spain - worse is yet to come - get out

[jonwell]

hi,
i have written many items for many companies which have a concern in property.
they maybe small articles but i have always given at least 4-12 month warning a cycle end and reverse trend happening.

same i wrote several articles about spain, i know all of british people are stuck and need to get out.

i have enjoyed this forum and i will be giving tips on what i would do if i owned property in spain.

i will look forward to further post if you have any questions please ask.

[rowlandsbb]

Not everyone want to get out of Spain
Certainly some do for a variety of reasons but the majority are happy with their property and enjoy the life style on offer either for full/part time living or as a holiday home

And the majority accept that property purchase is a medium to long term investment on top of the enjoyment they get out of it
OK just at the moment the values have dropped and no one knows if the bottom has been reached or if not when it will be -same applies to all types of assets in thisa recession..........for many shares and pensions have dropped in value much more
And if you have cash in the bank then your return has dropped a lot

Property economics tell us that values will recover- the demand for a place in the sun will continue to increase as people get better off and it depends on the recovery of the EU economies to convert this to an effective demand

30 years ago a skilled guy working in the building trade could not have afforded to own a property in Spain, in fact they were just starting to be able to afford to go on holiday in Spain!
3 recessions or so later they can

After each recession the western economies get richer than before it and this will be no difference

Not very nice for those who have to sell to the 'vulture purchasers' but the buyers are picking up some good deals

[Manzanares]

Originally Posted by jonwell

hi,
i have written many items for many companies which have a concern in property.
they maybe small articles but i have always given at least 4-12 month warning a cycle end and reverse trend happening.

same i wrote several articles about spain, i know all of british people are stuck and need to get out.

i will look forward to further post if you have any questions please ask.

Hi John - Do you own property in Spain ?

As an English person living and working in Spain I know full well how difficult things are at the moment - and not just for British property owners. But equally not all British people are stuck and need to get out.

I agree with rowlands that the eventual outcome will be an upturn in the market and an upturn if employment etc - the cylcle will continue.

There is no doubt it is extremely tough for Spain as it is for the UK and the majority of the World at the moment - but if people are in genuine difficulties with their property and have concerns, they should be speaking to their banks, lenders, or legal representatives.

Regards

[greg]

Originally Posted by jonwell

hi,
i have written many items for many companies which have a concern in property.
they maybe small articles but i have always given at least 4-12 month warning a cycle end and reverse trend happening.

same i wrote several articles about spain, i know all of british people are stuck and need to get out.

i have enjoyed this forum and i will be giving tips on what i would do if i owned property in spain.

i will look forward to further post if you have any questions please ask.

I surely agree, the worst is yet to come!

But getting out is definitely easier than it sounds. Plus as others have mentioned, not everyone wants out, even though it is bad.

Not to mention the fact that its probably bad, back "home", wherever that may be.

So what would you do if you owned property in Spain, jon?

[jonwell]

my reply to rowlands would that i understand the risk but when we all say the world is in trouble, it isn't, singapore is not in trouble, canada is not in trouble germany is not in trouble how many more examples would you like.

when you say recession after recession western countries get richer your basicly lying how can that be. yes they have huge debts for example USA is in to china and if you really look at things china is going around buying world assets for example...coal, oil, iron ore, all metals, it has huge stakes in africa, now it wants to become a currency controller, it gives manufactures goods and delivers to countries and in return it recieves money in it's own currency, not dollars or euro's or sterling... so i don't know which planet your sitting on.

and as for quick recovery well let me tell you JAPAN the second largest economy in the world after USA never saw the rise in property values for over 20 years and most of those 20 years it's been on 0% interest rates so what does spain offer that would get it self out.

blood on the streets will be there within 2-3 years as it chooses to come out of the euro currency as it's GDP begins to fall sharply, foriegn players would be blamed for this.

so yes it's no point saying it's a roof over the head when you know your paying for a declinning asset.

you must remember that what was the reason you bought this, to live happily ever after, this fairy tale was short lived.

it's no point saying you in for the medium term and values would rise your purely kidding yourself.

that begs the question what would i do if i was there.... i would get out.
things will have to get worse before they will ever get better, and if you can't see your wages go up tp the levels of the value of the property the chances are the values will come down fast and before they do just seek legal advice cut your loses and get out....

