Spain’s property market dance

Property prices in Spain have faced the music but the market just isn’t ready to tango as expectations of further price falls grow, and banks continue to restrict lending.

A recent report shows a changing trend amongst those looking for a property to buy in Spain. Traditionally the resale market leads the way but now main activity and interest is in new build projects, as sales in the sector see an increase.

Economists at Spain’s Caixa Catalunya bank have expressed caution at any substantial signs of market recovery, expecting property prices in Spain to continue falling for another four quarters.

Banks continue restrictive lending practises to reduce their own losses on repossessed property, and to shift the stubborn excess of private property that is for sale.

For anyone selling a property in Spain, their best bet is the cash investor, who if patient & determined will succeed in obtaining the best value for money.