Advice
This section is aimed at providing you with some helpful tips for creating the very best advert for your property. In this section you will also find an up to date guide and report about the current Spanish property market. We hope you find our information helpful and of interest.
When creating your property advert try to include all of the most relevant information to your potential holiday maker, long term tenant or buyer. It is important to give them a full description of the property, some information about the location or complex and also some guide on the local facilities, amenities and attractions. When talking about the property include how many beds, whether there are singles or doubles, mention any extra sleeping options such as camp beds or sofa beds and try to briefly mention all other rooms that are available. When describing the complex and location try to remember that the reader may have never previously visited the area. You can add all of the facilities in bullet points within the facilities section of the advert. Remember to make sure that you always give an honest description on all aspects of the property, over elaborating may lead to the disappointment of your holiday makers.
When you are adding your pictures try to use clear and up to date shots of your property. Pictures of the property generally look better when they have been taken on a sunny day (luckily Spain has plenty of these!!)
Pictures of the property furnishings, views and possibly some of the facilities will be a helpful guide to the people when they are viewing your property. The visual aspect of the property will be one of the major reasons for people choosing your property. Spending just a few extra minutes in preparation for your photographs will be a worthwhile exercise. Try taking the pictures with the rooms well lit, use lights and lamps if neccessary. Always dress tables and the beds and arrange outdoor furnitures to make all of them look ready to use.
For most people letting their home on a short term basis will mean that they do not live close by or in most cases not even in the country. In these situations you will need to make sure that you have a reliable contact or agency who will hold the keys and inspect the property before and after your guests arrival. A local rental agency or perhaps a friend will probably be your best option. When using a rental agency or estate agent you can expect to pay some kind of management fee. These can vary between agencies and will depend on the exact type of services you ask of them. Try and use companies that have been recommended or are long established. It may be that you can negotiate with an agent to manage your property on a cost related basis. If you are not expecting large numbers of visitors you may benefit from this system. When letting your home on a short term basis remember that you should ask for a deposit to be held against any breakages or damage to your property. This deposit should be offered fully refundable, at the end of the rental, upon the agreement that the property is returned in the same condition in which you supplied it. You should always check that your insurance policy will cover you in full for any accidents caused or incurred by your holiday makers.
When you are renting on a long term basis you will need to make sure that you have a legal contract signed by both parties. The document should ideally be signed in both English and Spanish, and initialled on each page. Most good agencies will provide these for you if you are using one, alternatively your solicitor or abogado can provide a contract for a small fee. People have often made the mistake of entering into long term rentals without the correct legal documentation. In our experience this can be a mistake and can often lead to future problems. It is far better to pay the small fee for the solicitor or agency to make sure you have a binding agreement.
With long term rentals it is usual for a security deposit to be held by either the owner or an agent that you employ. In most agreements this figure will be based on between 1-2 months of the monthly rent and the rent is usually paid one month in advance. Contracts in Spain are offered generally between 6 -11 months and are generally renegotiated between 1-2 months before the expiry date. You should always check that you have a relevant insurance policy to cover you and your property during your rental contract.
If you are considering buying in Spain then you should be aware of some of the following points. The sales market in Spain has been in decline for the last three years, mostly due to an over supply of new builds and also due to the rapidly increasing prices that were being asked. This situation is now presenting some fantastic opportunities for people who are in a position to buy. Most sellers have been forced to drastically reduce prices, some by as much as 50% of the price that was paid originially. It is certainly a 'buyers market' at present and most sellers can expect to have to negotiate to around 10-15% of there asking prices to achieve a sale.
Many developers who are left with empty developments are currently slashing there asking prices and offering excellent incentives to try and attract new buyers. Even with all of these offers there are still very few buyers currently in the market place. The banks in Spain, as in the Uk, have clamped down heavily on their lending criteria and are now looking for larger deposits to be placed along side any mortgage offers. With this situation unlikely to change before the end of '09 it is likely that many properties will be driven even lower in price over the next six months. Many developments that have been built over the last 2-3 years are likely to have a large percentage of their stock remaining unsold. If you decide that one of these properties are for you then be sure to follow some of the following guide points. A developer may well be correct when they offer you a reduced price property and tell you that it is the very lowest price they have ever offered. What you need to check is the prices at which the same properties are being offered for by private sale. Many investors and individuals will have bought off plan and may now be selling at a much lower price than they originally paid. This price may also be lower than that of the developers even with their new discounts or offers. Make sure that if you are shown round by the developer that you always tell them that you will 'go away and think about it' before you make any decision. The developers sales person will always be keen for you to sign during your visit and many people have felt pressured into signing without actually wanting to do so! Always make your decision away from their nice show home and after you have considered all of the other options available. If you are intending on using your purchase to achieve an income through rentals, be sure to do your research as to the realistic prices that are being achieved. Do not take the quote from the developer or estate agent as being a definite guide. A price that they may have once obtained for a client may no longer be a realistic price that you will be able to achieve.
It is perhaps true to say, that over the next six months, there will be many bargain properties available to be bought at prices of levels lower than have been seen for more than five years. Where possible you should try to look on a property purchase in Spain as a 3-5 year minimum investment. During this time you will be able to return some money per annum via rentals. The numbers of online holiday makers is increasing in numbers every year and each is searching for a desirable property direct from its owner. During this longer timescale you should also expect to see the property market return in strength and hopefully see some capital growth from your investment. Most importantly you will have a place that can be used for yourself, family and friends to spend some quality time in the sunshine and enjoy the laid back lifestyle that is common place in Spain.
What ever the world economy is doing or wherever the exchange rates may be, there are some major factors that remain in place on which to focus; The sun continues to shine in Spain for the majority of the year, the Spanish lifestyle continues to be one of the most envied throughout the modern world and because of both of these factors the numbers of annual visitors and tourists to Spain just keeps on growing.




