- who no longer have work or customers for the business, so can't pay the mortgage - but can't sell at a price which will cover it 

on our local 'sell/swap' type FB group there is a family desperately trying to sell everything that isn't physically attached to their house - pretty much down to cutlery & crockery - just to pay this month's mortgage.........apparently until a couple of years ago they had a thriving business (a friend of theirs is posting for them - they no longer have internet)

and sadly they aren't the first family I've known in that situation


I've also met quite a lot of people over the years who have come over with a small fortune & not bought property - who have still gone back to the UK or wherever totally skint...........they might have dabbled here & there in bits & pieces which never worked.............and some just came on a perpetual holiday & even though the booze is cheap all that means is it takes longer to spend the money


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## thrax (Nov 13, 2008)

But it can depend on the type of business bought. Bars and a lot of restaurants have failed simply because there are far too many to compete for dwindling money. But there are still businesses thriving as long as they are in the right location offering a service or product people actually want. For example, round here hairdressers are doing very well, probably because hair keeps growing. I get my haircut for free by visiting the outlaws. Some new restaurants have opened in Nerja and are doing surprisingly well although it remains to be seen what happens from October. A lot of them close from January to April anyway. Going to Plaza Mayor in Malaga today. It will be interesting to see how busy the restaurant half is.


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## thrax (Nov 13, 2008)

Just spotted how off topic my lasat post was. I am backing away, supplicating. House prices are still way too high around here...


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## Alcalaina (Aug 6, 2010)

There are houses in my village (a pueblo blanco) that Brits paid €150,0000 for in 2005 which they would be lucky to get €90,000 for now. They were ridiculously overpriced then, and people were told prices would continue to rise by 10 or 20% a year. It is always risky buying property as an investment.

Now prices are back at a level where local people have a chance of buying them, which is good, though unfortunately the immigrants who want to return to the UK are facing big losses. But if they had rented over that period, it would have cost them about the same - and because they bought when the pound was worth €1,50, the losses aren't as big as they appear in real terms.


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## Guest (Aug 12, 2011)

Kind of ironic that an ad for "luxury real estate in Spain" appears at the bottom of this thread. "Exclusive townhouses in Mijas, On sale from _just _299.000€"


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## Alcalaina (Aug 6, 2010)

Yossa said:


> Kind of ironic that an ad for "luxury real estate in Spain" appears at the bottom of this thread. "Exclusive townhouses in Mijas, On sale from _just _299.000€"


Not if you're using Firefox Adblock Plus!
https://addons.mozilla.org/en-US/firefox/addon/adblock-plus-pop-up-addon/

But yes it is ironic. I wonder if anyone is still buying them at these prices - other than the Russians and Chinese?


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## xabiaxica (Jun 23, 2009)

Alcalaina said:


> Not if you're using Firefox Adblock Plus!
> https://addons.mozilla.org/en-US/firefox/addon/adblock-plus-pop-up-addon/
> 
> But yes it is ironic. I wonder if anyone is still buying them at these prices - other than the Russians and Chinese?


quite ordinary properties are selling for quite a lot MORE than that around here......


does that pop-up ad add-on thingy allow you to make exceptions?

for instance, atm I get a pop-up (which I want) on this site when I get a PM


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## Guest (Aug 12, 2011)

Popups are easily disabled/configured in InternetExploder, Firefox, Opera etc. You can easily customise individual sites, such as this one and bar all others.

This machine is a "default" config, which allows me to test software, websites in a "real-World" environment. My "personal" machine is locked down to a ridiculous level, that even frustrates me!


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