Home in Paradise or Noose Round Neck

[appy ammer]

We sold our property back in 2009 and got out just in time. Bearing in mind we bought it firstly as an investment and secondly as a holiday home

We have not stopped coming back to the island currently here enjoying the sun, 3rd time in less than a year

We often wonder if we had kept the property on what situation would we be in now. I know it would be approx 40,000 euros less than we got back in 2009. Also the threat of fines for letting out and the continual thought of what is round the corner.

Mad as it might seem we are looking to invest again

[wavell ave]

We sold our property back in 2009 and got out just in time. Bearing in mind we bought it firstly as an investment and secondly as a holiday home

We have not stopped coming back to the island currently here enjoying the sun, 3rd time in less than a year

We often wonder if we had kept the property on what situation would we be in now. I know it would be approx 40,000 euros less than we got back in 2009. Also the threat of fines for letting out and the continual thought of what is round the corner.

Mad as it might seem we are looking to invest again

can you lend me /???

[SheilaW]

Why invest loads of money (at least, loads of money you can't afford to lose with no more than a shrug and a sigh) in something so far from home over which you have absolutely no control? Mind you, I believe there were loads of "experts" at the time urging everybody to do what they must have known was technically illegal, even if the laws weren't being enforced. They should all have been jailed, IMHO, if they couldn't afford to cough up lost rental income in fines.

Glad to see you aren't disillusioned with the place. Investing money you can afford in your own place in such a fabulous spot (even if you can only enjoy it for a few weeks every year) is an investment in your own life. And whatever the property is eventually worth, you'll still be able to leave a holiday home to your kids, if that's important to you. Of course, if you'd kept it you'd probably have been no worse off, as you'd still have it to sell if/when house prices climb, and you wouldn't have had to pay for all that holiday accommodation.

[Ivemovedon]

I'd say it depends wether you can afford to run the place without having to rent. I certainly wouldn't chance it if i had to rely on that. Having said that i wish i was a buyer at the moment as i reckon you could get a fantastic deal right now. You watch em all scuttling to jump in when prices do start to rise. You'll be fighting minrich to get in the door of the nearest estate agent.

[appy ammer]

I'd say it depends wether you can afford to run the place without having to rent. I certainly wouldn't chance it if i had to rely on that. Having said that i wish i was a buyer at the moment as i reckon you could get a fantastic deal right now. You watch em all scuttling to jump in when prices do start to rise. You'll be fighting minrich to get in the door of the nearest estate agent.

so Stedge are you

stick it out and hope for the best

or

happy with your lot

[appy ammer]

Why invest loads of money (at least, loads of money you can't afford to lose with no more than a shrug and a sigh) in something so far from home over which you have absolutely no control? Mind you, I believe there were loads of "experts" at the time urging everybody to do what they must have known was technically illegal, even if the laws weren't being enforced. They should all have been jailed, IMHO, if they couldn't afford to cough up lost rental income in fines.

Glad to see you aren't disillusioned with the place. Investing money you can afford in your own place in such a fabulous spot (even if you can only enjoy it for a few weeks every year) is an investment in your own life. And whatever the property is eventually worth, you'll still be able to leave a holiday home to your kids, if that's important to you. Of course, if you'd kept it you'd probably have been no worse off, as you'd still have it to sell if/when house prices climb, and you wouldn't have had to pay for all that holiday accommodation.

Sheila you maybe right about the expat estate agents but it goes further back than that, the lawyers, the banks and the developers.

Did they think we were all going to sell up in the UK and move over? I think not.

I remember being taken into the back room @ Solbank and handing over cash as part of the deal to the manager, what chance did any of us have as were told this was normal practice by all partys involved including the lawyers.

I take it you own here ??

[Ivemovedon]

Happy with my lot i'd say. Rental situation is not great but it only affects me indirectly, although that could change. I don't think anyone whos not happy could do anything other than stick it out. Unless they want to sell at a big loss.

I honestly do think it's a great time to buy under the right conditions. I've seen some superb bargains on the internet and i'm sure the price quoted is nowhere near the bottom line with a bit of negotiation. They just can't go much lower. Thats just my opinion though appy and the mrs says i'm never right about anything.

[SheilaW]

Sheila you maybe right about the expat estate agents but it goes further back than that, the lawyers, the banks and the developers.

Yeah, I rather suspected it did. They may not have been acting illegally in misleading you, but it was certain morally indefensible to not inform you of the pitfalls.

I take it you own here ??

I do, yes, but I actually DID sell up in the UK and move over, lock stock 'n' barrel - via 3 years in Holland and 15 in France, but I got here in the end! 

