The European Mortgage Federation has revealed that the Spanish mortgage market reached its highest ever level of lending during the last quarter of 2004. The Federation's latest statistics show that the rates of expansion are still increasing in Spain, Ireland, Poland, France, Finland and Greece compared to countries such as Germany and the Netherlands, which are currently experiencing a slowdown.
It is thought that the new figures are due to the changes in the way UK residents take holidays. Now, holiday makers can tailor there own break by booking flights, car hire and accommodation over the internet. People can buy their own holiday home, and let it out for around 24 weeks of the year which pays for their mortgage.
This growth in the Spanish mortgage market is expected to continue for the foreseeable future.
Our view
has offices in Spain and is experienced in the property market and has many dealings with Spanish banks. The reality for Spanish property at present is that many of the bargains are now gone and property prices are as expensive, if not more, than the UK.
People are being seduced by cheaper property inland. This is OK if you can speak Spanish but if you cannot you may experience difficulties as English speaking help tends to be on the Costa's.
Contact our spanish sister firm , SL for help or advice.