An article in “The Times” newspaper recently reported that there has been an 84% increase in UK buyers completing on Spanish purchases this year in comparison to 2013, so are Brits panic buying Spanish property…?!
With an average of 6 buyers chasing every UK home for sale, banks beginning to free up their lending and prices all over the country rising – these factors are creating higher equity figures in properties and allowing UK home owners to start releasing equity in their properties.
6 buyers chasing every UK home for sale
Add that to consumer confidence being on the increase and Sterling against the Euro being the best it has been in 22 months, surely this is the concoction that creates an ideal property market rise.
One of the biggest ingredients of panic buying and the subsequent creation of a property market boom is the fear of loss. That loss being the loss of not buying a property at the right time, not buying at the bottom of the market, and not obtaining the best possible increase in value over the years to come.
Dinner parties throughout the mid 90s were littered with people reciting the amounts that they had paid for properties in the early 90s after that bubble burst and how much of an increase they had made during the following years.
84% increase in UK buyers completing on Spanish purchases
So, are people from the UK panic buying?…I seriously hope not. Yes, I’m an estate agent and of course I make my money from people buying property, but in my opinion, when things get out of hand and people start panic buying, standards start to slip. Yes, you heard me right, slipping standards and that’s coming from an estate agent in Tenerife…who’d have thought it..?!
BEWARE the approach of the next bubble, whenever it is.
The last 6 to 8 months have seen new estate agent offices popping up all over the place, possibly being set up by people that actually know a thing or two about the market – unfortunately by default there will be plenty of people that know absolutely nothing and this is my concern. How many people are going to be hooked into the next bubble by panic buying property that they haven’t had checked out properly, haven’t been advised on properly and haven’t even carried out any checks on the agent or developer that they are buying from?
All I’m saying people is…BEWARE the approach of the next bubble, whenever it is. Don’t be dragged into it unaware…and do your homework. Check how long agents have been in business, see if they have any positive or negative reviews on their websites – do they even have a website…?!, ask other people that have bought property in the past for referrals of estate agents both good and bad and above all, use a lawyer to do your paperwork, you wouldn’t dream of not using a lawyer in the UK for your property purchase and back home you speak the same language…here, it’s a totally different language and totally different system…!!!
“Let’s be careful out there” as they would have said on Hill Street Blues in the 90’s…now I’m showing my age.