Wednesday, August 29, 2007

Spanish Property Weather Report

More doom and gloom if you are an estate agent on the Costa del Sol. Half of those who set up in the last 4 years are reportedly struggling to keep their doors open.

Whilst some agents are going under or finding new jobs, some are "re-structuring". Large developers are reporting fairly whopping losses too.

However you dress it up the market has undergone a distinct slowdown and most agents are downsizing or cost-cutting in one way or another.

Some would argue that there are fewer buyers than previous years. What there definitely is, everyone will agree, is a surplus of (often overpriced) product. And a surplus of agents trying to sell it. With fewer transactions there will inevitably be fewer agents in the near future.

So where's the good news?

Well if you're a buyer, then brilliant. You can expect agents to be tripping over themselves to welcome you into their shops. Hungry agents will nearly always cut their commissions with a bit of gentle nudging. Plus a good proportion of vendors will be desperate to sell, and will often accept significant drops in price.

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