Advantage for Foreign Investors in Spain

The Spanish Housing Secretary Beatriz Corredor is leading the appeal by the Spanish government to Britons to help boost Spain’s wavering economy. There are an estimated 700,000 unsold properties in Spain that, if bought, would not only provide a much needed injection of liquidity to the banks but would in turn create work for a work force that has seen its unemployment levels rise to over 21% according to figures announced in Madrid by the National Statistics Institute earlier this year.

Mrs. Corredor has backed her appeal by promising new planning laws which will attempt to eradicate the confusion and uncertainty that lead to the demolition of thousands of properties deemed to have been built illegally. In an interview with The Sunday Telegraph Mrs. Corredor looked to further reassure by stating “The British are our highest priority and are those about whom we are most concerned.”

Despite the abundance of reassurance offered, foreign investors may feel there is not much incentive to purchase abroad. However, with prices at record lows potential investors could take advantage of the 24% on average price drop that has occurred in Malaga or in some cases even save up to 40% on properties. Nick Stuart, a British estate agent who runs the website Spanish Hot Properties stated “there are huge bargains to be had there, such as villas in Marbella that are almost at half their previous prices.”

Mrs. Corredor explains that if a property is purchased with the necessary paperwork and is acquired through the correct channels; its legality could be assured by judicial support. This would suggest that if a decent local lawyer was used the problems of the past should not resurface.  Nick Stuart advises, “Get a decent lawyer… ninety five per cent of these horror stories could have been avoided”

Another surprising advantage, according to Chesterton Humberts analysis of ‘Poll of Polls’, is that houses at the bottom end of the market are now depreciating faster in Britain than in Spain.  This, supported by the Spanish government’s new schemes to protect buyers has made Spain an attractive and exciting investment opportunity yet again.

When looking for local solicitors you can trust, it is advisable to go for well established firms. Firms like Lexland solicitors are based across Spain and have a solid track record and in-depth knowledge of local and national laws as well as being able to offer their services in a wide range of languages.

Source:

- The Telegraph