Eye on Spain property for sale

Hi all - It's really just a follow on from my previous thread about unrealistic property prices.

Of the 101 properties on the list only 18% are below 100k euros!

Eleven of these or one ore two bed-roomed apartments with some prices up to just under 100k!

Is it because people are just leaving the prices as they put them up for sale or is it because they need to pay off mortgages?.

When you go onto other property sites the prices for properties in the same general area do appear to be substantially cheaper.

As a house hunter I only give them a cursory glance once I see the actual "value for money" and then move on.

Just an observation really.

Hi Steve

Not all two-bedroom appartments are worth under 100K, despite the current market situation. There are some very nice two-bedroom town houses in superb locations advertised on this site which you may struggle to get for under 130/140K. Some advertisers, like me, would rather sell their properties "to themselves" than let them go for a lot less, especially if they're not desperate, either because they don't thave mortgates to serve or because rental money keeps coming in.

Speaking to an estate agent recently, pointing out the same fact you mention, Bri....that some properties seem to be massively over-priced, I was told that alot of sellers are leaving the prices as they are rather than continuously moving them downwards to reflect the market price.  It seems that, whatever a place is priced at, more likely than not a prospective buyer will offer a price well below the asking price...even if priced at today's market value.  So, of course, the usual saying goes ie; a place will sell for a price that suits both seller and buyer, whatever its advertised price.

 5 years ago Like for Like Properties same as my Property were changing hands at  €345.000.

Today owners who want to sell are trying to get €220/245.000. Properties are still not selling.

Asking these prices are putting sellers into nil equity. Some who can ill afford to accept a big loss on for some people there only asset.

Without a property back in UK.

When I purchased my property off plan back in 2001. I paid considerably less with a good exchange rate of 1.60 to the £.

With improvements to my property eg Pool, Garage also including Fully furnished and my car in the sale. I would still expect to turn profit.

The only thing is I am not for sale.

With the Sun in my heart I am in it for the long term.

Yes!!!! I have a very nice retirement bungalow back in UK.

Council tax UK at £1500 per year where my IBI in Spain is only at €365.

I know which side of the water I would rarther be.

Me and the wife have always said that if we only get back what we have spent it was never done for profit.

Good luck to all those selling and buying

 It should also be realised that many people paid a lot of money for their properties.  OK, I agree they were over priced but even property from 10 or so years ago (when they weren't that bad) are going down because people are having to move back, a lot mainly due to the crashing pound.  The pound may be getting a lot of people wetting themselves at the moment because it is at 1.25 but, back in the day, 1.60 was the norm and even up to 1.75 for the odd occasion.  Now, I know people who spent €120,000 on flats which was around 80 grand in pounds if you take it at 1.50.  They have reduced the prices down to around 60,000 euros which means that, after 10 years, they are taking a big loss in whatever currency you want to use.  A neighbour where I used to leave decided to sell his flat, which he paid €120,000 for, offered at €61,000.  Those who now want something for virtually nothing offered him €45,000 for it.  Sod off, he said, and gave it to his daughter.  If you want something for virtually nothing, buy a bloody tent!  Unfortunately, many people are now trying to get in at rock bottom prices regardless of the hardship it will cause to the sellers.  Also take note that many people will have paid thousands on top of the price to furnish it, fit security grilles, do the garden, tile outside areas etc etc which those trying to get something at rock bottom prices will expect to get for free.  

You also get post after post saying "I thought 60 grand was a good price" and will get replies of "Offer him 20, if he's desperate he'll accept it."  No wonder property prices are going so far down it attracts the Ibiza and chav type buyers. 

I totally agree with you boaol

 " Also take note that many people will have paid thousands on top of the price to furnish it, fit security grilles, do the garden, tile outside areas etc etc which those trying to get something at rock bottom prices will expect to get for free.  "

Bobaol, those things above you describe normally dont add a lot of real value to a property, they are cosmetic enhancements done for personal benefit. Your comment about "Ibiza and Chav" buyers i feel is incorrect if not patronising. Whose fault was it the properties from year 2002-2007 were falsely valued and massively overpriced? Not the current buyers but the banks,valuers and builders. The real cost to build and land values are massively lower and always were. Most of these "idntikit" apartments,quads and townhouses are not in London,Paris, Barcelona or Monte Carlo. Reality check needed, a massive property fraud was committed but dont blame those who now wish to purchase at what the "real" prices should be.

