02:58 PM · Comments Off on Outlook for property prices in Spain for 2014 · Categories: News from Marbella Costa del Sol · Tags: , ,

There is now more movement in the residential property sector, albeit timidly. Next year 2014 will be a better year than 2013 but still the housing market will remain weak and home sales will stabilize and some even rebound, falling prices will be at a slower rate but mortgage lending will continue to be very low.

The experts predict that the coming year will be not as bad as 2013, expecting property sales to stabilize or even rise, 2014 will not be a recovery of the housing market but nuanced, the experts consulted by us claim that 2014 could be the year in which residential business bottoms out although note that the construction sector will not even get close to rebounding.

One of the great burdens that continues to stop the housing market growing is the high unemployment dragging down the economy and which affects the population mainly between the ages of 20-35 years, which is ultimately the ones who should be able to buy new homes and get on the property ladder, in this sense, recent associated data from the LFS ( epa ) reports in the third quarter 2013 when the number of households decreased by 80,000 families on year, therefore it´s estimated that the creation of homes in Spain is practically non-existent in the next two years, expecting to start growing in 2016.

This figure must be added to the decline suffered by the purchasing power of families with higher taxes and falling wages, another negative is the high stock of homes for sale.


12:46 PM · Comments Off on Record falls for those with Spanish mortgages · Categories: News from Marbella Costa del Sol · Tags: ,

With the beginning of the new year lots of expenses like electricity, water and public transport are to rise in price, but mortgages rates for the last two years have recorded record falls and this will give joy to those with mortgages.

The fall of the Euribor rate at end of 2013 to 0.54% will make a reduction of 3 or 4 euros per month.

The Euribor, the main indicator for calculating mortgages is expected to close the year at 0.541 %, representing a fall of 6 a thousanth 0.548 % compared to December 2012.

The percentage of savings you’ll get each month will vary depending on the years you have contracted the repayments, the review period and the differential, so a mortgage of 24 years mortgage payable with annual review and Euribor + 2.5% will see their mortgage reduced about 3-4 USD per month fee which is about 48 USD per year.

But if a mortgage still has a life of 39 years the savings will be around 1%, which is 6 euros per month less and over a year about 72 euros less.However semi-annual review mortgages will suffer another increase in their quotas.

The Euribor in 2013 ends at an all time low

The Euribor in 2013 ends at an all time low

01:00 PM · Comments Off on Evictions down in Spain by 31% · Categories: News from Marbella Costa del Sol · Tags: ,

The General Council of the Judiciary (GCJ) notes that both housing evictions and foreclosures are down in the third quarter of this year following the entry into force of the Antidesahucios Law (Anti eviction Law) and the also the new law of rent.

Evictions are down 31% from the previous quarter, between July and September there were more evictions for non-payment of rent than for non-payment of mortgages.Meanwhile foreclosures were down 11.6% this year to a two-year low.


Spanish Evictions per quarter

01:49 PM · Comments Off on The price of housing in Spain rose 0.7 % in the third quarter of 2013 · Categories: News from Marbella Costa del Sol · Tags: , , ,

The price of housing in Spain rose 0.7 % in the third quarter of 2013, the first increase since the second quarter of 2010, the housing price index (HPI ) compiled by the National Statistical Institute said 10 autonomous communities recorded increases, led by Balearic islands ( 2%) and Valencian Community ( 1.8%), however year on year it fell by 7.9%


Property prices in Spain have risen 0.7% in the last quarter

The annual rate of new housing fell by 7.9%, almost five points higher than the previous quarter, meanwhile the annual variation of the resale market decreased by 8%. Rates of a decrease by regions are, Ceuta (-3.8 %) , Basque Country (-5 %) and Cantabria (-5.4 % ) are recorded under the autonomies price falls, on the contrary, Murcia (-15 % ), Extremadura (-14 %) and Castilla-La Mancha (-12.9 %) are the regions where the greatest price falls were recorded.

in terms of quarterly performance , the price rose 0.7 %, the first increase since the second quarter of 2010. by type of housing, new housing prices rose 2.3 % and used housing , 0.1%

most CCAA had positive quarterly rates in the third quarter of this year. the largest increases were recorded in Balearic Islands ( 2%) and Valencian Community ( 1.8%). communities whose prices have fallen further in the third quarter were autonomous community of Navarre (-1.3 %) and asturias (-1.2 %)


Property price change per country  –  (Data supplied by Frank Knight Residential Research)


(Data supplied by Frank Knight Residential Research)


12:43 PM · Comments Off on Tenants and landlords in Spain are now eligible for rent subsidies · Categories: Rental properties Marbella

In Spain both the landlord and the tenant are eligible for a number of rent subsidies, on one hand the landlord is required to pay tax on income received from the rental of the property, but there are certain expenses that can be deducted and in addition once the revenue received from the rental have been deducted some allowable expenses may also apply and a series of reductions that in some cases reach up to 100% of net income can be claimed.


