Spanish mortgages 65% cheaper since 2007

The mortgage market is currently in a more moderate position. from their highs in 2007, the monthly mortgage payment has increased from 976 euros per month on average to 378 per month in the first half of 2014, record lows. according to a report tecnocasa and Pompeu Fabra University is another indicator is the ratio between moderate monthly fee, and income has gone from receiving more than 60% of salary to 24%, a percentage "ultraconservative"

Evolution of the monthly mortgage payment

The ratio between the monthly mortgage and monthly income of the mortgaged should represent between 30% and 35%, according to experts. before the explosion of the housing bubble this ratio exceeded 60% since 2009 but a sharp drop of nearly 20 percentage points in a semester is observed. tecnocasa as this gives that "banks abruptly began to apply the credit orthodoxy that should apply from the beginning"

Ratio between the monthly mortgage and monthly income of the mortgaged

On the other hand, the percentage of mortgage financing, is down 86%, highs in the second half of 2006, up to 67% of the appraised value of the home in the first half 2014 report tecnocasa and Pompeu Fabra University indicates that "a loan to value below 70% implies an extremely conservative attitude of banks as well as a clear attempt to reduce the risk in lending to these entities granted"

Regarding the terms of mortgages, the study concludes that since 2009 a marked to grant mortgages short trend. thus, for example, in the first half of 2009 the percentage of 40-year mortgages was 45%, while for the first half of 2013 this figure was only 8%, just half that in 2012 for the first half of 2014 this trend is even more pronounced because for that period only 2.2% of mortgages were granted him to 40 years, while 30-year mortgages accounted for 60%

Also noteworthy is the significant increase since the bursting of the mortgage bubble within 30 years. in the first half of 2014 they accounted for almost 37% of the total, while in 2008 barely exceeded 16%

Term evolution of mortgages granted

The rising price of housing in uk does not stop going up 10.4% in June

The price of housing in the united kingdom increased by 10.4% in June this year on year, according to figures from the Office for National Statistics (ons for its acronym in English). compared to May, prices rose on average five tenths

The statistical office said that prices have risen sharply in most parts of uk, again being the City of London which registered the largest increase

The sharp rise recorded in England is mainly due to the annual increase of 19.3% in London and, to a lesser extent, the increase in the Southeast (9.7%) and East (7.9%). in fact, excluding London and the southeast, the housing prices in uk rose 6.3%

Errors when selling a home for the first time

12 errors 'beginner' you usually make when selling a home for the first time

Today selling a home is a complex task that depends on many (and whimsical) factors. moreover, as no one is born knowing, it is normal the first time we face this daunting task commit some mistakes 'base' that will make the process to test our patience and our nerves

To avoid this already complex process, we have compiled the 12 errors 'beginner' you usually make when you sell a home for the first time:

. 1 - overvaluing your home: basics. not be put off by greed or sentimentality toward the house. must be objective. in a market with so much supply, put too high a price is such a mistake. study what the competition is doing and if you can, stand in the low band

. 2 - Not wanting to negotiate: the lack of flexibility can lead to disaster. the current situation makes it almost essential trading ponders offers. if they are too low, you make a counteroffer

. 3 - forget expenses of the sale of the house: although the majority of operating expenses are paid by the new owner, you have to pay capital gains, the cancellation of the mortgage (or cancellation charge if applicable) and any registration, tax liability, of community, of supplies ... you have until the date of sale

. 4 - make a weather forecast too optimistic: do not get your delusions, sell an apartment is a distance race. if at the time of the bubble houses lasted an average of 14 days on the market, today the average sale exceeds comfortably within the year

. 5 - choose the wrong time to market: the period of greatest interest in the sale of second-hand housing is its appearance on the market. avoid dates when people are absent or interested in other things, like Christmas, Easter ...

. 6 - lying in advertising: do you think someone will buy your house if you find you're dealing with a liar? if you say your house is 10 years old and 180 m2, and when they ask buyers find that scripture has bought 150 and 15 years ago, you can bet they will flee at full speed

. 7 - do not put the house for sale: save a few euros to avoid giving a coat of paint, mow the lawn or fix that leaky faucet could cause the prospective buyer see a lot of arrangements ahead and take back

8 - be confident. Tells you who the person asking you to visit your home and who you tell that Saturday is not possible because there will be, is not a friend of the alien that just wants to 'come' when you're not ? or as he samples the kitchen to the 'lady' does your companion do not desvalijará the office? use caution and control

9 - not to involve the whole family. Comes to visit and the kids have not only messy but the living are fighting and screaming while you try to explain the benefits of the heat pump. certain failure. should all collaborate

. 10 - be comfortable, if you have to delay or postpone your dinner an outlet for attending a visit, do it. every opportunity should be utilized to the maximum. take the time necessary to see how the deal evolves around you, and keeping track of your advertising: renew ads, respond to networks ...

