The real estate boom experienced by the Spanish property market during the last decade finally saw its conclusion throughout 2007, when national prices rose by just under 5%. This figure, although normal compared to other European property markets, represents a modest rise compared to the yearly increases of nearly 20% experienced at the height of the property boom.
The shift in Spanish real estate is certainly a negative for powerful investors – who are no longer able to buy and sell Spanish property on a large scale to make huge profits – but doesn’t reduce the appeal of a Spanish home for private homebuyers looking for a home abroad in a beautiful, relaxing environment.
In fact, the re-stabilization of property prices, while reducing the short-term profits appeal of Spanish real estate, has made the Spanish property market a more hospitable place for individual buyers in search of a place to retire, relocate or buy a vacation home in.
From an individual consumer’s point of view, the booming market in years past created a tense situation that put buyers in disproportionate competition with each other. Sellers had it too easy with quickly rising prices that guaranteed a nonstop flow of demand, and very little emphasis was placed on the rights and needs of the buyer.
The market then was a playground for investors with deep pockets and businesses related to the construction and sale of Spanish property. Upstart estate agencies intent on getting a piece of the action sprang up like so many weeds in an abandoned garden, and towering construction cranes dominated the Spanish cityscape.
This situation endured for a decade, during which time the Spanish economy thrived off the massive influx of investment from across the globe. Spanish cities were revolutionized and acquired the modern face and excellent infrastructure they enjoy today.
With the conclusion of this mad scramble for construction and profits – which had both negative and positive consequences at various levels of Spanish life – individual homebuyers face a much friendlier, accessible market. With today’s moderate increasing property prices, consumer satisfaction has once again been given the attention it deserves.
Perhaps most importantly (since quality services are always available to one degree or another independently of market conditions), consumers looking to buy a Spanish home no longer find themselves in fierce competition with one another. Buyers are free to approach the purchase of a Spanish home in a more relaxed manner, and have gained added leverage at the bargaining table.
Greater accessibility and bargaining power for the buyer increases the appeal of Spanish property for those interested in a long-term investment in quality of life. While market conditions remain in a constant state of flux, the actual experience of life in Spain presents a more unchanging reality.
Spain’s sunny weather, beautiful natural surroundings and wonderful culture make enjoying each moment life has to offer a natural, effortless experience. As long as Spain retains its priceless natural and cultural heritage, it will remain as one of the world’s most favored destinations for an overseas property.
Patrick Collins works as a content writer for oppSpain Spanish real estate agent that is specialised in selling off plan properties in Spain and new developments.