Real Estate Torremolinos

Crisis. Buy or not to buy??

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Spanish Real Estate Jargon

confused property owners Torremolinos?!

zondag 6 juni 2010

What is going on these days. The Euro goes down, The pound seems to go up a bit. At least it does against the euro! The new British government takes measures. Spain cuts salarys of all workers in public service!

How does this all effect the value of my real estate in Torremolinos. Is the price of my property going down or up? Is it smart to buy a house or an appartment now?

The truth is..... Nobody knows! The pound going up against the euro is good ofcourse, specially for property on the Costa del Sol. But will it last? Nobody knows. Don´t forget that the Uk is having for example a deficit and national debt like Spain. Even higher! So what will that do with the pound on a long term? That´s very important specially if you decide to live in Torremolinos and have an british income.

The salary cut that the Spanish governmentgave top everybody working in public service doesn´t help the housing market in anyway.

Free advice: The financial and economic markets are very instable, so wait a bit and see how it develops. You can always rent a property in Torremolinos for the time being. rentals are cheap at the moment!!!

Public Wage Cuts, Lowers Growth Outlook and prizes of real estate

vrijdag 21 mei 2010

The following article is taken form the web. We think the conclusions are pretty obvious. have a look.

May 21, 2010 -- Spain approved the first public wage cuts since returning to democracy in 1978 and reduced its economic growth forecast for next year as the government tries to tame the euro region’s third-largest budget deficit.
Gross domestic product will grow 1.3 percent in 2011, less than a previous projection for 1.8 percent, and the government said the deficit will narrow to 6 percent of GDP next year from 11.2 percent in 2009. Wages for government workers will drop 5 percent in June.
“We prefer to have a conservative forecast at the moment, a conservative forecast that’s due not just to the deficit- reduction in Spain but also to similar processes in other countries,” Finance Minister Elena Salgado said in an interview with RNE radio today. The measures were approved at yesterday’s weekly cabinet meeting.
Faced with a surge in borrowing costs and calls from European Union partners to slash the deficit, Spain is reducing salaries and freezing pensions in a U-turn that prompted unions to call a strike. The cuts, the deepest for at least 30 years, were announced last week in response to the EU’s 750 billion- euro ($935 billion) aid mechanism for debt-stricken euro members.
“The measures are so unpopular, it’s the last thing you want to do, so it shows you really are serious,” said Michael Dicks, head of research at Barclays Wealth in London. “The worry is more how does the economy perform when you do 6 percent of GDP of fiscal tightening -- the rule of thumb is you’d knock 3 percentage points, at least, off your growth profile.”
Spain’s largest union, Comisiones Obreras, will probably call a general strike in protest, Efe newswire reported, citing Secretary General Ignacio Fernandez Toxo. No one at the union, which supported Greek workers in their strikes against austerity measures, could immediately confirm his comments.
Unions, which Socialist Prime Minister Jose Luis Rodriguez Zapatero has courted since coming to power in 2004 and consulted on measures that affect them, have already called a public- sector strike for June 8.
“If you’ve got strikes before you see the pain, before you probably see the economy contracting again, you worry about what that means six months down the line when the economy is failing to enjoy some sort of recovery and social and labor market tensions increase,” Dicks said.
Ratification Needed
The decree approved by the Cabinet yesterday goes into effect immediately and then needs to be ratified by parliament, where the ruling Socialist party doesn’t have a majority.
The budget plan has dented the government’s popularity, with the opposition People’s Party extending its lead over the ruling Socialists to 9 percentage points, according to a poll published by El Pais on May 16. Facing regional polls this year and a parliamentary election in 2012, Zapatero said this week he wants to make “those who have the most” contribute most to the reduction in the deficit.
Salgado would only say today that any tax hike would be “very specific” and may remain in place for the duration of the economic crisis. The measure will affect those with assets of more than 2 million euros, El Mundo reported.
Spain abolished in 2008 a wealth tax that charged a rate between 0.2 percent to 2.5 percent on assets above 600,000 euros and raised 2 billion euros a year.
Growth Forecast
The government’s new growth forecast remains more optimistic than those of the European Commission and the International Monetary Fund, which see the Spanish economy expanding 0.8 percent and 0.9 percent, respectively. Salgado, whose government initially responded to the global recession with one of the largest stimulus programs in Europe, has said getting the budget under control has to take priority over growth.
The extra yield investors demand to hold Spanish 10-year bonds rather than the German equivalent rose to 139.4 basis points today from 138.6 basis points yesterday. That compares with a 14-year high of 164 basis points on May 7, three days before EU governments hammered out a mechanism to stop contagion from the Greek crisis spreading across the euro region.
In return for that backstop, Spain and Portugal agreed to deeper budget cuts. Zapatero will also slash his own salary and that of cabinet colleagues by 15 percent, freeze pensions and scrap a 2,500 euro subsidy for new mothers. The government plans to cut the budget deficit to 4.4 percent of GDP in 2012 and 3 percent in 2013, in line with the EU ceiling.

