I would like to take this opportunity to thank all our clients (buyers, vendors and renters) past, present and future and wish them a very Happy Christmas and New Year.
A special thanks to Brigitte and Etienne for their hard work throughout the year to ensure we have gone from strength to strength and still remain the number one choice for clients, and also to Angela and Angel at AP Abogados whos professionalism and tireless assistance has proven invaluable throughout the year for both ourselves and our clients.
So we look back fondly on a record 2014 and look forward to very exciting news in 2015 and the prospects of exceeding all our expectations yet again.
During the Christmas period we will close at the end of business on Friday 19th December and reopen on Monday 29th and 30th December. We are closed 31st to 5th December.
We will of course be available via email and telephone.
Interesting article in the Financial Times, pointing to better times ahead.
Spanish house prices are rising for the first time in more than six years, suggesting that the country’s nascent economic recovery is gaining traction even in sectors that were hit hardest by the recent crisis.
House prices in the second quarter rose 0.8 per cent compared with the same period last year, the national statistics office said on Monday. It was the first year-on-year increase since the first quarter of 2008, which marked the end of a decade-long housing boom and provided the trigger for Spain’s subsequent housing bust, banking crisis and sharp rise in unemployment.
The turnround in Spain’s housing market, if confirmed in the months ahead, would provide yet another sign that the economy is now firmly on the mend – and would vindicate the recent surge in foreign investment heading into Spain’s real estate market.
Antonio Garcia Pascual, chief euro area economist at Barclays, said the rise in house prices reflected broader trends in the Spanish economy, with the main driver of the recovery shifting from exports to the domestic economy: “Unemployment has been coming down for some quarters, disposable incomes are rising and bank lending is less of an obstacle than it was – so it is only natural that asset prices move along with that improvement.”
A rise in house prices could provide a further boost to the domestic recovery, he argued, pointing out that property is by far the main source of wealth for Spanish families. But Mr Garcia Pascual also warned against over-optimism: “I don’t think you will see a rapid rebound, simply because there is so much supply. You are talking about hundreds of thousands of empty apartments. This will take time.”
The second-quarter increase comes after one of the most dramatic property boom-and-busts experienced by any European country during the crisis: at the high point of the recent cycle, in 2006, the construction sector made up more than 13 per cent of national output, and Spain boasted more housing starts than Germany, France, Britain and Italy combined. Since then, house prices have fallen by more 35 per cent across the nation, and about 1.7m workers in the construction industry lost their jobs.
Spain emerged from recession last year, and the economy has recently shown signs of accelerating faster than most analysts expected. National output in the three months to June rose 0.6 per cent compared with the first quarter this year – one of the biggest leaps in the eurozone. The Bank of Spain currently predicts that the country’s gross domestic product will rise 1.3 per cent this year and 2 per cent next year.
On Monday, the Organisation for Economic Co-Operation and Development praised Spain’s economic recovery in a new report. Angel Gurría, the OECD secretary-general, said in a statement: “The economy is growing again, employment is rising, the banking sector has stabilised and financial markets’ trust in Spain has increased.”
The Paris-based group urged further reforms, however, especially to help Spain’s 5.6m unemployed back into work.
You can see the article in full here:
Another busy week at Hondon Valley Homes with sales and completions aplenty. We seem to be living at the notaries and lawyers offices over the next couple of weeks completing sales before the big Spanish August shut-down when most of the country goes on holiday.
A big congratulations to Jill and Selwyn from Hondon.......new beginnings, and also a big welcome to Swa and Annie Renders from Antwerp to their new 4 bed villa in Almistech, may you have many happy years in your beautiful new villa.
Also a big thank you to our dedicated teams of lawyers who provide a level of service to our clients way beyond what would normally be expected. Enjoy your holidays...... we will keep you busy upon your return.
The image below shows the vendors (left) having the escritura (deeds) translated from Spanish into English by their lawyer and the purchasers having their deeds translated from Spanish to Flemish by their lawyer in the offices of the local notary.
We have taken a new video of the village. Shot nice and early on the morning of Sunday 13th July it shows the village waking up to another beautiful sunny summers day with temperatures on the day of 30'c during the day and 20'c during the evening. Later on in the morning the cycling teams arrive for their breakfast and an enjoyable cold drink before resuming their tour. The video shows the village square, church, sports centre and surrounding countryside and is worthy of viewing on your tv if you have a smart tv as we have shot it in HD. I hope you enjoy the video.
Please click on the link below to view.
