As we wrap up 2010, we can take a little time to look back over the past year. The Spanish property market has definitely fought back from 2009, and although it hasn't been a walk in the park, at long last there is movement in the real estate market. A lot of this movement is powered by bargain hunters looking to snap up deals on properties that have been dramatically reduced in price.
So what about the more traditional buyer profile on the Costa del Sol: people looking for a holiday home or an investment property? With over a million web searches a month Spain is the number 1 holiday destination for the UK. Add to it Andalusia's current push for tourism and you can quite clearly see why the market is continuing to recover.
The third quarter statistics show an increase of property sales by 12.9% in comparison to the previous quarter, which completes three consecutive quarters of growth. In terms of year on year comparisons, 2010 shows a modest recovery compared to the record lows of 2009: twenty-seven Spanish provinces showed positive growth figures, with some provinces showing over 30% growth. Most of the coastal provinces, which were especially hard-hit during the downward cycle, also show a moderate recovery in property sales.
Statistics taken from: Real Estate Statistics Register
Marbella City Council has announced it will legalised around a thousand houses before the end of 2010, in the process of "adjustment through compensation" determined under the new General Urban Plan (PGOU). The plan is for the promotors and builders of these illegal homes to compensate the city, via cash or land, for the "excesses carried out" in constructing the homes without permission. There are almost 17,000 illegal homes being studied for legalisation in the town.
The Town Planning Officer, Pablo Moro (PP), has said in a press conference that before the end of the year the townhall is expected to approve a dozen orders that will legalise a thousand homes and that the process "marks the beginning of the road to compensate the city through the acquisition of land for facilities. "
Source of article: Almeria Property Talk
Well the volatility of the currency markets in 2010 has certainly been the cause of a few nervous breakdowns this year.
Until the eurozone debt crisis reignited at the start of October, sterling had been rapidly losing ground to a dominant euro, Then in September, when the Bank of England began to make noises about cranking up the printing presses again with more quantitative easing, sterling dropped back from just below €1.24 to levels as low as €1.12.
But recent strong data for the UK economy, (which quashed the threat of more quantitative easing for
now), the Ireland bailout and the fear of Eurozone 'contagion' has seen the pound recover to its current level, even briefly popping its head above the €1.19 parapet.
With less than 12 shopping days remaining until Christmas I don't expect much movement in the rate before the end of the year. I do however; have high aspirations for sterling going in to 2011.
The pound should continue to outperform the Euro next year, and I'm targeting the lofty heights of 1.25/1.30 by year end.
Now I can practically hear all the sharp intakes of breath from the doubting Thomases amongst you who have just read that last sentence and are shaking your heads in disagreement but let us not forget:
· The UK economy is set to grow by around 2.5 % whereas the eurozone will, at its very best, be flat.
· Italy & Spain need to raise a staggering 600 Billion in the bond markets!
· Germany, the economic driver and growth engine of Europe, is set to watch its growth dip to 1.2%
· And above all else, the UK has the ability to set its own monetary policy!
All in all 2011 is looking like it could be critical to the very survival of the euro. I don't doubt for a moment that the Euro will remain intact; but it certainly has some very difficult days ahead.
Source of article: Currency Direct
The sample below looks at apartments and villas in the ten most expensive areas based on two factors:
· The average listed sale price
· The average price per square meter
These figures are not sales figures, simply an average of the currently listed properties.
Source of article: Resales Online