Landlords and tenants can now get tax breaks for rental properties

The law provides for a personal income tax deduction on the rent for tenants who do not pass an income limit.

Also each region in Spain applies their own deductions on income tax for tenants, provided that certain age and income requirements are met.

Its very important to note that both deductions can be applied together.

If you are an owner : you have deductions for :

– The interest on loans that are paid for the purchase of housing

– Taxes and state fees that impact on yields or habitation: IBI (Council Tax), fees for cleaning, refuse collection, street lighting and community costs

– The cost of execution of lease and Legal Defense

– Maintenance costs , maintenance and repair ( not including supplies intended for the expansion or improvement of housing ) : painting and other cosmetic fixes, repair or replacement of defective items such as windows, heating and electrical installation equipment

– Contracts of insurance ( liability , fire, theft , glass breakage or other of a similar nature )

– Amounts for services or supplies (electricity, water, gas, telephone etc)

– Expenditure management, lawn care, security, concierge and other services related to the property

– Have costs reduced:

– 100% : if the tenants are aged between 18-30 years and their net income is greater than the public income of (IPREM ) , or if the tenants are between 18-35 years, their net income is greater than the minimum wage and the rental agreement is prior to 01/01/2011

– 60% : in other cases

Applied to this reduction, the tenant must submit to the owner a communication indicating the following information : name, ssn, offices, catastral reference numbers indicating that everything meets requirements

It should be noted that these reductions do not apply to holiday lets, exempt leases, vacation rentals or seasonal tourism. Nor can rentals with catering services be included. These reductions are contemplated for other dwellings rented to students because the period between September and June is considered large enough to dissociate a seasonal lease

If you’re a renter:

– To qualify for deductions:

– State any age : taxpayers whose taxable income does not exceed maximum € 24,107.20, a 10.05% deduction of the amounts paid in rent may be applied, taking into account a maximum which varies based taxable and may be :

– When the taxable amount is equal to or less than 17,707.20 euros per year: 9,040 per year

– When the taxable amount is between 17,707.20 and 24,107.20 euros per year : 9,040 euros less the result of multiplying 1.4125 by the difference between taxable income and 17,707.20 euros per year

– Autonomic age limit : each community has its own deduction and need not exceed a certain age or a volume of income to benefit from it, for example in the Community of Madrid tenants under 35 can deduct 20 % of the amount they have paid for a tax period by leasing your residence up to a maximum of 840 euros. Requirements that apply to this deduction is being less than 35 years of age up to December 31st and the taxable amount for the tax period does not exceed  25,620 euros in individual taxation, or 36,200 euros if it is a joint application that the amounts paid for the rent of the residence exceed 10 % of the taxable income of the period of the tenant, and finally the landlord of the apartment has lodged the security for the rent in the Institute of housing in Madrid ( IVIMA ) and the tenants have a copy of the deposit slip

02:17 PM · Comments Off on Price per m2 on Spanish property suffers a further drop of 10.5% · Categories: News from Marbella Costa del Sol · Tags: , , , , ,

Housing sales reached 28,418 units in October this year representing a drop of 8.9 % over the same month of 2012 according to the general council of notaries which is one organisation with the freshest data to be obtained from the writings of notarised purchases.

Property purchases and sales of homes fell 13 % yoy, while transactions of single family homes showed an increase of 10.6 % yoy, but on a very small number of operations therefore increasing its volatility.

Price per m2

Moreover notaries indicate that the average price per m2 of homes sold in October stood at 1,204 euros, thus suffering a further drop of 10.5 % yoy.

in the case of flats, the average selling price was 1,320 euros per m2, thus suffering a fall of 14.1 % and 1,315 euros for resale, 1.3 % to 1,341 euros per m2


The number of new mortgage loans to purchase dwellings in October suffered another year decline of 22.5 % to 20,575 mortgages, in the case of the purchase of a home, the average loan amount was 116,822 euros, thus suffering a fall of 5.2%

On a positive note the number of foreigners purchasing property in Spain, especially in coastal areas is rising to help counteract the downward trend in Spanish nationals being unable to buy, due to high unemployment and fewer mortgages being granted.


01:25 PM · Comments Off on Property prices in Spain to stabilise in 2014 according to the CCI · Categories: News from Marbella Costa del Sol · Tags: , , , ,

The understanding that the housing sector is actually approaching the bottom of its correction is definitely increasing in popularity. In accordance with the Consumer Confidence Indicator (CCI) for November, made by the Centre for Sociological Research, 46.4% of the people that were surveyed believe that property selling prices will probably stabilise within the the coming year.

