Upbeat prediction on housing supply in Spain

March 4, 2011 – 1:16 pm

Good news on Spain and Tenerife's housing supply.

The Spanish housing market has reached an important milestone with official sources predicting that any remaining oversupply will be absorbed this year.

Following an improved 2010, the total property transactions increased by over 6.8%, substantially helped by some of the excellent opportunities in the market.

Spain’s Association of Developers and Constructors (APCE) projected that, at this rate of property transactions, the Spanish housing market should recover considerably in 2011. With more property being sold than built, the outlook for Spain’s property market is looking increasingly positive.

Rob Wilson, head of overseas at Rightmove confirms that the country is growing in popularity. Rightmove experienced an annual increase in searches for Spanish real estate, an increase of over 8%. It is also the number one destination for UK investors. “I don’t see any signs of Spain losing its number one slot for Brits looking to buy abroad,” Mr Wilson stated.

Source: Select Property

By Angela | Posted in Economy, General, Health, Holiday, Inspirational, Miscellaneous Articles, Property, Tenerife, Things to Do | Tagged , , , , , , , , , , , , , | Comments (0)

European Court could slash pension annuity rates for Brits living in Tenerife

February 15, 2011 – 11:40 am

Pension funds can be boosted by purchasing prime property in Tenerife

It is possible that on the 1st March, the European Court could rule that current use of gender to calculate insurance premiums, including pension annuities, are in breach of sex discrimination laws. If unisex rates come into force, men, whose current annuity rates are said to be up to 10 per cent higher than those offered to women due to lower life expectancy, could see their annuity rates slashed.

Nick Carlile, Founding Partner of Platinum Portfolio Builder, urges everyone, not just those approaching retirement, to consider alternative investments to provide for their retirement. Nick comments “on top of reports that annuity rates fell 3% in 2010, once again, the dreams of many for a comfortable retirement could take a further battering, as they realise their annuity rates could be cut between a further five and ten percent.

Such a change is likely to create further resentment by investors who are passing their capital to an insurance company, rather than to their heirs.” From 6th April the compulsion to buy an annuity is to be scrapped. Nick Carlile advises those capable of meeting the government’s minimum requirements and demonstrating that their fund, plus their state pension will generate an income of around £20,000 a year, to look towards investment freedom and consider alternative options for their pension pot.

“A combination of steadily rising rentals, a fundamental shortage of housing and the UK pension situation looking increasingly frightening to people approaching retirement, is presenting appealing opportunities for passive buy-to-let investors. With improved loan performance in the buy-to-let market, which grew 7% in 2010, experts have suggested that the buy-to-let market is on the front foot again and entering a period of growth.

“If handled correctly, the benefits are twofold, providing regular rental income along with increasing capital gains. Crucially, the rental income will rise over time in line with wages and prices, so in real terms you’ll be protected against inflation as you get older. Plus, unlike many annuity schemes, the assets remain untouched ready for when you decide to sell or the property will go into your estate on death which could be passed to heirs.”

This decision may change the views of those thinking of retiring in the sun in Tenerife and the Canary islands  and it is clearly worth checking what your future retirement fund may be, particularly if you are looking to buy or rent prime property in Tenerife.

Source: Platinum Portfolio Builder

By Angela | Posted in Economy, General, Health, Holiday, Inspirational, Miscellaneous Articles, Property, Tenerife, Things to Do | Tagged , , , , , , , , , , , , , , | Comments (0)

Older generation wiser on property matters

September 2, 2010 – 8:54 pm
Time to search for that property in Tenerife?

Time to search for that property in Tenerife?

Results from the latest Worldwide Property Group confidence tracker survey reveal some interesting differences between the generations. Although the vast majority of people who took the survey are of the opinion that property prices will not fall over the coming year, there are large differences in opinion between the generations with the 45 – 54 age category showing the greatest confidence.

60% of respondents within both the 45-54 and 55-64 age group expect prices to rise in the next 12 months versus just 23% of the 35-44 age group. What’s more a huge 100% of 45-54 year olds believe that right now is a great time to buy  property with 90% of the opinion that the current market  offers excellent opportunity overseas; indeed 80% are currently considering buying an international property. This is in stark contrast to the under 25′s where just 50% feel that today is a good time to buy a property in the UK.

Interestingly, less than half of all respondents are of the opinion that interest rates will increase over the next 12 months with 7% actually expecting a further reduction. On the subject of investments a huge 75% said that property offered the best investment potential of Property prices all major investment options.

Commenting on the figures, Kevin Wilkes, Managing Director of the Worldwide Property Group said: “It is interesting to see how different groups have differing opinions regarding the property market, but actually not that surprising.  may seem very high to the younger generations where many are still looking to buy their first homes. However, affordability has dramatically improved over the last few years and if our survey respondent’s interest rate predictions are correct this will remain the case for quite some time.

