The Market - Bottomed Or still more to come???

Hi Alan there is always going to be a degree of development where there is land available. The upside is that Andalucia as a region is becoming much more protective of its landscape - not that it wasnt before but I think they thought they had passed responsibility to a safe pair of hands - this was clearly not the case and hence we have the debacle we are in today. The regional govt is taking a much more active interest in how the coastline develops - hence a lot of the beach restaurants will disappear as the govt considers them an eyesore and should not be there - to be honest I will mourn their passing - nothing I like better than spending Sunday on the beach at Palm Beach Los Monteros and then wandering to the chiringuito for a bit of catch of the day and a glass of tinto or two to sleep it off in the afternoon sun -  but if it means it is for the greater good then so be it.  

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Plexx sorry about the length but everything about me is long

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"....but if it means it is for the greater good then so be it."

I just this minute posted in another thread a reply to one of yours, and used the exact same term - "...the greater good". Now they'll all know that we are in fact one and the same. 
 

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You wanna be Spader or Shatner - guess I had better be Captain Kirk as he is the older of the two.  

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Wow. Smiley!  Took me so long to read it (and put my earplugs in because of the shouting) that I had to go back several times.

It would appear that there are two types of buyers.  Those that want a place to live and enjoy their time in Spain and those that want to make a quick peseta or two.  If you see a house you like and want to live in, you will buy it.  If you want it as an investment, you will pick anything provided you get a good deal.  This is the same in the UK at the moment.  People buying on a "buy to let" will take the cheapest thing around and still try to knock loads of the price.  People looking for a home will outbid each other until they get it or reach their limit.  Personally, I'm in the place to settle down in market.  Therefore, if I see what I want, I will go for it.  Unfortunately, I'm both a seller and a buyer at the moment.  As a seller, I'm told it's a buyers market, as a buyer, I'm told it's a sellers market.  This means taking a cut on the one I'm selling but paying top whack for the one I'm buying because it's the one I really want.  Entre la espada y la pared comes to mind.  For all the Brits, between a rock and a hard place!!!

PS only posting so much cos I'm stuck in the Atico.

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"...As a seller, I'm told it's a buyers market, as a buyer, I'm told it's a sellers market."

Thanks Bob, at last, someone who agrees with me, that this "it's a buyers market" crap only applies if you are trying to sell! If you are trying to buy, it's always a bloody buyers market - when has there EVER been a shortage of properties available. But on the other hand, there has never been a time (yet) as Smiley says, when the Spanish will drop their price, so to imply that there are bargains out there is somewhat misleading. There are, but they're bloody hard to come by, and the properties that appear to be going for a song, are usually cheap for a reason.

Equally, it's always a sellers market. If you are genuinely motivated to sell, there is always someone out there who will buy your property. But NEVER if the price you're looking for is way over the top. My neighbour currently has his apartment up for sale at €300K, but has had no takers. Personally, I believe the property (which is identical to mine) is worth around €260 - 270K. I would be happy to get that figure - but I'm not selling. My (Spanish) neighbour will not drop his price, and as Smiley pointed out, come January when he still hasn't sold, he will put the price up by around 3%, because that's what the Spanish do. So - if someone wants to buy in our block is it a buyers or sellers market? Who knows?

I recently bought another apartment at a price I believe was a good deal. It came to me via an agent friend, who got it from another agent, who got it from a lawyer who had power of attorney for the elderly English owner who had returned to the UK. By the time both agents and the lawyer had taken their cuts, the seller was left with probably 85% of what I paid, but presumably was still happy with that. Buyers or sellers market? Estate agents market in this case, I guess, and good luck to them.

To tell you the truth, I'm as bewildered by all this analysis of the markets as I was by my economics teacher 20 something years ago, which is why I chose to spend most of my lessons in the pub on the other side of the Thames. It also boasted far better views than the classroom, plus draft beer and a bar-billiards table.

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Bit like second hand cars then chaps? Seems as if my economics teacher had moved to your school by the time you started A levels then young whippersnapper!! Couldnt quite see the Thames from the pub I was in - almost but not quite!

This message was last edited by Smiley on 4/7/2007.

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I just knew that if I said the "older ones where sleeping", that the member would get a response.................

And WHAT a response!!!!

Well done Smiley, knew it would be you, albeit a bit "shouty" he he he!!!

Quote:

Plexx sorry about the length but everything about me is long

Smiley? Behave ok?!

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When do I ever behave? And if I dont say it nobody else will - I am allowed the odd illusion or is it delusion of grandeur? Oh and by the way whatdya mean "some of the older ones are sleeping" hope you werent referring to me - I am a mere snip of a youth

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HI Guys,

Has the market bottomed? i suppose it depends on the area ,i could not comment on the CDS because it's not my area but i would imagine it is coming back to a normal market after years of false prices and over average volumes of sales.

Working on the CB i would say that this is the true market now and not the over inflated killed in the rush period that the housing market has been going through over the past ten years.

The problems we are suffering now is that people who bought 2-3 years ago are looking to sell and make a good profit ,this has caused a saturation of resales and as always new build property.Of course the people who bought at false levels are now trying to pass this on and are now finding this difficult.

The housing market regardless of where you live always has a cycle ,usually of about eight years where it will stagnate and then return to kick on again.

I saw this in the late 80s and then again in the mid 90s and then having moved to Spain saw prices rise astronimically.

