This post is especially for potential buyers of Spanish property who will be transferring their money into Euros from Pounds. If you are living in the UK and earning pounds now is the best time to buy in Spain since October 2008. It was then that the UK government at the time effectively devalued the currency and overnight (Well in a period of a month) the pound went from €1.50 to €1.06. This made property in Spain immediately more expensive at a time when prices were still really high having reached their peak in 2007.
The pound has just gone over €1.20 for the first time since then and looks as if it may well continue to make gains, although small, in the next few months. Combined with a reduction in prices from 2008 levels of around 35% for property that is selling, ie things that are listed on our website, then you have an equivalent reduction of almost 50%, if you are buying in pounds, compared with 2008.
You can see this in some of the properties on the website. Many of them were offered to me in 2007/8 for sale and I refused to list them as they were asking too much money. When you consider the price differential now you can see the difference.
Here are just a couple of examples.
This excellent four bedroomed property in Serra was originally listed at 425000 Euros. It is now 225000 Euros. If you were buying in November 2008 when the pound dropped so much then you would have been investing almost 400000 Pounds. However now with the pound at €1.20 you are being asked for 187500 Pounds, an effective discount of over 53% rather than the Euro discount of 45%. (This was sold a couple of months ago at a slightly reduced price to the asking price but the buyer disappeared, therefore it is available again now)
This flat in Valencia was originally listed at 175000 Euros. It is currently listed at 96000 Euros but an agreement was made last week at 89000 Euros. However the potential buyer has not come up with the deposit yet and until deposit is placed it remains for sale. Let's look at the figures again. In November 2008 the effective price for buyers coming from the UK was 163000 Pounds. The agreed price last week is currently 74000 Pounds, effectively just 45.5% of original price.
There are other examples to be found all over Spain but for British buyers at the moment it is a great time to buy if they can find the right property at the right price.
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