Our conclusion is that this measures will lower house prices even more. also on the Costa del Sol and Torremolinos, because there still isn´t a bigger demand for real estate by foreigners. The housing market will stay a buyer market. Be patient when buying a house or an appartment in Torremolinos

Spain Is On The Brink Of Financial Collapse Because Nobody Pays Taxes

zaterdag 8 mei 2010

Spain threatens the strength of the euro currency union far more than Greece, given the much larger economy. And it turns out that, just like Greece, Spain has a horrendous tax-dodging problem. Which means lost tax revenue the Government has to borrow money for.
For Spain, such tax shenanigans center around the property market where reportedly half of landlords evade taxes.
Owners are asking for payment in cash from tenants to avoid tax on 2.5 billion euros ($3.5 billion) of earnings annually, the Gestha union of tax inspectors estimates. An increase in rental properties nationwide hasn’t generated any more tax revenue.
The Spanish government, seeking to pull the country out of its deepest recession in 60 years, needs all the money it can get right now. The slump was triggered by a crash in the housing market and has left Spain with the highest budget deficit since at least 1980. Taxes go unpaid on income equal to about a quarter of gross domestic product, Gestha estimates.
Encinar, whose company lists 360,000 properties for rent and purchase, said Gestha’s estimate that 54 percent of landlords are ducking taxes “falls short of the true figure, which is set to grow further.”
So let's see, as a back of the envelope calculation, $3.5 billion a year for the last ten years would mean $35 billion in government expenditures which required debt to finance versus using tax revenue. Given that a $35 billion dollar European bailout for Spain, today, would make headlines and likely remove market concerns regarding Spain's financial situation, stories of lax tax enforcement show how Spain only has itself to blame here.

Real estate agents in Torremolinos

zaterdag 17 april 2010

Hereby a selection of real estate agents in Torremolinos. It is not possible place them all. The following estate agents will show only a small amount of all the properties in Torremolinos.

Have a look and see what they offer.

An agent which is listed below doesn´t mean it is a quality real estate agent. The list is just to provide some help. So judge yourself about there quality.

Danza Invisible, La Nogalera,
29620 Torremolinos (Málaga)

Universal Inmobiliaria
Avenida Palma de Mallorca 27
29620 Torremolinos (Málaga)

Avenida Carlota Alessandri, 150
29620 Torremolinos (Málaga)

Calle Las Mercedes 13
29620 Torremolinos (Málaga)

The real estate agents above all have websites in English.

Buying property with no real estate agent in Torremolinos

maandag 12 april 2010

Just like almost everywhere in the world. There are nowadays lots of possibilities to find real estate in Torremolinos, Costa del sol, Spain. Besides local news papers like El Sur or El Sur in English The main search source to find your property is internet of course. The following websites can give you an impression what properties are for sale in Torremolinos.

It is always smart to have a look with a professional. Don´t try to buy real estate without help.

Top 3 mistakes made by real estate investors

dinsdag 6 april 2010

Real estate investment is perhaps one of the most lucrative forms of investment today. Especially on the Costa del Sol and Torremolinos, because the renting out possibillities are great. But it is also equally risk bound especially when one is not well versed with the trends and nuances of the real estate market.

Knowing the most common mistakes made by real estate investors will help one steer away from making similar mistakes and ensures good return on investment. has put together the top 10 mistakes after speaking to established, full-time real estate investors and other professionals involved in real estate investment such as bankers.

1. Not planning ahead
Lack of a proper plan is the biggest mistake made by novice investors. Finding a house after forming a proper investment strategy is the right way instead of looking for a house to fit the plan. Many make the mistake of buying a house because it seems to be a good deal and then try to see how they can fit it into their plan.

Instead of buying a house and thinking one can plan in due course, investors should concentrate on the numbers and try to make offers on multiple properties. This will ensure a good property that not only matches their investment model but also works out well with the numbers they had planned for.

2. Believing you can make money quickly
The second major mistake that real estate investors make is to think it is very easy to get rich in real estate. This is only a myth. The reality is that investing in real estate is a long-term project.

3. Doing it single-handedly
To become a successful real estate investor, one needs to build a team of professionals to assist in deals. This would ideally include a real estate agent, an appraiser, a home inspector, a closing attorney and a lender.

So before buying your spanish real estate in Torremolinos at the Costa del Sol....have a look first at the ten most common made mistakes at

Cannot pay the mortgage of my property in Torremolinos!

donderdag 1 april 2010

cannot afford to keep the mortgage payments up on a property. What possibillitys are there for real estate owners. What bank is flexibel in Torremolinos and what bank is not.

First of all there is a option called ´Dacion en pago´ whereby you come to an agreement with the bank for them to keep the property in return for canceling your debt. While it seems like an attractive solution, there are several points to bear in mind before considering it as an option:

1. The banks are not obliged to offer you this option and it will vary significantly from bank to bank and even from branch to branch.

2. It is an agreement, therefore even if they agree to take the house in lieu of payment of the mortgage, they may not agree to cover any taxes that are due.

3. Even if they agree in principal, it can take many months for them to formalise the agreement.

It can be a very good option if you get agreement from your bank as although you would ownership your property, you would not be put on the bad debtors list. Some banks also let you remain in the property on a rental basis, so that you would not even have to vacate. If you default on the payments or have your house embargoed it could prove very difficult to get any credit in the future.

The first step would be to speak to local bank in Torremolinos, where you have the mortgage, to ask about all the options that are available to you, including the ´dación en pago´. If it is not an option, they may offer other alternatives that will help make the mortgage payments more affordable.

I have heard that Unicaja in Torremolinos is one of the most flexibel banks when it comes to difficulties with your mortgage or your property.

I hope it doesn´t happen ofcourse and that you all will live long and happy in your choosen real estate in Torremolinos or elsewhere on the Costa del sol.