Property in Spain is proving so popular with overseas buyers that many developments are having to instate waiting lists in order to allocate apartments.
At the bank-owned Vera Playa Sol development in Costa Almeria – dubbed Spain's “Best key-ready buy” by specialists PropertyInSpain.Net – the bank's reservation system clogged-up with the volume of buyers trying to secure their selected properties, with many investors viewing the properties using online tours rather than in person. With a week dozens of apartments had multiple prospective buyers in a days-long wait-list as bank staff struggled to evaluate the mortgage paperwork and allocate reservations.
One South African buyer commented: “I selected by Skype and Google street view, waited for several days and finished up getting my third choice penthouse. I paid EUR 62,000 for a brand-new, 2-bed pool and sea view penthouse with all appliances and a choice of four swimming pools. I am over the moon.”
The rush for Spanish property is being put down to the extreme price cuts that have taken place across the country. In many areas home are down by 50% from the peak of the market, and with the Spanish Government slashing property purchase tax by 50% to only 4%, the euro in decline and mortgages of up to 107% LTV being offered to potential buyers, now could be the perfect time to make an investment.