That is almost 10 percentage points more than that recorded last year when, in December 2012, just 37.1% had been of the viewpoint regarding real estate selling prices. Furthermore, during that time, up to 52.7% of the people asked anticipated even more declines in the price of properties, even though at present only 36.6% are convinced this kind of decline in selling prices will keep going. 7.4% even foresee that selling prices will rise, that is 2.5 points more than in 2012.


Spanish house prices could be nearing the end of their fall

This kind of overall feeling that real estate prices might be approaching the end of the drop coincides with a few statistics from recent weeks. On the other hand, the Ministry of Development documented that throughout the third quarter of 2013, properties reported their lowest decrease since 2010 – even progressing to being higher in price in a number of areas – the Notaries are now starting to speak of increases in real estate prices.

With all this probable outlook, the need to buy a property is starting to increase, although very slightly. El Mundo documented that, based on the November Consumer Confidence Indicator, 3.8% of participants advised they “intend to purchase a residence within the next 12 months”, that is a substantial improvement throughout the last month of 2012, while merely 2.1% said they might possibly be prepared to take that step.

01:23 PM · Comments Off on Marbella town planners approve skyscraper project · Categories: News from Marbella Costa del Sol

The 30-story building is 115 meters in height and will be located in the area of the Istan road.These are the main features of the only project presented so far to build a skyscrapper located in Marbella and was approved in the latest plenary session at Marbella City Hall.

Marbella high rise

The land reserved for the project in Marbella is 1km from the shoreline (photo sur.es)

The building will be designed by the Catalan architect Ricardo Bofill, with whom the company behind the initiative is in a very advanced stage of agreement.

Although various investor groups sought information to build high-rise towers in Marbella, this particular project is the only one approved in the municipal offices, although there has been national investor groups and foreigners very interested in building properties of this type .

The plot where the building is to be built is just over a kilometre from the shoreline in the vicinity of the Olivia Valere nightclub, Hotel Management School Les Roches and Racquet Club Manolo Santana.

The project is for an exclusively residential building of luxury apartments with four apartments per floor .
The rules adopted by the City Council to raise towers of 30 to 50 floors and a maximum height above sea level of 150 meters and to settle on the land on which is located at a maximum height of 50 meters above the sea level.In this case the project is submitted for a project that is about 30 meters above sea level and will reach once built a height at its highest point of 115 meters.

Luxury Marbella Homes

The idea of the promoters is to build luxury flats with up to four per floor with all the usual range of services including private security, spa and fitness facilities.

This project will occupy a total of 30 floors and of the five locations adopted during the last plenary session along side the Istan road.The rest would be located at Realejo where the topography allows one or two projects with a maximum height of 28 floors, in Rio Vervde in which a block of 30 floors high could be built, and two points which could be raised at Guadaiza with separate buildings of 36 floors.

The adoption of this project has come under the scrutiny of three groups of local opposition and has sparked a debate in the city of Marbella, even before knowing the specific projects, which has been reflected in social networks and has created a Facebook group opposed to skyscrapers which yesterday exceeded 740 supporters and they are promoting an initiative to gather signatures against the urban modification that has been approved.

02:03 PM · Comments Off on In Madrid there are over 200,000 empty homes · Categories: News from Marbella Costa del Sol · Tags: , ,

In Madrid there are over 200,000 empty homes and Madrid capital has 153,101 empty homes, areas with a greater increase in rent arrears are Madrid ( 24.6%) and the northern municipalities (17.4% ).

Among the highlights of the study by Safe rental data, we found that among the seven areas analysed in Madrid there are over 200,000 empty homes, 153,101 in the capital Madrid which is the area with the most empty buildings, followed by the southern municipalities with 18,712 and the Henares corridor with 10,202.

Regarding delinquencies, areas with a greater increase in delinquencies in rent are Madrid capital 24.6 %, the northern municipalities with 17.4 % and North-western municipalities with 16.4 %. On the other hand other areas that have experienced slower growth of defaults are: Alberche basin 10.02%, Basin – Tajuña 12.31% and 14.3% in southern municipalities.

Article By Rugheadviviendas-vacias-alquiler-seguro

01:19 PM · Comments Off on Renting a property in the EU is becoming less and less accessible · Categories: News from Marbella Costa del Sol · Tags: , ,

A recent study by Harvard University indicates that renting a property in the European Union is becoming less and less accessible to citizens, specifically about 27% of renters spent more than half their salary to pay the rent in 2010 compared to 19% who did so in the year 2000, in the case of Spain the rents are reduced at the same time wages are also adjusted downward.


Article By Rughead