There are developments around that are still rising in price ,and builders are still selling with periodic price increases especially in the Murcia region,Guardamar prices increased by an average of 12% last year giving strength to the addage that quality will still sell and continue to rise.

As an agent i have seen the rise and fall of many around me be it in Spain or the UK coming to the conclusion that the true agent will have to use all their skills to survive in this economic enviroment.

This is the true market place and the good guys will survive and hopefully the bad will fall.

At least now whenever a prospective client comes to Spain to buy they are not clouded by the previous years over inflated estimate of price increase and profit to come.

Let us not forget that the reason people will buy in Spain is because in general it is great place to live and as the infrastructure grows will become open to more and more people.

This will continue to push the market on as the alternatives are,Bulgaria,Turkey,Romania or watch your pension fall short of the cost of living in the UK while watching the country turn into the 3 affore mentioned countries.

So to summarise i think the return to reality may be a shock to some but prices after levelling this year should kick on again next year probably resulting in some of my fellow agents downgrading their X5's for a crash helmet!

As you can see i am having a quiet day in the wettest easter i have ever seen in Spain.

Here endeth the surmon.

LOL

Regards and Happy Easter to all.

Georgia

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That was a very informative an interesting post Goergia, thank you................

And just for info.........we are having a glorious Easter in sunny Surrey!

We have spent the last 3 days basking in the garden!!!

Bliss!

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Georiga - a perfect summary. On the CDS it is the same and i could not agree more! I thik it will be longer than a few years though but in essence there is nothing I could add to your eloquent email.

We must meet up sometime as its good to hear from a kindred spirit in another part of Spain.

Have a good day

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Found this very interesting

http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aCk.OYMSRtDA

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Hi Georgia,

Yes pretty well sums up Costa Calida too.

I can just imagine you on a damp bank holiday deciding between "do I update the website" ?- "shall I clean the windows"? - "should I ring some clients"? - naaaa I`ll do a quick analysis for EOS - probably the best way to use the time anyway.  I chose to have a very long weekend off but still ended up doing the same thing as you but from my front terrace at home, at least I had a glass in front of me for consolation purposes.

I´m not sure when we will pick up here though.  This Easter has been a non-starter compared to Easter in the good old days.

No one sympathises though because our industry has a bad reputation, it´s a bit like a millionaire complaining about the servants!

I now know of at least 11 agents in my area who have closed since Christmas.  It´s a bit of a natural cull I suppose.  I just hope I dont get a club over my head!

I made a really big move over to new-build about 3 years ago, prior to that I did 95% resales.  Now I do 95% new build, and it´s the trickle of commissions from sales made over the last 2 years that have kept my head above water.  It pays all the bills and the odd resale gives us a bonus.

As to the title of this thread, I still feel it could get worse if his Gordonness comes to power, it  will probably suppress the UK market and consequently ours.

So I haven´t ordered my new X5 yet!!!

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Rixxy

As you can see i was rather bored yesterday and decided to break into verse.

I am glad you agree and from someone like yourself it comes as a compliment and confirms that i not going mad.

It has stopped raining at last!!!!!!!!!!

Hopefully our paths will cross at some point as i may venture south to see friends down there soon.

Kind Regards

Georgia

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Hi Gillespie,

Yeah i know what you mean about the traffic slowing for easter,at least i will be able to see the guy with the club coming(mental note,stay clear of the beach!!).

We do predominantly resales now as the average client around here loking for new build generally get trapped in a car for 4 days with one of the big boys and released on promise of signature.

I think it's a kind of selective evolution with the agents around here,only the strong will survive!

Please apologise to your X5 for any offence caused.

Regards

Georgia

 

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To Richardc  We used to live your side of the cds until they started to build on every piece of ground they found empty (and still building) the area you are thinking of buying is nice in places but the prices have also risengreatly over the last few years ,golf courses always have high prices and there is more & more courses on the the plans in many areas we dont play golf and they are not the safest places to live as a good friend of has a townhouse on a course and the first year he had two broken windows a ball even landed on the table lunchtime one day and broke some plates he gets so many balls in his garden he is thinking to open a second hand golf shop. Remember the cheap apartment is nearly always ground floor because they are the coldest in Winter , you have all the noise from the the tap dancers upstairs,and burglars love them as mostly you cannot leave any items on your terrace for a few  moments before it walks.If you are planning to use it mostly in the winter it must face South/Southwest or your freeze also some buildings have no damp course and rely on it not raining too much,myself I would go for a top floor every time if I could and not off plan you never know the finish date as they mostly run six monthes late or more, if you go along the coast to the area around Duquesa you can buy a penthouse thats finished for just over 200.000 e the area has much to offer ( Im sounding just like an estate agent) it depends what you are buying for if its to make some cash I would put in the bank first as it could take many years to make any as its not even built yet.  best of luck whatever you do  Regards Rosi n

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quote Georgia - Please apologise to your X5 for any offence caused.

No worries Georgia - That went 3 years ago.  Now I have a 7 seater Megane 3 years old with 100,000kms  Think I´ll have to down-grade again .  At this rate I´m gonna end up with an ex telephonica van!!!

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"At this rate I´m gonna end up with an ex telephonica van!!!"

This really belongs on the Telefonica thread, but when was the last time you actually SAW a Telefonica van, let alone an engineer with it?

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There are loads around all driven by ex agents!!!! 

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