There has been a lot of talk in social media and websites regarding gazumping in the Spanish property market, so I thought I would take a little time to clarify for the confused and inform for those needing further explanation.
Gazumping is the practice of a vendor reneging on an agreement to sell a property to one purchaser in favour of accepting an improved offer due to monetary considerations , more favourable time-scale, a more secure (safe) offer.
In Spain we have a very simple and easy solution to ensure that gazumping never occurs. If you have a competent agent they should be able to explain to you how this simple system works and gazumping should be something you never need to worry about.
Unlike the UK where a handshake or verbal agreement can sometimes be acceptable, in Spain we have a much more robust solution to ensuring both buyer and seller are committed to the purchase/sale.
In order to secure the property of your dreams there are two simple steps you need to follow should you find your perfect property; pay a reservation deposit and sign a reservation contract.
1. RESERVATION DEPOSIT.
In order to secure your dream property you will pay YOUR lawyer (not the seller, estate agent or sellers lawyer) a 3000€ reservation deposit. The reason that you pay this to your lawyer is to notify the vendor that you are serious about purchasing the property. The 3000€ will only be given to the vendor when their lawyer proves to your lawyer that the property is fully legal and correct to proceed. This deposit is non refundable once paid, so if you change your mind you have lost the deposit. To avoid gazumping the vendor if they wish to cancel the sale will need to return the deposit plus the same amount again as compensation.
2. RESERVATION CONTRACT.
Again, to legally secure the villa and have it removed from the market a reservation contract will be drawn up by the lawyers. This details all parties involved, the property, location, completion dates and agreed price. This contract will be signed by all parties
With the contract signed and deposit paid you are secure in the knowledge that the property is yours and will be removed from the market.
The result of the above........ NO GAZUMPING.
Do not leave your choice of property agent to chance. Go where the informed buyers choose to go... Hondon Valley Homes.
If you are not satisfied with the advice or service you are receiving from your agent, you can be assured of a warm welcome when you come to see Hondon Valley Homes. Our young, yet experience team will guide you through the buying process in an informed, relaxed and friendly manner. We work with great lawyers, bankers, architects and financiers. Just ask around..... we don't sell more properties than any other local agents, by looking to the past as we only look to the future.
We live in Hondon, We work in Hondon, We love HONDON.
Many people think of Alicante as just an airport from which to depart North, South or East to your chosen final destinantion, however this wonderful vibrant city has much more to offer and is a real jewel in the Costa Blanca crown.
There is a new time lapse video of the city which shows many of the fascinating aspects of the city from tourism, recreation, sports, arts and gastromony. A very entertaining couple of minutes.
We recently did a little housekeeping regarding the website in the new year and I asked the designer to add a background to the website. He used a sample image to give me an idea of what it would look like, however rather than using a generic image I popped down to the best beach in the area (El Pinet near Guardamar and took the image that we used). I have received a lot of emails from clients asking where the image was taken, hence this post. The image was actually taken about 50m from the seafood restaurant that it right on the beach at El Pinet next to La Marina village close to Guardamar and Elche. A stunning beach with many km\'s of clean golden sand and sand dunes.
Thank you again to Juan Carlos Marhuenda at TLA Corp lawyers for producing this article for our clients regarding the update in the transfer tax in August 2013. For further information on all tax and legal aspects please visit their website at www.tlacorp.es
On the 2 - INHERITANCE TAX
WE ARE COMENTING IN THIS ARTICLE THE MAIN ASPECTS AFFECTING PURCHASE/SALES
VAT on NEW PROPERTIES (properties acquired directly from builders), from 8% up to This modification, initially, was not affecting RESALES (properties acquired from a particular), which are not subjected to VAT. Resales are taxed with another tax called “Transfer Tax” (Impuesto sobre Transmisiones Patrimoniales) . So, resales, in Valencia region was at 8 %, also in other regions as in Murcia.
nd of August 2013, buyers will pay the 10 % on properties based in Valencia Region (Alicante, Valencia, Castellon), and in Catalonia (Barcelona, Lérida, Tarragona, Gerona).
Stamp Duty, has been increased up to - In New Properties, together with 10 % VAT
- When there is an update of the deeds declaring a new construction, or extension, etc.
- ACQUISITION OF NEW PROPERTIES in Spain (Valencia, Catalonia, Murcia, Andalusia), pays 10 % VAT + 1,5 % Stamp duty.
- In Catalonia+Valencia Region: Pays 10 % Transfer Tax
- UPDATE OF DEEDS in Murcia, Valencia, and Catalonia: 1,5 % Stamp Duty
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