Spain Real Estate News

What's really happening in the real estate world in Spain? The EOS Team are going to be keeping you up to date with everything that's happening from a market perspective.

Property market to recover next year....
Monday, June 30, 2008 @ 3:37 PM

That's what Spain's housing minister, Beatriz Corredor, has predicted.

"Forecasts by international and national organisations, as well as the government, point to an economic and property sector recovery beginning in the second half of 2009," she said.

Hmmm. I think Ms Corredor needs to get out more. The damage done by so many greedy developers and town halls building so many properties, with many illegal ones too, will take more than a couple of years to fix.

The market was sustained by investors for many years and these have mainly now gone elsewhere. Yes, there are some bargains to be had and many respossessions hitting the market, but this will take some time to correct itself.

2009 is not a realistic time to see the market getting all fired up again.

What do you think? Do you agree with Beatriz Corredor?

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Smiley said:
Monday, June 30, 2008 @ 4:32 PM

Make you right - there has been too much bad news and the global economy is on such a tightrope at the moment that I think she is out by at least 2 years if not more. Despite that there will still be people wishing to buy here for a lifestyle choice but it wont be enough to get momentum going on the property market front.

kenshaz said:
Monday, June 30, 2008 @ 6:28 PM

Spain’s property sector troubles will last at least 3 more years, according to a new report from Euroconstruct, a construction sector forecast group comprised of 19 European research institutes.

Euroconstruct’s latest report on the European construction sector, presented this morning in Barcelona, forecasts that Spain will suffer “a sever adjustment in the residential property market, with output falling 18% in 2008, and 16% in 2009”.

Although the report does not provide a forecast for 2010, Anton M. Checa of IteC, the institute responsible for Spain, explained that “in Spain, after the next 2 years of sever adjustment, activity will continue falling in 2010, but only by 5% to 10%.”

According to Checa “building activity in Spain will not pick up again until the estimated 750,000 to 1 million properties in stock are sold.”

Though it’s problems are the most serious, Spain is not the only European country going through a construction sector downturn. The report forecasts that France, Germany, and the UK will also suffer from falling construction sector output. For Europe as a whole, construction activity is forecast to fall 0.3% in 2008, and grow by just 0.2% in 2009.

Norman Sands said:
Tuesday, July 1, 2008 @ 12:47 AM

The freefall will continue with even good properties only worth 50% and bad properties, which are many, about 30%, around deposit level.
There will be no recovery in the foreseeable future.

The UK is already suffering with sites closing countrywide and workers laid off and that in a country which badly needs more homes.

Time to face it.

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