[jonwell]

hi greg

yes thing at home are bad very bad but when your in a foriegn country and there are barriers and different legal system then thing get worse.

the british buyers had bought where they were told buy, you see the are always easily led, so spanish builders who teamed up with british sales man knew what they were doing, it's not that credit dried up, it's the banks risk factor who stopped giving out loans.

any way where the british had bought there is no industry or anything where there is a economy just a holiday resort, you see we british are lazy we like a nice house by the beach plenty of beach babes and bars and that's what rolls in our heads well the spanish knew that and gave the british what they want homes by the sea and themselves more into mainland....check it out yourself...

now these guys are up to debt the best thing i can say is if your heading for 50 years of age.. quit now and get out no matter how painfull you will get a place in hull which is near the sea for peanuts becuse that's what you will have left.

i will post on thursday and believe me what i will reveal to you at some stage you will get out.....

[greg]

Originally Posted by jonwell

hi greg

yes thing at home are bad very bad but when your in a foriegn country and there are barriers and different legal system then thing get worse.

the british buyers had bought where they were told buy, you see the are always easily led, so spanish builders who teamed up with british sales man knew what they were doing, it's not that credit dried up, it's the banks risk factor who stopped giving out loans.

any way where the british had bought there is no industry or anything where there is a economy just a holiday resort, you see we british are lazy we like a nice house by the beach plenty of beach babes and bars and that's what rolls in our heads well the spanish knew that and gave the british what they want homes by the sea and themselves more into mainland....check it out yourself...

now these guys are up to debt the best thing i can say is if your heading for 50 years of age.. quit now and get out no matter how painfull you will get a place in hull which is near the sea for peanuts becuse that's what you will have left.

Hi jon,

I definitely see where you are coming from. Places like the ones you mention, offer no jobs, no proper culture other than bars and sun, etc. and very little proper infrastructure (public transport, health, etc.). From that perspective I'm sure back home could be concluded as better.

Nevertheless, everything is relative. There are those that have lived here for 20, 30, 40 years.... Or practically their whole life... For those this is all relative. Here they probably have much more opportunity than elsewhere.

But all in all I see a definite need for ugrading resorts to actual communities and bringing proper infrastructure, culture, leisure and economy (with real jobs)... Especially to the expats.

i will post on thursday and believe me what i will reveal to you at some stage you will get out.....

Very curious to hear what you will post on Thursday! Be sure to shoot me a PM to remind me come and check

[jacqui]

Not everyone is desperate to get out, I am moving to Spain with my family in September.
Things are pretty bleak in the UK also!
We aren`t all vultures, I feel that it is swings and roundabouts, we did not get as much for our house sale in the UK as we would have a year ago, but we do not expect to pay as much in Spain as we would have this time last year.
We are not looking to make our fortunes, but just make enough to keep ticking over.

Can`t wait to make a new life for ourselves in the sun!!
Roll on September.

Jacqui

[jonwell]

hi greg,

Any european community other than the u.k does not really welcome overstayers in their countries and as the u.k is going the same way as being defensive against other rivals.

french don't like the british, spainish don't like the british, many many europeans don't like us. they have strong cultures, respect to police and other members of the public, i mean here in the u.k people don't have respect for elders nor for parents you have seen what happens on our street we have a different culture to them, our culture is boozing, sex , smoking and were not going to be accepted.

the idea of integration of communities is a good one but it won't be accpeted, any body moving from u.k or other places is seen by the host country as a threat and nobody would want to lose their jobs.

spain has it's own problems and it's not just spain it's u.k and a few others, those who thought they could borrow and live on credit including governments have ran out of ideas. france and germany are stable members and will allways be france has a problem which the unions hold it to ransom in which margret thather got rid off here in the u.k. germany is a good producer of quality goods known all over the world they have invested heavily in india china and south america as well as africa but the spanish haven't and including the u.k and other western countries haven't.

if you go to asia you will see dealerships of auto's and also a manufacting plant to go with it.
Tables have turned and sooner or later the west is going to regret that the world ever became a global economy.

you see greg a lazy man in spain or united kingdom is still a richman, but in asia a lazy man is a dead man...
meaning in the west european any body not working living of the government will get fed but in asia no way out they are good as dead no benifits there.

i will see you soon...

[jonwell]

hi, jacki,
sorry for spelling.

i wish you and your family good luck with your move, i do understand in what your saying but u.k is still better option for anyone to staying here as it offers low risk compare to spain.

if i was to gamble i would choose austrailia rather than a european country it offers much more as well future development and welcomes every one.

no bodies a vulture when you make a profit, i don't like to see people lose and that's why i try on this forum to say don't buy. i mean there will be oppertunities available later with dicounts of more than 50% as we get deeper and deeper, we have just started and in spain it has to get far more worse than the u.k because of several reasons which i will post in the next few days....

i wouldn't buy but rent if moving to spain and it's not dead money as you will be able to way offset when you pick a bargain in 2011 or 2012.

once again wish you and your family good luck in your new country residence.