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Focus on Spain | 26
There are certainly lifestyle savings to be made as a Spanish bank account, here are a few other Choosing a newer property that has either under
however; deviating from UK brands towards a key factors to be aware of: floor heating, hot and cold air conditioning
more localised shopping basket, can make for a Weigh up the risk of being a currency and/or tiled or wood floors could save you
far less costly option than shopping in the UK. gambler: In recent months Sterling has thousands. Also, are you familiar with the costs
Home Espania fluctuated dramatically which can have serious of maintaining a pool? A property with
(www.homeespana.co.uk/newsletter/jan09- ramifications for your property purchase: if the communal facilities could certainly help
livingcost.asp ) and Othercountries.com pound strengthens your property will cost you minimise these.
(http://spain.othercountries.com) are an less, if the Euro strengthens it will cost you more. Be in it for the long term: Like the UK, the
excellent resource, which provides access to Choosing a ‘fixed’ exchange rate can help Spanish property market has suffered and buying
typical annual living costs through to grocery mitigate this risk if you are not prepared to a property and selling it quickly for a quick profit
costs. It is then possible to weigh up anything gamble. is not likely in today’s market. Instead taking a
from the cost of running a small villa on the Find a Spanish legal specialist: Britons often long term investment view is advisable. Spain
Costa Blanca, right down to the average price of experience problems buying in Spain because will always be a popular destination for expats
a bottle of red wine or even a single red pepper. they simply don’t ask the right questions. and holiday makers, so demand for your
In addition, keep an eye on the utilities sector as Spanish solicitors see their role as facilitators of property long term will always exist.
there are lots of changes occurring in this sphere. your purchase, so unless your solicitor knows Location & Marketing: If you’re hoping to
exactly which avenues to explore it’s possible they supplement your income through holiday
Property could overlook something essential. Banco rentals, location is key. Some of the best
It is undeniable that the Spanish property Halifax Hispania has an approved panel of examples of popular buy to let property in Spain
market has declined over the last two years. And English speaking, qualified solicitors and are those which offer easy access to the airport,
with this there have been a number of surveyors that can help with all aspects of the golf, beach and facilities. If all of these can be
unfortunate expat casualties. There have been purchase. These solicitors and surveyors have offered within a relatively easy drive (or even
many horror stories regarding people who have local knowledge and experience of acting for within walking distance), then this could prove
invested in property abroad only to experience British customers. to be a good buy to let investment. Consider if
inconceivable difficulties from developments not It’s all in the detail: Boring and time- your chosen destination will attract holiday-
being finished on time or at all; to tales of consuming as it may sound, if you are going to makers, and then consider the type of tourist
properties being subjected to threats of relocate and live in Spain all year round, be a that would want to stay in your chosen property.
demolition and shrewd vendors taking stickler for detail in your property search. Taking For example, the typical high season for a small
advantage of the unwary British purchaser. But a 'preventative rather than cure' approach could 2-bed beach apartment would be from June to
it doesn’t need to be like this. save you from future ills and bills. Whilst that September, but if there are few year-round
UK buyers should, however, pay very close four bedroom marble lined villa with a crystal facilities or golf courses in the vicinity the
attention to fluctuations in the exchange rate blue pool is likely to be exceptional in the property may rarely be used in the winter
between Sterling and Euros, and the significant summer months be mindful that the majority of months. While a ground floor flat, for example,
differences between buying a house in the UK older properties developed in Spain were could appeal to parents wanting to keep an eye
and buying a house in Spain as these are constructed primarily for summer use. That on their children by the pool, or to disabled or
unquestionably where some of the greatest stunning marble floor that has a refrigerating infirm travellers. Tapping into the best websites
pitfalls lie. quality in the high summer – will be equally that attract the highest number of rental
In order to own property in Spain you must freezing in mid winter. And with temperatures enquiries for Spanish holiday homes is also
have a Fiscal Identification Number (NIE – falling to degrees in single digits in winter you critical. Whilst the proof of the pudding is in the
numero de identificacion de extranjeros) as well could be faced with phenomenal heating bills. eating with services such as these, the
www.investmentinternational.com November 2009 Investment International
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