[Voldermort]

Can prices go lower???..I suspect they can. I`m, basing this on complicated negotiations. At present the ECB (European Central Bank) is putting together the money to create a `Bad Bank` to take possession of all the Spanish Banks toxic loans. At present Spanish Banks are, officially, valuing property way above realistic prices, to avoid them officially going into bankrupcy. However once this plan is in place property prices will be re valuated, downward, with loads simply dumped on the market to see what they actually fetch.

       In the meantime if you come across a property you like being sold by a Bank, bit them  a silly price and wait for them to phone you. You`ll be suprised what they will accept..

[appy ammer]

Can prices go lower???..I suspect they can. I`m, basing this on complicated negotiations. At present the ECB (European Central Bank) is putting together the money to create a `Bad Bank` to take possession of all the Spanish Banks toxic loans. At present Spanish Banks are, officially, valuing property way above realistic prices, to avoid them officially going into bankrupcy. However once this plan is in place property prices will be re valuated, downward, with loads simply dumped on the market to see what they actually fetch.

       In the meantime if you come across a property you like being sold by a Bank, bit them  a silly price and wait for them to phone you. You`ll be suprised what they will accept..

Voldermort, this is the bank (or one of them) that the bad bank uses to sell the glut of property

https://www.bankiahabitat.es/en/en/inicio

i looked up our old complex, there are propertys for sale @ 35,000 euros more than we sold for march 2009 and 75,000 more than you can get them for now through an estate agent

going by this theres noway there going to clear the glut, i assume the bank wants whats owed on the property not what it is worth 

[appy ammer]

Sheila I take you are happy with your lot given the european/world circumstances

All I can say theres worst places to live, enjoy 

[RobnHelen]

Very happy with our lot. We invested in our lives, not to make money. We dont have to rent out. When we retire we will spend 3 to 4 months out here at a time. The house will eventually be passed on to the kids, for them to do what they want with it, although they say they will keep it too!

Happy bunnys! (Out at Easter!!) 

[zedzedeleven]

Come on you lot, only nine votes up to now, get clicking on those buttons.

[Elite of the forum]

Ive voted Zed

[zedzedeleven]

Ive voted Zed

Good lad !

[Paddster]

Me too................

[Ivemovedon]

If the banks are overpicing their property and you are in a position to buy go elsewhere. There's plenty of private sales out there where owners are almost giving them away. If you delay making the move when you can sfford to just to save what might be a few euros your future circumstances may change and the chance is lost forever. Lifes full of might have beens and should have dones.

[appy ammer]

Come on you lot, only nine votes up to now, get clicking on those buttons.

,

zz as you have no opinion on this one, u can look but dont touch 

[Elite of the forum]

you tell him appy interfering Northerners

[appy ammer]

Me too................

Paddy your tent on the beach dont count please remove your vote (ps u need a striker

[peejay]

Wait for the outcome of the new tourism laws in May. If you need to rent to tourists, don't buy a property that can never be legally rented. Or just snap up one of the many bargains that are now starting to come onto the market. As the real implications of the new tourist laws become apparent, I expect property to fall further, as people literally give up on their dream as they can no longer pay the mortgage through tourist rentals.  If you buy right now, you could still lose money in a year's time. Personally, if I didn't already own property here - I would be getting my finances together to make the most of the best opportunities that appear late summer/autumn 13.

[appy ammer]

By the way I cannot see who voted on each option only the number as you can. So you can be honest, vote away

[PeterHeirman]

"They just can't go much lower. Thats just my opinion though appy and the mrs says i'm never right about anything.'
Compare the real-estate chart of Spain with the chart of Ireland. There is 30 to 35% to go. http://www.economist.com/blogs/freeexchange/2010/10/global_house_prices

Moreover as said above the new renting laws and the halved number of Ryanair flights will bring an additional selling wave as those who wanted to pay their mortgage with the rent will not be able to cover their mortgage and running costs. Thus even if the price stat going up a bit you will have bought at the bottom (When we don't know: 2015 - 2016 - 2017 -2018 ?)

Additionally: all those Spaniards having family members without jobs (26%) or kids without jobs (>55%) they will have to choose: keeping the holiday home/condo or support their families.

When the panic (not able to sell anymore) will set in the real price decrease will happen - probably rather fast as all panics and mass movements spread fast.

http://www.rracuna.es/images/pdf/2012.12.30_20minutos.pdf
http://digitaljournal.com/article/332126
http://www.thinkspain.com/news-spain/20739/spanish-brain-drain-turns-into-an-exodus
In the end markets regulate themselves to a fair price  - before reaching the fair price they will overshoot like any self-regulating system.

[Paddster]

appy ammer

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Re: Home in Paradise or Noose Round Neck
« Reply #19 on: Today at 08:46:09 »

    Quote
    Thank You

Quote from: Paddster on February 17, 2013, 12:38:42 pm

    Me too................


Paddy your tent on the beach dont count please remove your vote (ps u need a striker

Brendan - you're out of order ! It counts fella.........................