I have just come across a website that will benefit Brits and other Non Spanish residents who have sold a property in Spain between July 2004 and December 2006.  If this is you, then you have been overcharged by 133% and could be due a  rebate.    Go to   http://www.spanishtaxreclaim.co.uk/  to check further details.

Cash Is King.   The Costa Blanca property market has plummeted due directly to the global credit crunch and now is the time to pick up a bargain.

Those looking to sell their Spanish homes face a daunting wait if they are unwilling or unable to reduce their asking prices as there are literally thousands of houses for sale in Spain. It's only the bargains now that buyers are pursuing and for anyone lucky enough to have sufficient savings to buy property on the Costa Blanca, then cash is king .   

People hoping to take advantage of the current glut of properties but needing a Spanish mortgage are unlikely to succeed.  Banks are not lending money unless the client has a squeaky-clean credit history and a large deposit.   

Cold Feet for New Developments.

Developers have been left in deep financial crisis and are being left with many unfinished and unsold properties as potential buyers turn their backs on anything new or off plan.   Being put off by the stories of developers going into bankruptcy half way through or are otherwise worried over potential problems if a developer does not have all the paperwork properly in place get the utilities on.    Why buy a property if it has no electricity or water, and then waiting for it, for, possibly months if not years to be resolved?

 Resale Bargains Galore.

With so many resale properties for sale they in fact can prove to be the best bet for those unwilling to get involved with the high risk game of buying offplan. With so many locals and expats finding it difficult to make a living in Spain it is inevitable that some are facing increasing difficulty with their mortgage payments. Those wishing to sell up and move back to the UK, are forced to greatly reduce their asking prices in order to attract a buyer.  A similar scenario is applying to some pensioners, who have seen their pension income hit hard by the devaluation in the Pound, up to 30% in some cases.

 They are not entitled to any additional UK benefits whilst in Spain and they too are finding life very tough.   So many are selling up to go back to blighty where at least they may get the financial assistance they need.

Money in the Bank?

If you have money in the bank, or under the mattress, it is probably the best time ever to look at property on the Costa Blanca.   If you are seriously considering an overseas property investment then you should seriously look at buying a property in Spain whilst they are at rock bottom prices.

Spain and in particular the Costa Blanca is still the favourite European country for Brits. looking to live in the sun.  For those waiting for the British Pound to recover against the Euro,  I think you will be waiting a very long time.  What signs are there in the UK that things are going to get better in the short and long term future ?    In addition  the virtual parity of the Pound with the Euro means that Brits can sell cheaper if they are planning to return to the UK.

Now is the time if you want to pick up a bargain. 

Buying property on the Costa Blanca is easy, if......

...you prepare, do your home work, employ appropriate professional advisors and above all apply the same common sense you would if you were buying any where else!

We have all heard the nightmare stories about buying property in Spain, not getting what you thought you were; illegalities in the property being purchased; charges left on the property; title not being transferred; structural problems; or just plain being gazumped, to name just a few. In reality all of these are preventable if you approach the buying of any property in a sensible way and don't get bullied into taking short cuts!

Set out below is a simple check list. It is not intended to be exhaustive but applying these principles should see you safely navigate through the property buying maze and  enjoy your new investment rather than ruefully regret the day you ever thought of buying abroad....

• 1. Prepare a Brief - Really think about what you want, the characteristics of the property, its location etc In other words establish a tight brief for yourself and to discuss with your estate agent or property finder. You need to be flexible but the general rule is don't get carried away with a property that doesn't meet the criteria you have set. It is easy to get seduced by a stunning view, the charm of a rural "finca" and the smooth talking of the selling agent, when in reality the property really doesn't measure up to what you want and need!
• 2. Establish your budget and arrange any loan finance before you start seriously searching and viewing property. Too many people waste time looking without really getting to the bottom of what their budget is and what loan finance will be available. Establish from the outset how much money you have to put down and how much, if any, mortgage you will need. If you need a mortgage get this arranged immediately so when you are viewing and eventually negotiating a purchase you are doing so with the comfort of a formal mortgage offer in your back pocket.
• 3. N.I.E. (Numero Identificacion Extranjero) - Via your solicitor or "gestor" apply for your NIE number(s) - tax registration number. This can take up to 6 - 8 weeks and need to be in place before the taxes associated with your property purchase can be paid. Any delays could result in a fine, adding unnecessary costs to an all ready expensive process.
• 4. Use a competent and independent lawyer or legal advisor. Paying more doesn't always mean a better service, but equally you "pay for what you get"! The rule of thumb is don't go with someone recommended by the estate agent unless you are 100% sure about the agents standing and the "values" under which they operate. If you do go with a recommended lawyer always ask the solicitor whether they pay commission to the instructing agent. It might just suggest an overly cosy relationship and questionable "independence". Decide who you will be using early on so there is no rushed decision once an offer has been made and the sale agreed.
• 5. Contracts - Don't sign anything until you are 100% sure about your decision, your solicitor has done the appropriate "due diligence" (checks on title, charges etc) and you are certain your finances can be in place to meet the timetable agreed between you and the vendor. Remember deposit monies are nearly always non refundable and will be lost if you do not eventually proceed with the purchase, unless the contract has been well drafted and clearly sets out specific conditions that must be met.
• 6. Surveys - Seriously consider whether you need a survey done by a qualified professional (Chartered Surveyor or Architect) and that they have appropriate professional indemnity insurance. Not every purchase will need a full survey but if there any tell tale signs of problems - cracks, damp etc, or where there has been recent building work, it might just be sensible.
• 7. Lastly and certainly not least just use your common sense!

Good luck and happy house hunting!

www.thecostablancapropertyguide.com