. 11 - not taking into account the cost of an empty house: a study of insurance claims that the average rental price of having an empty house at 2,000 per year. therefore, it is best to terminate the basic supplies (electricity, water and gas) if you plan to stay more than a year without occupy the house. so, you'll save an average of 540 euros per year

. 12 - Operation Order someone Bad: if all this is too much for you or you do not live on the farm, do not let him into the wrong hands. one of the worst mistakes in selling an apartment is encargárselo to a friend, or some intermediary however unqualified. the best choice is a real estate agent: he knows the market, the procedures and the intricacies of this complex and important process

Overpricing living at British capital than flying everyday from Barcelona

To live in Barcelona and commute to London is cheaper than to rent a flat in the British capital

Friday, March 21, 2014 -

London is experiencing a price bubble that makes it cheaper to live and travel thousands of miles every day to reside there. photo: yahoo finance

British blogger sam Cookney wanted denounce the folly of living housing prices in London showing that would be cheaper to rent a bigger house in barcelona and commute by plane to the uk to live there

considering that their work week includes four days working in an office in central London and one at home, and with house prices rising at a rate of between 5% and 10% monthly on the British capital, , Cookney made their accounts ... and I did better than I thought

As he explains in his blog , made ​​reference to the 1,795 euros that according to British property portal Zoopla costs a one room apartment in the west London suburb of Hampstead, an area of their choice and very popular with young professional singles as he added to this figure, a municipal rates 90 euros and the payment of necessary transport to get to work, which costs about 140 euros. in total, live in london would cost 2,025 euros at current exchange rates

To compare, in Barcelona decided to choose the Nou Camp, a place where he had resided Cookney years. "A middle-class residential area and very similar to west hampstead" says

There he found a three bedroom and three-bedroom "a stone's throw from the metro." price, 680 euros per month. addition, notes, "In Spain the tenant does not pay municipal taxes"

In transportation, opted for the cheaper option: ryanair flights from el prat airport to London Stansted for only 34 euros roundtrip ticket. to that he added the 23 euros a day it would cost the city between home, work and the airport by public transport

Recapitulating the 34 euros a day of air travel and transport 23 euros for four days a week for four weeks and add 912 euros per month. if you add the 680 euros of rent, the final price for living in barcelona is 1,592 euros

And, as pointed Cookney, "compared to my life in London, this option would save me 387 euros, which would enjoy bottles of rioja 5 euros sitting in one of the three balconies of my house"

Highest housing prices at UK market

Uk starts the year with the highest rise in house prices

Tuesday, January 21, 2014 -

Historic house prices in January in uk

The price of housing in the united kingdom increased by 1% in January compared with December, a figure that represents the most historic start. specifically, the average price stood at 243,861 pounds, more than 295,000 euros, according to a report by the country's largest property portal, rightmove

On-year, the price shot up 6.3%, 14,432 pounds (17,466 euros) more than in January 2012. "The first indicators of the year show a strong real estate market for 2014. the average price stood at its highest historical start, indicating that optimism sellers and real estate agents is increasing, "said the report highlights

In London, where housing was increased in 2013 by 10.6% (at its best figure since 2006), the price rose just 0.2% in January compared to December and 7% year over year, the average price in the 514,704 pounds (about 623,000 euros)

In the 'city' in January fell hard prices in traditionally more expensive neighborhoods such as Westminster, where depreciated by 8.3% MoM (up to an average price of 1.4 million pounds or 1.7 million euros) or kensington, where the average fell 6.9% from December to stand at 2.05 million pounds (2.48 million euros)

Economic keys to a good start 2014

Tips to survive the January slope

Wednesday, January 15, 2014

Take advantage of tax benefits, invest head and not get carried away by the 'bargains' are some of the keys to successfully tackle the dreaded hill of January. through a Decalogue, the European association of financial advisors (EFPA) gives the keys to a good start 2014

- Eliminate unnecessary expenses, especially of products and services used or sometimes
- Out of debt that can not be paid. for it is desirable to organize and analyze the budget to meet the fixed costs
- Do not forget that increases the price of many commodities, such as electricity bill whose cost has increased 2.3 percent, transport and motorway tolls
- Be aware of the tax benefits of some products such as mutual funds and pension plans
- You can reduce the overall personal income tax base with contributions to pension plans in which there is no charge for the benefits that are generated
- Review the conditions of financial products, many of which expire or change with the new year
- Invest in profitable products with professional advice, especially after the return of deposits has fallen sharply due to limitations of Spain or the bank rate cut by the European issuer
- Not improvise and go to a personalized financial plan with the help of a consultant to get more out of savings
- Weigh the request for a loan to be a risky product. learn, invest time and review contracts with banks
- Pay attention to you default interest and fees related to avoid unpleasant surprises
- Doubt the 'bargains' that present certain financial products and actually hide very high interest rates and be careful not to make use of overdraft credit cards
"In a crisis situation like this, and given that the slopes of January the last seven years have been very hard, I would say that this beginning of year 2014 is best presented" detailed to idealistanews director in Spain of EFPA andrea-candidate races, do not hesitate to say that now "we can be more optimistic as the economic recovery in the eurozone is already a reality and the situation in the financial markets has significantly improved (reduced volatility assets and increased profitability) "
While improving the portfolio considered candi-key races go to a qualified financial advisor in order to "ensure that it is investing in the best product"

How to sell Spanish real estate fast

Believe it or not you can sell your Spanish property in a matter of days. The key is to set the right price.

