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Spanish Housing Slump
Spanish Housing Slump
Any fears that this will spread to the Alagarve? I have to say that I have been considering a property purchase in CVO for sometime but have had the feeling that over development in the region could cause a slump. On my visits I have seen many older properties that have been up for sale for years and this has affected my decision. The new builds are very expensive and there are a lot to choose from. Any thoughts?
Spanish Housing Slump
I am the same as you TerryC, I have visited CVO many times over the past 25 years and I would still very much like to purchase a property in the CVO area (having failed a few years ago to do so). I feel that property has become overvalued and the various Tax/Legal situations that are being enforced at the moment are not favourable to a bouyant housing market.
The cost of property ownership in Portugal has become prohibitive, all the different levels of Tax and levels of red tape bureaucracy just put me off.
Will the Spanish slump spread? I don't think so, at least not for the reasons it is happening in Spain. Will the Portuguese Government cause it to happen? Maybe. Will UK Interest Rates rising cause it to happen? Maybe.
I think that one of the main reasons for all the current problems is the change in attitude when the Escudo was replaced by the Euro. When Portugal still had the Escudo, which lets face it was a basket case currency, any foreign currency was welcome. Now with the benefit of the Euro, a very nice Hard Currency, the Government thinks it does not need foreign currency.
I just do not perceive value for money in the current housing market.
The cost of property ownership in Portugal has become prohibitive, all the different levels of Tax and levels of red tape bureaucracy just put me off.
Will the Spanish slump spread? I don't think so, at least not for the reasons it is happening in Spain. Will the Portuguese Government cause it to happen? Maybe. Will UK Interest Rates rising cause it to happen? Maybe.
I think that one of the main reasons for all the current problems is the change in attitude when the Escudo was replaced by the Euro. When Portugal still had the Escudo, which lets face it was a basket case currency, any foreign currency was welcome. Now with the benefit of the Euro, a very nice Hard Currency, the Government thinks it does not need foreign currency.
I just do not perceive value for money in the current housing market.
If anyone is looking for a cheap second home then forget the established destinations, France , Italy, Spain. Portugal. Cyprus.
But if you want a real gamble then go for eastern europe where the cowboys really thrive.
Is the Algarve really expensive, where in the Uk could you buy a NEW LARGE 3bd 3 bath, with central heating, Pool, terraces etc for under £300,000. and enjoy 40plus weeks of sunshine.
We are doing just that and its a few minutes drive from the centre of CVO.
Rental problems in the Algarve ?
Look at Bulgaria where the new builds to date exceed the total number of tourists.
But if you want a real gamble then go for eastern europe where the cowboys really thrive.
Is the Algarve really expensive, where in the Uk could you buy a NEW LARGE 3bd 3 bath, with central heating, Pool, terraces etc for under £300,000. and enjoy 40plus weeks of sunshine.
We are doing just that and its a few minutes drive from the centre of CVO.
Rental problems in the Algarve ?
Look at Bulgaria where the new builds to date exceed the total number of tourists.
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Bruce Wallis
- CVO Oracle
- Posts: 5505
- Joined: Fri Mar 10, 2006 7:35 am
- Location: Wroxham, Norfolk/ Vale de Centiannes
Properties are selling in the Algarve and the values are still on the increase. The larger property developers and the ones who know what they are doing are still shifting properties quite quickly. The houses you see that are for sale after a few years are just the ones which are overpriced and where the owners refuse to negotiate.
No offence to you good folks of CVO, but I think it has been overvalued for a while. When I looked to buy 3 years ago, I couldn't afford CVO.
So I headed West on the shiny new motorway & found LAGOS. Beautiful spot - and bought 2 bed 2 bath appt, massive patio, for 140,000 euros.
Presumably worth a bit more now. But still great area, & you get a little more for your money.
Even cheaper, go East (no, not Skegness) TAVIRA. But watch out, you have to catch a ferry across the estuary every time you go to the beach!
Happy hunting - and DO IT!!!!! You only live once - live for the day. Buying in Portugal was the biggest adventure we ever had!!!
So I headed West on the shiny new motorway & found LAGOS. Beautiful spot - and bought 2 bed 2 bath appt, massive patio, for 140,000 euros.
Presumably worth a bit more now. But still great area, & you get a little more for your money.
Even cheaper, go East (no, not Skegness) TAVIRA. But watch out, you have to catch a ferry across the estuary every time you go to the beach!
Happy hunting - and DO IT!!!!! You only live once - live for the day. Buying in Portugal was the biggest adventure we ever had!!!
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laserblazer
- CVO Oracle
- Posts: 6209
- Joined: Sun Apr 30, 2006 11:11 am
- Location: Worcestershire and QdP
I looked ALL OVER the Algarve before I bought in Carvoeiro. The properties in Tavira were overpriced, in poor areas (i.e. nowhere near shops and restaurants - you had to drive everywhere) - the local authorities were not allowing swimming pools to be built, so 500 people were sharing a pool little more than a bath ...
Went to Lagos - more expensive than Cvo, run down properties, noisy in the town (much more so than Cvo) - went further west - quite cold and windy in April compared with Cvo, and considerably more expensive.
I only bought last year, and I had a low budget of 150k euros. Perhaps the more expensive properties are better value outside of Cvo. I do know that I couldn't find a 2 bedroom, 2 bathroom apartment with private roof terrace, two balconies and a swimming pool only shared by 10 apartments in a convenient part of town 5 minutes walk from the beach anywhere else in the Algarve!
Went to Lagos - more expensive than Cvo, run down properties, noisy in the town (much more so than Cvo) - went further west - quite cold and windy in April compared with Cvo, and considerably more expensive.
I only bought last year, and I had a low budget of 150k euros. Perhaps the more expensive properties are better value outside of Cvo. I do know that I couldn't find a 2 bedroom, 2 bathroom apartment with private roof terrace, two balconies and a swimming pool only shared by 10 apartments in a convenient part of town 5 minutes walk from the beach anywhere else in the Algarve!
Value for money indeed. If you are looking for sea side and sun, besides the Algarve having a more pleasant climate than central Portugal, the Atlantic along the south coast is also warmer and safer than the west coast Atlantic.
The development (okay, maybe over-development in some places) in the Algarve also means that there is more to do down here than sunbathing and cow-tipping.
The development (okay, maybe over-development in some places) in the Algarve also means that there is more to do down here than sunbathing and cow-tipping.
the sea is safer on the south coast than the windy west coast. 
however the best , safe swiming is in the warm crystal clear waters of Castelo do Bode over 40 miles long, lovely area with mountains. forests, lakes and rivers. although lake front properties are normally over the million euro mark they are still better value than what the same price may buy in other areas.
however the best , safe swiming is in the warm crystal clear waters of Castelo do Bode over 40 miles long, lovely area with mountains. forests, lakes and rivers. although lake front properties are normally over the million euro mark they are still better value than what the same price may buy in other areas.