31/07/2014 – Finanzas
Spanish real estate sector portrays “tangible stabilization symptoms”, such as rise in demand in comparison to the previous year or the slowdown in property value slump. However, recovery will move on “gradually” as the unemployment rate still goes through the roof and unsold housing stock consistutes a stumbling block for property sales.
These are findings of real estate advisor RTV which implicates “direct investment in quality assets in excellent locations, risk diversification and a long-term approach (min. five years) that are crucial to take advantage of the turn in tendency”.
Given all that, the company predicts the demand for homes will increase this year for the first time since 2010 and the new unit sales will go up for the first time since 2007.
“The improvement will be influenced by better lending conditions and economic activity, higher number of foreigners buying Spanish properties (mostly Europeans and Asians), a growth in betting on dwellings as a mean of investment, consequence of fall in prices and the abrupt reduction of return from other financial assets, as well as deposits and public debt”, RTV says.
Original article: Finanzas (after: Europa Press)
Translation: AURA REE