The rebirth of off-plan property in Spain
The British market after Brexit British market strengthens after Brexit certainty The UK market has been one of the main sources of tourists and property buyers on the Costa del [...]
Off plan buying
Off-plan property buying in Spain has not always had a brilliant reputation over the years, mainly due to some less than scrupulous developers and the financial crisis. But the good news is that since reaching rock bottom in 2011, the Marbella property market has really taken off again.
So why, seven years on, is it time to buy new or off-plan properties in Spain?
Quality and professionalism
With an exciting range of contemporary projects now underway in and around Marbella, off-plan buyers really are spoilt for choice.
These days, purchasing off-plan property no longer means investing in dubious quality. Developers are now particularly attentive to high standards and value for money while paying careful attention to their buyers’ needs—expect high quality construction, spacious open-plan living and individualised floor plans, along with energy efficient features.
Safe and legal
Improved government regulation of banks and other lenders has brought about a fresh culture of financial safe practice. Payments for off-plan property purchases are now always safeguarded with bank guarantees.
Deposits are safer than ever too, as new regulations issued by the Spanish Supreme Court in 2016 reinforced investors’ rights to reclaim their deposits paid on off-plan properties. Banks and building societies holding deposit payments are liable to pay back the total amount received, should the deal not go ahead – there are obviously certain requirements to satisfy so legal advice is a must.
Mortgage rates in Spain are now lower than ever, averaging 2.62% in March 2018, representing an average rate decrease of 16.5% from 2017 rates. It’s small wonder that mortgage finance is on the increase and Spanish institutions are keen to lend to non-residents.
Spain’s real estate market is back on the move
• Property prices increased by almost 10% in the first quarter of 2018, according to Spain’s Land Registrars Association (Colegio de Registradores de la Propiedad de España)
• In the first quarter of 2018, the construction sector in Spain grew 6% year-on-year, according to Spain’s National Statistics Bureau (INE). This explosive surge is unprecedented since 2001 and marks a long-awaited renaissance in Spain’s property market
• Sales have increased 23% on the previous year in January 2018, according to Spain’s National Statistics Bureau (INE)
Looking to invest in any of Marbella’s top off-plan developments?
We would be pleased to show you around and help you pick the best properties to suit your needs.