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A couple years ago a property selling e.g. in Mallorca for 500K was sold within 2 months, Nowadays the same property will not even sell at 450K, but might stand a change if its priced between 350-400 K.
Many investors and 2nd home owners who bought Spanish property and have to sell would like to close their eyes and wait until their nightmare is over. They are faced with the decision of having to sell their property at a loss.
Most of these investors would rather wait a little longer and see what happens. They might think about the recuperation of the US housing market and they desperately are focusing on the positive economic figures in Europe.
What these investors are disregarding is simple fact of Who in their right minds would want to buy a property which has been in the market since a long time and for the same selling price?. The chances of finding a buyer ar very very slim.

So here a couple tips when selling Spanish property.:

1) Sell at the right price
Try to be realistic when selling Spanish property. If your property is not selling its because of the price.
Lower the price of your property and you will be amased to see what the effects are.
2) Be sharp
When your property comes into the market invest heavly in promoting it. The fisrt couple of weeks are essential when trying to sell the property. The longer your property is in the market the less chances it has.
3) Compare prices
Check what similar properties are selling for and price your property in a competitive way.
4) Seek professional assistance
An estate agent will probably help you filtering potential buyers and curios not wanting to buy buyers.
5) Be calm
When showing a property to a potential buyer do not give him the sensation you desperately want to sell. Do not overly exagerate the positive points of the property.
6) Do not disregard offers
If someone makes you a valid offer, one that is within reason, do not disregard it or you might regret it later on.
7) Using social media and other property portals
Make sure the property is priced the same in all the media and with your estate agent/s.
Having different prices is suspicions and scares buyers off.
8) Using an attractive ad
Properties that do not have pictures do not sell. Aln make so provide good descriptions and if you can make a video presentation.
9) You sold your house, or maybe not.
Let say you found a buyer. Make sure is has the credit to buy it. Make sure he can get a mortgage.
Make sure that when a deposit is paid to in case the sell is canceled. Do not take the for sale sign off until the sell is completed.

Rightmove Dec UK House Asking Prices -2.7%..

UK house asking prices rose in every one of the first six
months of the year, were volatile in the second half and ended the year
up just 1.5% on a year ago as a result of December's 2.7% monthly fall.

Renting Property in Spain

In Spain it is more common to buy a home than to rent one, and for this reason there are relatively few properties available for rent in Spain compared to other European countries. The limited housing market can make it difficult to find a rental property that meets your expectations. Finding a property is yet more problematic for young people, the over sixty-fives and immigrants, many of whom tend to have only a limited budget for accommodation. In addition, the demand for properties in Spain has recently increased: house prices and rental costs have doubled, particularly in popular urban areas. It is difficult to find official government information on the property market, and there are few reliable details on the number of properties available and the current demand.

Spain currently welcomes thousands of immigrants each year. This creates a great demand for rental properties and in turn increases rental prices. It is becoming more and more common to stay in 'bedroom cities': small towns located near large cities where more properties are available and rent is more affordable.

Over the last decade, the Spanish property market has undergone several changes. It is becoming more and more common for people to purchase property, rather than to rent. In recent years there has been a boom in the real estate sector; as the demand for homes increases, more and more homes are constructed as a result. This has also led to a significant increase in house prices.

The housing boom has created many jobs and contributed to considerable economic growth in Spain. However, it has also resulted in heavy reliance on the construction market, and increased debt as more and more families take out mortgages. These facts threaten the likelihood that the housing surge will contribute to Spain's long-term economic stability. As a result, the government has begun to implement certain measures to make this situation sustainable, and avoid a repetition of the mortgage crisis in the United States and United Kingdom.

In some ways, a housing crisis is already expected; increasing house prices have resulted in a rise in the number of people falling into arrears on their mortgage and rental payments. Banks will no longer grant loans or mortgages to people who are at risk of failing to make repayments; as a result demand for housing has fallen, and house prices have fallen accordingly for the first time in years.

In Spain, rental prices vary according to the location of the property. There is a huge demand for property in Madrid and Barcelona and thus prices here are high. These are big cities offering many job opportunities, and lots of people choose to live here to find work, although rental costs will constitute a large part of their expenses. Many other people choose to move to villages or small towns near to big cities which offer more affordable properties. These are known as 'ciudades dormitorio': literally, 'bedroom cities'.

To tackle the problem of price increases, some provinces have enacted laws that force the owner to rent out their property if it has not been occupied for more than two years. The government can request that the property be put on the market, or demand that the owner rent it out if there is a risk that the property will fall into ruin.

Also you can check-out our large porttafolio in Rental Properties around Malaga y La Axarquia