Golf in Spain at a reasonable price?

Cheaper golf in Spain and Tenerife?

Golf has always been perceived as an elitist sport and the properties that surround the fairways often have inflated price tags to match – but not at Camposol Golf. At this established 18-hole course in Murcia, completed key-ready two bedroom homes are available for just 50,000 euros, that’s less than 43,000 pounds. Surely this is Europe’s cheapest golf resort?

Chris Mercer, Director of Murcia-based estate agents, Mercers, which has been on the ground in Camposol for 14 years, comments, “When I tell people that they can buy a two bedroom home with roof terrace for 50,000 euros or a detached villa with swimming pool for 125,000 euros, they are genuinely astonished. These are neither brand new nor off-plan, there is no waiting period or additional list of costly extras from swimming pools to air-conditioning, landscaping to furniture. Instead these properties are in an established golfing community with a vast range of on-site amenities at your disposal. Folk should literally be queuing up.”

Golf course and friendly Clubhouse aside, the Camposol community is divided into four geographical sectors with various commercial centres hosting all kinds of bars, pubs, restaurants and takeaways as well as a full-size household name supermarket and petrol station. There is a health centre, post office, hair and beauty salons and, a real jewel in the Camposol crown, a chic four star Spa Hotel.

Chris continues, “Based on price and what you get for your money alone, Camposol Golf is unbeatable. Even better, the current climate dictates that people are buying at the bottom of the market so not only will they pick up a bargain but also reap the rewards of capital appreciation when the market picks up.

“And ‘pick up’ it will as we are literally ten minutes’ drive from the freshly announced Paramount Pictures-branded Theme Park predicted to attract up to three million tourists each year. This will certainly have a ‘Disney effect’ for property prices in the catchment area. And, for those cautious of Spanish property fearing its legal status, be reassured that Camposol Golf is clean and you will get full title deed as well as banks happy to offer mortgages.”

Surrounded by the imposing mountains of the Sierra Espuña National Park and beautiful underdeveloped Spanish countryside, the coast is just 15 minutes away with mouthwatering seafood restaurants, sheltered Blue Flag sandy beaches, attractive marinas and some stunning rocky coves tumbling into turquoise waters. Alicante International Airport is just over an hour to the north whilst even closer San Javier/Murcia Airport is only 35 minutes away. A third brand new airport at Corvera is in the final throes of construction with an opening date penciled in for summer 2011.

Hopefully, the next project will be in Tenerife as golf is getting expensive on the island and healthy competition would no doubt improve  the pricing situation greatly.

Source: Mercers

New mortgage lending still depressed in Spain and Tenerife

Mortgage lending still depressed in Tenerife, the Canary Islands and Spain.

Mortgage lending still depressed in Tenerife, the Canary Islands and Spain.

New mortgage lending in Spain is still very depressed, according to the latest numbers from the National Institute of Statistics (INE).

According to the latest figures, for December and therefore the whole of 2009, new mortgage lending fell again last year, by 22% in volume terms (to 653,173), and by 34% in value terms (to 76.8 billion Euros). These are the lowest levels in both volume and value terms since the INE started publishing this data series in 2003.

The number of new mortgages signed has been falling now for 3 years, and the value of new mortgages has been falling even faster. That means there is less money around to spend on Spanish property, which puts downward pressure on prices.

Mortgage lending has been changing in percentage terms over the last few years – falling in both volume and value for the last 3 years, though the rate of decline improved slightly in 2009. That means it is still falling heavily, just not by as much as last year.

Over the last 2 years, new mortgage lending has been falling more in value terms than in volume terms. That means that the average mortgage value is also falling, as borrowers take out smaller mortgages. The average value of new mortgages last year was 117,688 Euros, down 16% on 2008.

Banks have tightened up their lending criteria, and now demand bigger deposits. But also because Spanish property prices are falling, so borrowers don’t need such big mortgages as before. New mortgage lending is down 51% by volume, and 59% by value, compared to 2006, when the market peaked. That is a massive decline in the amount of money around chasing property