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.

2014

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