Duquesa Property Reposessions

Duquesa Property Repossessions

Property Repossession Myths

Numerous clients have approached Barrington Homes to enquire about repossession properties hoping to acquire an incredible property and an incredible price. Understandably clients believe that the opportunities to buy these properties exist here in Spain using the same system as in their own country. In Spain the process of purchasing these properties is lengthy and often unpredictable due to the complicated legal and auction systems that are intertwined with buying a repossession property in Spain.

The current situation

The global credit crises has of course had the same brutal effects to the Spanish property market as in other countries leading to numerous property repossessions by Spanish banks. Some banks are now offering lists of available properties to selected agents. Barrington Homes have received numerous lists of Duquesa property repossessions but as yet have not seen any property bargains in Duquesa. The banks are of course looking to recoup the debt they have on the property i.e. resell it for the same amount as the mortgage value. This is theory sounds like you could buy great property bargain in Duquesa. However due to previous loan to value mortgages being offered at up to 100% of the property value during the property boom banks now have a debt on the property which is way in excess of current resale prices. For example Barrington Homes have property repossessions in Casares del Sol for 195,000€ whereas already listed for resale are identical properties in Casares del Sol for 135,000€ a staggering 60,000€ cheaper !

Duquesa Property Repossessions - The future

Banks in Duquesa are now considering the idea of reducing the asking prices of repossession properties to make them more attractive to buyers. This will come into affect when the banks repossession stocks mount and the bank needs to remove the debt from their balance sheet. When this happens Barrington Homes clients will have the option to purchase Duquesa repossession property at much cheaper prices than we are currently seeing. If you are interested in having access to Duquesa repossession email info@barringtonhomes.eu with your property criteria.

The repossession buying process

Buying Duquesa repossession property is not an easy process and may possibly take many months if not years to finalise depending on the legal stage the repossession is at. When buying a repossession property you are effectively buying the debt from the bank with the 1st option to purchase the property which is granted at the end of the legal process when all other avenues are exhausted to recover the debt. The bank also do not offer a financing options for this purchase and as such buyers are required to have 100% of the purchase costs to buy the debt. So, if you have the patience, cash and are able to act quickly a Duquesa property repossession could be yours ! To be added to our mailing list log onto www.BarringtonHomes.eu and sign up to our newsletters.

Light at the End of the Tunnel for the Duquesa Property Market !

Recently the international media seems determined to dampen the property market and some could say with good reason. The 'property bubble' has burst and many people are now faced with higher mortgage payments due to interest rate rises and property that they can no longer afford. However questions remain unanswered about the longevity and strength of the Spanish property market and how that will effect property owners in Duquesa.
So, forget about negative media hype. Lets review the facts:

• The Spanish ministry of housing has reported that on average house prices in Spain have risen by 5.7% in 2007 (report compiled in Oct 07).
• There is a 37% reduction in new build construction in 2007.
• New property and planning laws are more controlled than ever with all plans and projects being approved by Central Government agencies.

What does this mean ??

For current home owners here in Duquesa and the province of Malaga property prices are enjoying a very steady increase in price (all be it a very small one !). So even though the demand for buying property is not as strong as before your property is holding its value and is still a good long term investment.

The laws of supply and demand are of course applicable and as new build construction is down by over 33% this means that over time demand will again outweigh supply and the property market will naturally return to being buoyant and prices will increase.

New planning laws will ensure that the natural beauty of the Duquesa area is maintained to the highest possible standards regarding environmental issues and the aesthetic beauty of the area. As consumer confidence increases in the worldwide property market buyers will naturally be attracted back to Duquesa and we will enjoy a return to the property boom.

What will happen to the property market in Duquesa in the future ?

My personal opinion, which is one that is shared by many Real Estate professionals in the area, is that in the long term the future is very bright for Duquesa and its property market. The current situation is simply a necessary adjustment to the market and not the crisis that the media love to portray. As with any market there are booms and slower periods. We are currently experiencing a natural slow down which in the long term will result in a much more professional Real Estate market, more realistic property prices and higher quality build specifications and regulating in the area. It is now an excellent time to buy property in Duquesa as the prices are more realistic and the long term potential growth in the Duquesa area looks superb !

What shall i do now ?

If you are struggling to pay your mortgage or cannot sell your property many home owners are looking to re-mortgage their property to arrange a more favourable interest rate or to switch to an interest only mortgage. For mortgage advice on interest only mortgages contact me on info@barringtonhomes.eu Other owners may wish to rent their property for either holiday rentals or long term rentals in Duquesa by doing this owners can generate a good income from their property which can then sell at a later stage as the market improves.

By marketing your property for sale at a 'realistic price' there is still a good demand for property in the Duquesa area. If you would like to sell your property by placing it with a reputable and proactive estate agent in Duquesa many people can still generate a good return on their investment.

The real point to emphasis in this blog is that yes, the property market isn't as buoyant as in previous years, but it isn't all bad, and in fact, given time we will look back on this period as being a 'cleansing process' for property in Spain by choosing to invest in such a beautiful and sought after area as Duquesa you have made a good decision.

For advice on property sales in Duquesa or if your are looking to buy a property in Duquesa log on to http://www.barringtonhomes.eu/