This message was last edited by ojosazul88 on 16/05/2012.

Dear All,

as Maggie said "you cannot beat the market" whether you cheer or cry at what the market has done, it will make no difference.

it seems that the "bubble" persuaded ordinary people to become "investors" or "speculators" risking all to buy multiple properties, in Spain with the hope that it was as safe as the UK. Even taking out multiple mortgages.

the "happies" told us it was, the victims found that it was not - more a crooks paradise.

well it is now over - cheer or cry - no difference.

Regards

Norman

 I purchased my house in 2007 for 276000€ and taking account of the change in exchange rate,am now marketing it  at 199000€., which should be a fair price!!!

 On my Urb there are numerous `New Build` properties that have stood empty since this date and recently a large number have suddenly 

  been marketed from 115000€!!! .To compete, and as previous entries have stated regarding the addition  of cosmetic touches,i.e      swimming pool,tiling.furnishing etc,not adding any significent value to the property.I therefore can expect a loss approacing 80/90000€.

 Sorry to say my glass is half empty!!!!!

Steve, please forgive me if you think I'm being 'nosey', but why are you selling your property?  I assume it's out of necessity.....for yourself and many others, if you know you will make a large loss....unless you know you can buy something else (in the UK?) with the money that would have cost alot more in 2007.  We have heard from people who are not interested in selling their Spanish property as they can manage to keep it going and they don't want to sell it anyway.  I ask the question of yourself and others that want to sell their place in Spain as I am curious to know whether most of the reasons for sales are financial/economic.  Perhaps, as Norman has pointed out, many saw their Spanish property as an investment that hasn't turned out as expected.  I'm wondering if it's a different case for those that bought their Spanish property purely as their new home or as a place in which to spend their holidays for many years to come.  Of course, as we know there are others, like Norman, who would have loved to keep his Spanish home for many years to come....if only he hadn't been a vicitm of Spanish corruption.

 Hi Steve.

Just to take Property purchase back a few more years to when I purchased an off-plan property Nov 2001.

Cost €128.000 for a 3 double bedroom House with fantastic Sea views.

I then secured a forward currency purchase with a well-known company with a Euro exchange rate of €1.6475 to the £. Giving a purchase price in Stirling of £77.693.47.

On completion in December 2003 the same property was selling at €200.000 I know this as some of the late purchasers Notarised on the same day as me. The builder had taken some properties back where people had just pulled out over the 2 year build time. Yes they all sold at 200k

At around the time 2007 you purchased your property. Like for Like to mine were selling at €345.000. (OK I remember one selling at this price). This is the same property that is now up for sale at €245k and not sold after 18 mths.

There used to be a saying that if you purchased off plan by the time your property was completed it will have grown in value 30% this was normally the case.

Even in some cases the developer purchasing the property back from you giving you a small profit on your return. This was perhaps as Norman pointed out when people would purchase multi properties. It worked for some but most got caught with their pants down. Yes I know a few, but I was never that brave..

If I was selling which I am not. I am sure even asking the 2003 price of  €200k. I would still show a profit on my purchase price even throwing in all the furnishings, the pool, garage and the Car. Yes all cosmetic but nice to have. Today’s Inter-bank rate €1.24 to £1 giving €40.000 above my purchase rate. So there is some profit/loss to be made out of currency fluctuation over the long-term. I can’t remember the 2007 €uro rate.

I am behind every man Jack of you who is fighting their case for Justice. After being miss sold or after paying a deposit and getting nothing.

Banks can spread their losses but we all pay in the end.

I am sure there is some meat to be picked from this so the flack jacket is on.

Even after 11 years I am still learning.

If I am the last man standing in Spain. I will switch off the lights