im a bit concerned
 

ivan and his rantings about how 'the bubbles going to burst ' in spain with property prices etc..

now i wanted to buy to rent as i think i could fill it the majority of the year.

so whats the crack should i hold out , are prices going up or down ?

im going to javea in july so i can see my 2 weeks are going to be filled up with 'patch's fact finding mission' :eek:

Re: im a bit concerned
 

Martha's the one with the crystal ball ;)

P.s. Welcome to the site Simon.

Re: im a bit concerned
 

People have been saying for so long that the bubble is about to burst, in fact theres a thread on here about not buying property in spain unless you want to lose a lot of money.

Theres people on here that have tried making offers which haven't been accepted. When you think about it logically there should be over demand, and there seem to be places for sale for ages, but its not effected prices around here seemingly.

Re: im a bit concerned
 

Hi patch72 and welcome to the forum.

I think you should definitely come and look at properties in July BUT for heavens sake do not put your hand in your pocket! Return after the summer, ie Oct or Nov time and look at properties that attracted you first time around and then make an offer! Most of them will still be there.

Properties have started to go stale from being on the market for so long.....Javea included....but the estate agents are holding tight for this summer as it's usually when they make a killing. I think once this summer is over, they will be wanting to get rid of a few properties and will accept lower offers (the owners will be feeling the same). So if you can hold out till after the holiday season, I think you will get a better price all around.

As for renting it out, you must know that there is big competition and alot of holiday rental properties out there competing with one another. It's a good income if you can get it, but it's not guaranteed, so keep that in mind too.

Best of luck
Martha

P.S. My crystal ball has spoken :rofl: :p

Re: im a bit concerned
 

She's good isn't she :p :cool:

Re: im a bit concerned
 

what everyone else said......and no, I don't think you've any chance of filling a house most of the year, unless you want to do long term rentals, in which case you probably won't be able to charge enough to cover the mortgage (that is unless you won't have a mortgage!)

Re: im a bit concerned
 

have a look at rental sites - they will give you an indication on whether places are rented or not

I was going to do the same, found a nice place on a golf course - then I looked at holiday-rentals.co.uk and it changed my mind once I saw how many other places there were, none of them booked out apart from the odd week here and there

so now I am going to wait and see what happens - dont think there will be a crash in the market but perhaps not a good time to buy to rent out unless you can afford to have the money tied up with no guarantee of a return from rentals

Re: im a bit concerned
 

thanks for the warm welcome :D

advice taken onboard and i will wait til the end of the year , i wanted something i could own out there until we are ready to move maybe a few years (or sonner if i had my way) down the line, so renting would be a big part until then.

my friend has finaly sold his place in 'orridvieja' (no offence) which took an awful long time to sell (and after going out there i can see why , i just dont want to end up in a area that is going to end up like that .
and also after asking for a spanish dish (in the best attempt of spanish i could do ) i was the asked by said waiter (in a broad cockney accent) 'do you want chips with that mate' :thumbsup: :thumbsup: .

Re: im a bit concerned
 

As somebody whos moving to spain in 2 weeks and renting intiailly then if alls going well buying.. Id love to see property prices drop. Some of the rents on the costa del sol are ridiculous. Ive seen people wanting 600€ per month long term for a studio in a high rise. Im currently renting a 2 bedroomed semi with garage, driveway etc for less than that in the UK. Seems so unrealistic.

Re: im a bit concerned
 

Location, location, location. lol

Re: im a bit concerned
 

ditto, ditto, ditto! ;)

Re: im a bit concerned
 

:eek:
you are lucky to be paying that in the UK...is it in scumsville ?..most one roomed appartments round our way are 500 min...525 where my cellmate lives...:eek:

Re: im a bit concerned
 

If you are talking about the "don't buy in Spain........!" thread then don't worry too much, that thread started when god was a boy and the prophets of doom are long over due a result so no worries.

Re: im a bit concerned
 

all true...........but it doesn't alter the fact that in Javea, where he is going, the sales market is slow to dead, and so is the holiday rental market......not that no-one comes here, just that there is too much available

Re: im a bit concerned
 

Very true, and more building and more promises of easy rental doesn`t help.
Have a look at the places for sale and rent in Thesurinenglish.

