Well, there really is only one topic of conversation at the moment – property!
What is happening to property in the UK, what is the future of property in Spain and what is going to happen to prices during the course of the next twelve months?
Many of the headlines, both here and in the UK are attention seeking – “Costa Crisis”, “Recession Looms” and these will influence everyone who reads them, hears them on the radio or sees them on TV.
The problem with headlines is that they rarely reflect, accurately, the situation for everyone, everywhere.
We, at Torcal Estates have seen a dramatic drop in the level of enquiries coming from the UK in the past 12 months however people are still buying. The fundamental reasons for moving to this beautiful part of Europe still hold true – the weather, the lifestyle, the established infrastructure, the lower cost of living and the access to cheap flights back and forth to the UK.
The current market conditions have not been created overnight – this situation has been brewing for a few years and any estate agent in Spain that is surprised by the current market is plainly out of touch with reality.
Prices will continue to fall during 2008 and the sooner people get used to that fact, the better. It doesn't mean that properties aren't going to sell. It doesn't mean that people aren't going to move. It does mean that you may not get what you hoped for your property and it may be that you have to accept a lower figure than you originally wanted.
Prices in any market are always relative – for those who sell and are looking to buy in Spain, property prices coming down will mean that you can “save” money on your purchase which you may have “lost” on your sale. Equally, if you are buying a property back in the UK, you can find some real bargains and with the strength of the Euro against the pound, this is actually a fantastic opportunity for some.
Never forget – properties are selling!
People still want to live in Spain and especially the inland areas of Spain which have been less developed, less spoilt and therefore offer a sense of “real” Spain.
The market away from the coast is markedly different – there has never been the huge amount of supply of property which the coastal strip has seen (especially the amount of building over the last ten years) and therefore the amount of supply does not (significantly) outstrip the demand.
It has, and always will be, a much more balanced market place and therefore somewhat resistant to the affects that the coast are seeing.
P is the key!
This may seem strange but the power of “p” is critical to your chances of selling.
Purchasers are few and far between – the numbers of people buying has dropped significantly, however there are still people looking but they feel they have the upper hand, are in no rush to buy and want excellent value for their money.
The formula for selling your home is simple – the power of “P”
P for price – this is the most obvious way of affecting the chances of selling.
If the asking price is too high then the chances of people spotting your property amongst the rest is slim. If your property is in a selection of 20 other properties that someone has seen on a website or gathered from various websites, why should they
pick yours out specifically?
Some people feel that they should keep their price high because people will make offers – well, yes they will but there's no point putting them off with your asking price before they've really had a chance to consider your property properly.
Making the decision to place your property on the market at an attractive price will ensure your chances of selling improve. The only way to guarantee a sale is to offer an unbeatable price and make the property stand out from the crowd.
Don't necessarily believe that you have to “give” your property away either – if it looks like good value then you may well get very close to the asking price and some people will be surprised at just how much they can get for their home.
The second P is for presentation – if you can get someone to view that's where this “p” becomes all important!
If you have someone who is due to visit your property please take 5 minutes to walk through the property as if you were a purchaser – be critical, look at the things that would put you off a house that you were looking to buy.
Presentation starts when someone enters your land and sees the outside of your property – it used to be called “kirb appeal” in the UK because it was the main way people decide whether they wish to view a property or not.
It is well documented that people will make their minds up about your property within the first 20 seconds of a viewing – that means that first impressions count!
Any little DIY jobs that need to be tackled must be dealt with – they may be a pain for you to carry out but that is exactly what is going through the buyer's mind when they see them, as well. It is also highly likely that they will over-estimate the costs for these repairs, too!
Pets, kids and personal items can make a house a home – they can also over-personalise a property and can often put people off buying. If you have pets (especially dogs) try to make sure that their beds, toys and smells don't push your viewer to the next property they are seeing.
Presentation includes the way in which your property is displayed within your agent's office, on their website and in adverts – make sure they are doing a good job for you and not spoiling your chances of a sale with poor quality photographs.
The last P in the trilogy is P for paperwork! – If you are lucky enough to find a buyer for your property in the current market, make sure you don't lose them through poor paperwork.
Your estate agent should request a whole host of information from you before they place the property on the market (they are legally bound to do so) but many of them will not. This information is vital in ensuring that your sale goes through without a hitch.
Sales can fall through for many reasons – because you haven't got the right paperwork, because your lawyer is slow to pass this information to the buyer and because all of the banks and lawyers in Spain are tightening up on what is and what is not, acceptable.
Long gone are the days of buying properties with poor paperwork – check that you have all of this information to hand if you want a successful sale: IBI for 2007, a recent Nota Simple, all recent utility bills, all permissions for works and anything which might be of use to your agent or buyer.
Remember – if you think it is too much trouble to get these things sorted then your buyer will probably feel the same way. Don't give them an easy excuse for pulling out of your sale. Get organised and improve your chances of selling and the actual figure you end up with!
We, at Torcal Estates can help you with all of the above “p's” and we are successfully selling, even in today's uncertain times.
The next best “p” you can consider is the p for phone-call to Torcal Estates on 952 75 35 34.
We will happily provide a free valuation of your property, can give advise on the presentation of your property and we can also give guidance on many issues and problems connected with poor or missing paperwork.
