Spanish property market continues to offer bargains

While Spain’s economy continues
to suffer under the weight of huge banking losses, the country’s property
market continues to offer huge property bargains to canny investors.  Estate agents believe that prices in
parts of the country have fallen by up to 50 per cent from their peak, with
banks desperate to offload property assets.

However, if you’re thinking of
grabbing a Spanish property bargain, it’s vital that you don’t cut corners or
fail to do your research.  If you
don’t heed our expert’s advice below, you could end up out of pocket.

Experts warn Spanish bargain hunters to beware

The Guardian reports that ‘there are reports of bargain hunters
flocking to Spain to buy at knockdown prices, lured by scores of websites
promising ultra-cheap properties and loans’.  Spain built 760,000 new homes in 2009 – five times as many
as the UK.  Many of these are now
empty thanks to developers going bust and a slump in demand due to Spain’s high
levels of unemployment.

While there are plenty of
property bargains to be found in the country, experts are warning that buyers
should still tread carefully when buying homes in Spain.

Claire Nessling, an overseas
property expert, told the Guardian: “Be
very selective. Many so-called bargains are being offered at bargain basement
prices because they are of poor quality and in undesirable locations.

While Spanish banks are keen to offload property at knockdown
prices, it’s vital that you do your homework.  You could end up purchasing a flat in a so-called ‘ghost
town’ where there are hundreds of flats but precious few residents.

In addition, it’s vital that you
take property legal advice when you buy property in Spain.  If you don’t, you could end up facing
taxes and charges you don’t expect. 
In addition, failing to get the right advice could leave you with
problems in the future if the correct planning consent wasn’t obtained or if
there are issues over title and ownership.

by Nick Marr