Re: im a bit concerned
 

I don't think the bubble is going to burst.
We have been here since June 2004 and our property has increased about
12 % per year.
The only thing I will say is , there are a lot of new builds for rent. As long as this is not your only source of income then you have nothing to loose.
Off course this is only my opinion, but Javea is on the up and up , quite honestly I would doubt very much if property here in Javea,
(unlike some areas) would go down the way.
Good Luck:thumbup:

Re: im a bit concerned
 

A Tough one this i think as was said location is the key !!

Did you watch "Selling Houses Abroad" yesterday ? Sounds to me some areas with that land grab happening is gonna be tough ?

So right location no problems, but certain areas well sooner you than me ..

I would look very closely at all the threads on here and research ...

Re: im a bit concerned
 

Your property value has only increased if you want to sell & someone is willing to pay it..............there are properties still on the market since we've been here (2003), not getting sold, & yet the owners still increase the asking price every now & again because they have been told that is what it's 'worth'.

One urbanisation in Javea has only one couple actually living there.........all the rest are either used as holiday homes by the owners, or are used for holiday rental..............I am told the 'holiday rental' ones are empty except for maybe 6 weeks a year, if the owners are lucky!

Re: im a bit concerned
 

Exactly the same thing in the Malaga area also, they cant even make enough on the rentals to cover the mortgage.
There is sooo much competition on sales and rental, and right location is so important.

Re: im a bit concerned
 

the urbanisation is one of the very best, within walking distance of the pueblo, puerto & the sandy beach:eek:

Re: im a bit concerned
 

Wow, I would of thought it would of been ok there then.

Re: im a bit concerned
 

precisely...........so if it's a problem there, imagine what the urbanisation with views of mercadona's car park is like!

where I live, which is reputedly the 'best' urbanisation of it's kind in Javea (I rent, so no I'm not too biased!) there are at least 7 empty houses looking for long term rentals, and quite a few that have been on the market for at least the 15/16 months that we've been on te urb., one, despite the price being dropped several times!

I think they are just overpriced

Re: im a bit concerned
 

It's been like that for 20 years though since we first moved to the Costa Del Sol. The rental market has always been sparse as so many people think it is an easy money ride. People think they will use it during the peak season as a holiday home and rent it out the rest of the year. Point being if you don't want it then then why would anyone else?

We've been being told the bottom would drop out of the market since before we bought our house. It never has. I honestly don't see it happening. There will always be expats willing to take a chance on the dream. :)

It is down to location though. Our family have no intention of selling our house and it hasn't been on the market since we bought. We get offers three or four times a year for more than we have had it valued at from people who just ring our doorbell. Why? Because it is in a good location with views that can't be ruined by building.

Don't buy for the sake of buying and honestly I wouldn't buy as an investment either. Buy because you love it and you want a home and you can't go wrong. If it just so happens you make some money out of it then it is a lovely bonus.

Re: im a bit concerned
 

Hey jdr,
what If I was to buy a holiday home for cash in the area and rented it out at a lower than average price, would I make money or be wasting my time please?

Re: im a bit concerned
 

I read somewhere recently that the average time for the sale of a resale property is 3 years. I think, but couldn't swear, that the article was referring to the Costa Del Sol

Re: im a bit concerned
 

3 years :ohmy:

Hmmmmm dont think thats right surely ?

Re: im a bit concerned
 

I know! I was gobsmacked which is why it stuck in my brain!

Re: im a bit concerned
 

I wouldn`t say the average, but I know people`s places been up for a couple of years, and some near us are still up for sale that were up for sale when we moved to this urbanization over 4 years ago.
In that time thousands more built and thousands still for sale, new and old.

Re: im a bit concerned
 

If you paid cash and rented at a reasonable rate you would make a decent living and still have a place at the end.
I will be your tenant, send over the money and I will get us somewhere nice. ;-)

Re: im a bit concerned
 

nice try!

Re: im a bit concerned
 

Well he did ask. ;-)

Re: im a bit concerned
 

sounds good, You have the money to pay me in advance for the whole rental period I take it:D

Re: im a bit concerned
 

x

Re: im a bit concerned
 

Hang on, I will have a look in her purse. ;-)

Re: im a bit concerned
 

Please :eek: I hope it's when she isn't looking, bad form otherwise don't you know;)

Re: im a bit concerned
 

Hey, Mrs JDR

Think I should warn you that he is being a bad boy!!!!

Rosemary