BigD

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

Big Pete

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 ...

lynnxa

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!

jdr

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.

lynnxa

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

jdr

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

lynnxa

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

gemmaholly

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.

TheArmChairDetective

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?

culchie

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

Big Pete

3 years

Hmmmmm dont think thats right surely ?

culchie

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

jdr

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.

jdr

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. ;-)

rugbymatt

nice try!