As one of the most experienced real estate agents here in Murcia, we come across a lot of potential buyers who wonder if it’s a good time to buy property in Spain.
We love this question, because for the most part it has been a good time to purchase Spanish real estate for the last eight years. Prices have been low, interest rates have been low, and it’s largely been a buyers’ market – for those who had the extra cash.
Now that we are about to wrap up 2016, we want to share a few reasons why it’s a good time to buy property in Spain before we say hello to the New Year…
Repossession Properties are Ripe
Banks that previously purchased properties to keep Spanish real estate developers afloat are now selling them at nearly 50 percent of their actual value. This is a huge deal for buyers who, until now, have been reluctant to buy real estate in Spain.
Prices are Going Up
While the amounts vary, all predictions point to rising house prices in 2017. Bankiter forecasts an average 3 to 5 percent rise in the next year-and-a-half, while Gonzalo Bernardos from the University of Barcelona says house prices will rise 13 percent in 2017 led by “Barcelona, Madrid, and the islands, although central areas of the main provincial capitals will also join in.”
Rising prices means that right now is the best time to buy property in Spain, before you have to pay more for the same piece of real estate in just a few months.
You’re Not the Only Buyer
Iberia Real Estate conducted a survey that revealed 2 out of every 10 foreigners plan on purchasing a second home in Spain – with the most popular destinations along the Mediterranean coast.
This means real estate in Murcia is hopping, with buyers flocking to coastal properties in Spain. It’s time to get on board before inventory is low and the Spanish real estate market favors the seller.
Be Ready for Peak Season
If your goal for buying property in Spain is to rent it out, then purchasing during the off-season – traditionally November through March – helps you prepare the home for the busy travel season. You can purchase now while home prices are lower, and take advantage of the time you have to increase the amount of rental income you generate next year.
Get a look at properties for sale in Murcia, Spain, and start planning for your retirement, second home, or rental property!