The History of the Property Market – Comaskey Properties

Lets take a trip back in time, not to far only 10 years or so, and see what happen with reference to what we could have or should have done.

The year is around 1999 and the market is stable, they are not building that many more new houses than is required. This is boosting the house price, because the construction industry is the guiding force in the Spanish economy. This moment in time remains in a some what flat growth period with minor price adjustments up to the year of 2002, or there about, at this time the market reacted to the buying
pressure and sent the price of houses up by 10 to 15 per cent during this span of time. Then in approximately 2005 the market started its downward spiral loosing all the points that it had gained over the years plus a few. This brings us to the present day with the house price leveling out with a 15 to 20 percent loss.

You ask who is this good for, first it’s good for the cash buyer as there are untold bargains out there to be had. Remember the golden rule, those who have the gold make the rules, and now is the time to
make the rules ie cheaper purchase prices. We may have been in a downward spiral but now all the indications are that we are on the cusp of a flat period for a little while with an upward turn in the
near future. If you are looking for a home to live in or one to rent now is the time to start looking for that ever elusive property.

The majority of the price fluctuation is the direct result of over build. During this time the money was cheap and building permits easy to come by as a result every body and anybody got into the building
business. What we need to do is stop the building and let the demand catch up with the supply. This is basic economics, the price is based supply and demand, in order for the price of houses to go up there
needs to be less houses on the market.

The rental market has not been affected that much with reference to prices paid by renters. There seams to be more people renting than buying because of the restricted mortgage market that could take some time to correct. So the rental market seems to be a good area to venture into at the present time where you can make a better return on your money than you can in a bank. For the family home purchase there is no better time than now to buy it as we are looking at comparable prices of the early 1990’s. So you missed the buying boom in Spain now is your time to catch up. All you need to do now is make a trip down to and make a deal.

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