Best investment real estate locations in Spain?

[Webber]

If you had US$200,000 to invest in real estate. which locations would you choose to invest for best short term and best long term investments?

[Rixxy]

The best area is always Marbella and surrounding areas. For 200,000 dollars you certainly would get a 1 bed property. Is this cash because if so you have buying power and could purchase a 2 bed 2 bath property. Short term investment isnt good here at the moment - you need to look mid to long term for capital return. Let me know if you want more info

[andyk2]

Hi Webber,

I don´t believe there are any short term investment opportunities in Spain. Once you take into account the closing costs of your purchase (10 - 15%) and then the cost of selling your property and taxes - there is not a lot of fat in it for you. This probably applies to most countries (definately Morocco, Hungary, Poland, ......). Longer term (5 years plus) look at either one of the lease back projects (Terrazas Costa del Sol in Sotogrande - managed by Pierres y Vacances) or the Jardin de los Reyes project in Almansa - both appear in the IPIN section of the Property Showrooms web site, with a full investor report.

[Peter Mitry]

Originally Posted by Webber

If you had US$200,000 to invest in real estate. which locations would you choose to invest for best short term and best long term investments?

Despite what others have said about the Costa del Sol the area around Granada city is booming; I have bought and sold three properties in a new Golf development near to Granada for an ROI in excess of 200% in just 18 months.

How is this possible? Minimum in - maximum out; just 10% on signing contracts, 10% in 12 months and 80% mortgage on completion. Oh and a 5% rental guarantee for the feint hearted.

If anyone would like more info on this I will be happy to help.....

[andyk2]

Originally Posted by Peter Mitry

Despite what others have said about the Costa del Sol the area around Granada city is booming; I have bought and sold three properties in a new Golf development near to Granada for an ROI in excess of 200% in just 18 months.

How is this possible? Minimum in - maximum out; just 10% on signing contracts, 10% in 12 months and 80% mortgage on completion. Oh and a 5% rental guarantee for the feint hearted.

If anyone would like more info on this I will be happy to help.....

I know this development Peter. There´s a new release on Wednesday up there. I did a 12 year cash projection on a unit up there with the basic rental guarantee. It returns 500.000 €uros net profit over the twelve years with a max cash exposure of 150.000 €uros. PM me for more info

[greg]

Originally Posted by Rixxy

The best area is always Marbella and surrounding areas. For 200,000 dollars you certainly would get a 1 bed property. Is this cash because if so you have buying power and could purchase a 2 bed 2 bath property. Short term investment isnt good here at the moment - you need to look mid to long term for capital return. Let me know if you want more info

Marbella?? Hasn't tourism gone down a lot? I mean long-term sure but short-term I would think places like Madrid/Barcelona would be better.

Originally Posted by Peter Mitry

Despite what others have said about the Costa del Sol the area around Granada city is booming; I have bought and sold three properties in a new Golf development near to Granada for an ROI in excess of 200% in just 18 months.

How is this possible? Minimum in - maximum out; just 10% on signing contracts, 10% in 12 months and 80% mortgage on completion. Oh and a 5% rental guarantee for the feint hearted.

If anyone would like more info on this I will be happy to help.....

Yeah Granada sounds possible, rural areas are definitely becoming more popular... But again short-term rentals I would go for somewhere like Barcelona.

[Glyn the Lawyer]

In response to the original question from my personal experience on a day to day experience of many areas along the coast I would firmly say Girona. Short term clients have made healthy returns and long term is very positive.

Best regards

G D Moran
info@legalandfiscal.com

[eyeonspain]

Valencia is by far probably one of the best investment areas at the moment. They are to host the Americas Cup soon and property prices have been rocketing. That's where I'd put my money!

Regards

Justin
Spanish property forums - Talk to buyers of off plan investment property Spain

[morris100]

I can not believe people are recommending Marbella. The market is completely saturated with new homes. Working in Altea on the Costa Blanca we are seeing more and more people move up away from the Costa Del Sol. So much of the property is overpriced and at a time when buyer confidence could not be lower. The police arrested the city’s mayor, deputy mayor and recently 30 councilors amid allegations of money laundering, property development offences including building on land protected from development and also manipulation of public tenders and the acceptance of bribes.

1000s of people have invested in property that is now locked in this battle. Work has been stopped on many developments and all those who have invested are left sitting on their hands while the money is all tied up. God knows how long it will take.

I would advise looking at areas with stricter planning laws for your own security. In Altea for example it is not permitted to build over 4 floors in respect of other views and in order to preserve the style of the Spanish town.

Altea is having a multi-million pound marina extension at Puerto Campomanes with a view to making it Costa Blanca's leading super-yacht marina and Jean Nouvel winner of the competition for a series of "great projects" requested by Francois Mitterrand, the French President, is designing an exclusive one off development at the opposite end of the spectrum from the mass produced golf resorts. Prices will start there from 800,000 euros for 1 bed’s and they are selling!

Developers in some of the most exclusive urbanizations of Altea are offering off plan sales of highly specked apartments at circa 300,000 euros. This surely offers much better value for money and much greater potential for capital growth.

For a wide selection of new and off plan properties in the Altea area take a look at Sigma Altea’s web site. - Property in Spain, villas, apartments and plots in Altea,La Nucia, Albir*- Costa Blanca - Alicante.

[andyk2]

Quick reply - where´s the exit strategy? I live near Marbella. It´s open for business. Just been to Altea, and stayed in a hotel right on the front. Where was everybody? Why where all the bars and restaurants shut? Who is going to buy/invest in a project that is closed for 4/5 months of the year? And it´s not just Altea - went to Mar Menor and La Manga as well. If it wasn´t for the £50 inspection trips around Polaris World, half of coastal Spain would be empty.