Confidence in property as an investment continues to ride high as it offers great stability when compared to other investment categories and can provide much greater returns and safety in the long term. Interestingly shares didn’t receive even one vote.”

By Angela | Posted in Economy, General, Health, Holiday, Inspirational, Miscellaneous Articles, Property, Tenerife, Things to Do | Tagged , , , , , , , , , , , | Comments (0)

A good time to buy in Tenerife and Spain?

July 11, 2010 – 12:00 pm
A good time to buy property again in Tenerife, Spain and the Canary Isles.

A good time to buy property again in Tenerife, Spain and the Canary Isles.

Is now a good time to buy property in Spain and Tenerife? The current Minister of Housing says yes, the former Minister says no.

Beatriz Corredor, the current Minister for Housing, recently said in an interview with the Spanish daily El Pais that now is an “optimum” time to buy a home in Spain. “We have a huge selection, low interest rates…..The fiscal and financial situation means that now is an optimum time (to buy).”

True, she was talking about primary residencies, not holiday homes. Even so, I’m sure she would argue that now is a great time to buy any kind of property in Spain. She was responding to the following question from El Pais:

“Your predecessor María Antonia Trujillo told El Pais on Wednesday that she wouldn’t buy a flat now, that prices should fall from the peak between 30% and 50%….What do you make of her comments?” Her predecessor  doesn’t think this is a good time to buy. “I’ve been looking to buy for three years. I would not buy now,” she told El Pais, also saying she hopes prices correct (by up to 50%) “as soon as possible”. Trujillo, who was Housing Minister from 2004-2007, is free to speak her mind, unlike the current Minister, whose job it is to talk up the market.

So, who is right? Corredor, the current Minister, or Trujillo, her predecessor? Is now a good time to buy a home in Spain? There is no doubt that now is the best time in years for cash buyers. Prices in coastal areas have fallen by up to 50% (or more), there is more choice than ever, and cash buyers can find good value for money (and a lot of over-priced rubbish too).  The economic situation is still dire, and prices might fall even further, especially for Spain’s glut of undesirable property. We  don’t think prices for prime and A-grade Spanish property are going to fall much further, so Corredor is probably right if you look just at these segments. Trujilllo may be right when it comes to the rest of the market.

The worst time to buy was during the boom, when prices went through the roof, quality crashed through the floor as the economy strained to build too many houses, and every cowboy ever born jumped into the business looking for easy money, financing wasn’t a problem then.

Are cash buyers looking for prime and A-grade property in a better position now? Certainly, so if you are planning that purchase in Tenerife, Spain or the other Canary Isles, now may well be THE time!

By Angela | Posted in Economy, General, Health, Holiday, Inspirational, Property, Tenerife, Things to Do, Uncategorized, Weather | Tagged , , , , , , , , , , , | Comments (0)

New trends in property purchase to aid Tenerife?

October 18, 2009 – 12:42 pm
banksspain

New trends in holidays may mean that property purchase in Tenerife can be a wise investment.

The holiday season may be over, but it appears that trips abroad this summer have inspired many of us to buy our own home overseas.

Conti, the overseas mortgage firm, report that they have just had their busiest month since the beginning of the year, with a 20% month-month surge in mortgage quotes issued during September. The value of mortgage applications submitted by the company to overseas lenders also rose to a year high.

As property prices fall across Europe, the chance of owning a holiday home abroad may never be better, and with rates at an historic low, it’s even more affordable for British buyers.

Clare Nessling, Conti’s Operations Director, says: “The ‘staycation’ trend may have reduced the number of  Britons holidaying abroad this summer, but many of those who did venture overseas have returned home with plans to buy their very own place in the sun.

“As the darker nights return and the all-too-short British summer comes to an end, it’s very easy to dream about sunnier climes. But it can be more than just a dream. Affordable prices, low interest rates, and a healthy appetite by overseas mortgage providers to lend, are all making it easier to buy property abroad. Easy access to the more traditional locations like Spain and the Canary Islands, together with good rental opportunities, are also contributing factors.”

According to Conti’s recent hot spots report, they have had 22% requests on property in Spain.  It seems that buyers are sticking to the locations they know and trust and shunning the more adventurous emerging markets like property in Bulgaria and property in Dubai.

Conti says that there’s a growing feeling of confidence amongst prospective buyers, and that savvy investors are more willing to explore overseas opportunities in their search for better potential returns on investment than they are achieving in the UK.

By Angela | Posted in Economy, General, Holiday, Inspirational, Miscellaneous Articles, Property, Tenerife, Things to Do, Weather | Tagged , , , , , , , , , , , , , , , , , , , , , | Comments (0)

Spanish property tours to visit England

September 11, 2009 – 4:05 pm
Spanish property exhibitions to visit England

Spanish property exhibitions to visit England

Taylor Woodrow will mark its 50th anniversary by touring England with a series of Spanish property exhibitions throughout September.

