News: The truth about repossessed property in Spain
Written by Inmo Investments - 11 Jul 2016
Spain's real estate market was hit particularly hard by the global financial crisis of 2008. In the years beforehand properties were being sold as quickly as they could be built, to north European property buyers keen to secure a place in the sun. When the world ran out of money Spain's property bubble burst and the housing market entered freefall. The depression would last for a punishing 7 years, and by 2015 Spanish property prices had fallen by up to 65%.
With the global crash affecting their jobs and income at home, many foreign buyers who had financed their property in Spain could ill afford to maintain their mortgage repayments or meet the expenses required to maintain their holiday home in Spain. Millions of foreign buyers were left in a state of negative equity and, perhaps unsurprisingly, many buyers chose to simply abandon their Spanish holiday properties, with the banks repossessing the vacated stock.
The Spanish property market stopped it's decline in 2015 and has repeatedly demonstrated consistent signs of recovery, with foreign buyers returning to Spain and banks willing to offer mortgages and financial products once more. Today's Spanish property market is very different to the fragile bubble it once was. Prices are climbing, and the market has a renewed vigour and energy. But that hasn't stopped a surge of mis-information making it's way on to the internet.
In fact, buying a bank owned property in Spain makes a great deal of sense. Priced significantly below their genuine market value, purchasing a bank owned property at a point in time when prices and demand are rising is a shrewd move. But there are many other great reasons to consider buying a bank owned property in Spain, other than a great price ...
Less risk of negative equity.
Buying a bank repossessed property in Spain with the market at a low price point means you will have less need to worry about negative equity. It's unlikely that the property will be worth less than you pay for it.
A diverse choice of properties.
You will find bank owned property of all shapes and sizes in every area of the Costa Blanca. From small apartments to large villas, there is something to suit your requirements from Alicante to Pilar de la Horadada.
Fast chain-free completion.
With no chain, purchasing a Spanish bank owned property is simple & fast, and can be completed within 28 days.
No debt with the property.
When you buy a bank repossessed property from Inmo Investments, the bank keeps any and all debt associated with the home. This includes any mortage or other loans, in addition to community fees, taxes, or anything else that may not have been paid.
Trusted & reputable estate agents.
Only the most established and trusted estate agents are chosen to represent national Spanish banks. That's why we are proud to work with our banking partners and offer a fine portfolio of great value local properties.
Less paperwork complications.
Before a bank offers a Spanish repossessed property to market, they ensure that the essential paperwork is present and in order. Buying a bank owned property means you will always get the documentation you need.
Favourable mortgage terms.
If you need a mortgage to buy a holiday home in Spain, you are more likely to be offered favourable lending terms if you arrange your mortgage directly with the bank selling the repossessed property.
No negotiating prices.
Spanish bank owned property prices are fixed. You know what the final cost of your purchase will be from the very beginning, and you avoid the need to negotiate sale prices completely.
Removing unpredictable elements.
Financial institutions only have a monetary interest in the property and they are more predictable than a private seller. Bank property may require some work, but they make the perfect blank slate.
The ultimate motivated seller.
The banks need to sell their housing stock to mitigate their financial losses. They will be fully committed to a making a sale succeed.
This article, written by local Spanish property specialist Shelley Starkey, appears in our latest issue of Costa Blanca Property for Sale, which focuses on Spanish beachside homes for less than €100,000. Available for download free of charge, and fully digitally interactive, click here to download direct to your smartphone, tablet, or laptop now. Alternatively, click here to view our current portfolio of repossessed properties.
Quad House - Resale - Market area
Spain - Costa Blanca South - Playa Flamenca139.900€
Corner quad house in the heart of Playa Flamenca provides 3 bedrooms, 2 bathrooms, spacious living/dining area and seperate kitchen. Outside space boasts a private garden and solarium, both perfect for all year round sun. The complex also consists of a communal pool and gardens. Situated close to all amenities, you're spoilt for choice with bars and restaurants, aswell as schools, a street market once a week and the popular Zenia Boulevard shopping centre, all within walking distance....75 84 3 2
Apartment - New build - Torrevieja Centre
Spain - Costa Blanca South - Torrevieja129.000€
New Construction - 2 bedroom apartment in the center of Torrevieja. These apartments offer town living at its best! A most conveniently located apartment block in the heart of Torrevieja. These 1, 2 or 3 bedroom apartments with 1 or 2 bathrooms, are fully furnished, with white goods, pre-installation of air conditioning, curtains, lighting, shower screens, mirrors and so on. The penthouses include a private solarium.Urbanization with communal pool and green areas located walking distance to...51 2 1
Bungalow - Resale - Torre la Mata
Spain - Costa Blanca South - La Mata310.000€
Beautiful ground floor bungalow style apartment set on the prestigious Community "Azul Beach".The property for sale offers 90 m2 built with private garden of 89 m2. Consist of 3 bedrooms, 2 bathrooms, american style kitchen, dining/living room, large terrace, communal pool, parking space in the garage with storage room. Sold fully furnished and equipped. Located in a popular urbanization close to all the necessary services: shops, bars, and restaurants and only beach 200 m to the...90 89 3 2
Apartment - Resale - La Florida
Spain - Costa Blanca South - La Florida95.000€
Here we have a SOUTH FACING 3 bedroom ground floor apartment in Al Andaluz, La Florida. The property has a large south facing garden, community swimming pool and tennis courts. It comes fully furnished and ready to go. The property has a loung diner, 3 double bedrooms, a bathroom and separate kitchen with outside untility galleria area. In our opinion it is excellent value for money for a 3 bedroom south facing property in the area.3 1
Town house - Resale - San Javier
Spain - Costa Calida - Murcia - San Javier169.995€
Sizeable town house, centrally located in San Javier , Murcia makes for the perfect family home. The impressive South facing property offers an impressive 200m² over 2 floors and comprises 3/4 bedrooms, 2 bathrooms, large lounge with patio windows to the garden/ terrace, dining room, spacious sun room with balcony terrace offering charming views over the surrounding area, and fully fitted open plan kitchen with storage room. Outside space offers ample sun terraces above and on the...200 3 2
Land - Resale - La Zenia II
Spain - Costa Blanca South - La Zenia
Private plot of 700sqm right in the heart of La Zenia and only a short walk to the sandy beach and the popular la Zenia Boulevard shopping centre. This plot is situatated in a quiet street and well orientated offering a buildability of 1m3/m2, which comes out at around 245m2 of living area over two floors. Probably one of the last opportunities within the area!700 0 0
Bungalow - Resale - Villamartin
Spain - Costa Blanca South - Villamartin129.995€
Well maintained bungalow/ apartment for sale in Villamartin, offers 2 double bedrooms, master with ensuite bathroom, family bathroom, spacious lounge/dining room fire place and,ample fully equipped kitchen with large breakfast bar and storage room. Outside space boasts sunny, south facing terrace and beautiful garden of approx 93m2 with distant sea views. Highly sought after community with pool for adults and children and well tended gardens. Sold fully furnished including many extras such...73 98 2 2
Apartment - Resale - Beach
Spain - Costa Blanca South - Torrevieja
Apartment for sale, located only 200m to the Naufragos beach in Torrevieja. The second floor apartment offers 2 double bedrooms with fitted wardobes, bathroom, open plan lounge/dining room with glazed terrace and kitchen with ample storage. Secure building with lift and disabled access and communal pool for residents. Sold fully furnished and key ready. All amenities are on hand including local shops, restautants, cafe-bars, public transport, and of couse sandy beaches. A great holiday...70 2 1