The exhibitions will offer people looking to buy property in Spain information on Spanish homes and locations, plus Spanish properties that have been reduced in price by up to 41 per cent, to reflect the recent slump in the Spain property market.

Victor Sague, Marketing Director of Taylor Woodrow de Espana, said, ” From talking with our estate agency partners in the UK, we expect there to be significant interest in these offers from both investors and second home hunters.”

Experts will be on hand to advice house hunters at each of the exhibitions, which will be held around England from Sunday 13-23 September.

There are many homes available in seaside and golfing locations throughout Mallorca, Costa Blanca, Gibraltar and Marbella,  Tenerife and the Canary Islands. A  high number of homes will be sold throughout the couple of weeks of exhibitions as it will provide house hunters one last chance to buy a quality home at a fantastic price. It really is now or never for people to take advantage of these top quality homes as these discounts will not be around for long.

By Angela | Posted in Economy, General, Golf, Holiday, Inspirational, Miscellaneous Articles, Property, Tenerife, Things to Do, Uncategorized | Tagged , , , , , , , , , , , , , , , , , , , , , , , , , | Comments (0)

Spain and the Canary Islands still popular for those seeking investment property

August 21, 2009 – 10:53 pm
Brits still planning to buy in Tenerife

Brits still planning to buy in Tenerife

The USA knocked Spain off the top spot in July’s Investment Property watch chart – which tracks the level of interest in certain properties and countries from visitors to the site . Madeira island is gearing up for an influx of new visitors from all over Europe as Spanish airline BinterCanarias starts new direct flights to bring in travellers from the Canary Islands. However Spain and the Canary Islands remain popular with those looking for holiday properties and second homes in the sun.

By Angela | Posted in Economy, General, Holiday, Inspirational, Miscellaneous Articles, Property, Tenerife, Things to Do, Uncategorized, Weather | Tagged , , , , , , , , , , , , | Comments (0)

Brits still keen to buy property abroad says survey

August 9, 2009 – 10:41 pm
Brits and Europeans still keen on property in Tenerife and Spain

Brits and Europeans still keen on property in Tenerife and Spain

Results for the 2009 International Survey conducted by primelocation.com show that 70% of visitors to their site are actively looking to buy an overseas property, despite the current economic uncertainty. Of all respondents, 28% said that they are unaffected by the current economic situation, 22% who had delayed their plans because of the economic climate are now back in the market and hope to find a bargain, while 10% said that they are checking out the market but will not proceed just yet

Ann Wright, International Business Development Manager for primelocation.com, says; ‘This is very clear indication that people have not let go of their dreams of owning a property abroad. Indeed, it is encouraging that people are coming back to the market, possibly because of recent press reports of falling property prices across Europe.’

The primelocation.com 2009 International Survey also monitored the countries the portal’s visitors are most interested in buying in; France took top spot with 25%, Spain came second (16%) and was followed by Italy and Portugal which tied in fourth place with 11% each. The United States, Cyprus, Greece, Switzerland, Turkey, Canada and the UAE took the rest of the top 10 spots.

‘It is interesting to note that over a quarter of all respondents currently own/rent a property in France and interest in the country, which has always been the first choice amongst Brits, has remained fairly stable at 25% since 2008. Spain  and Tenerife has increased in popularity since 2008 as people respond to the reports of falling property prices.

“The percentage of people looking to buy holiday homes overseas remains unchanged from last year’s survey (48%), which reinforces the notion that interest is still there despite the worsening economic conditions, “ continues Wright. “However, the number of people moving abroad permanently has decreased; this is possibly a result of the fluctuations in the value of sterling against the Euro. Also, property prices and the oversupply of rental properties in continental Europe mean fewer people are buying with a view to using the property as an investment or income generator.” Not surprisingly, coastal locations are ranked No.1 by all respondents who are currently looking to own or rent an overseas property, followed by tranquil village settings.

‘Planned spending levels are very similar to 2008, which further strengthens the notion that interest in overseas properties has not been significantly impacted by the economic climate. Also similar to last year’s survey results, most respondents said that they want to buy a property that requires minimal work, buyers want somewhere they can start to use and enjoy straight away,’ concludes Wright.

Primelocation.com 2009 International Survey also found that buyers prefer to use an estate agent in the country in which they are buying. UK based agents are also popular because they give the buyer the reassurance of an English speaking service and expert, reliable advice of the processes of buying abroad.

The survey results also indicate that buyers start their search on property portals, which give them access to a wide range of estate agents both in the UK and abroad. Once they have narrowed down their search they are happy to use the services of estate agents who have properties that fit their requirements.

By Angela | Posted in Economy, General, Holiday, Inspirational, Miscellaneous Articles, Property, Tenerife, Things to Do, Uncategorized | Tagged , , , , , , , , , , , , , , , , , , , , , , | Comments (3)