How to sell Spanish real estate fast

[robberto]

Believe it or not you can sell your Spanish property in a matter of days. The key is to set the right price.

A couple years ago a property selling e.g. in Mallorca for 500K was sold within 2 months, nowadays the same property will not even sell at 450K, but might stand a change if its priced between 350-400 K. (
Many investors and 2nd home owners who bought Spanish property and have to sell would like to close their eyes and wait until their nightmare is over. They are faced with the decision of having to sell their property at a loss.
Most of these investors would rather wait a little longer and see what happens. They might think about the recuperation of the US housing market and they desperately are focusing on the positive economic figures in Europe.
What these investors are disregarding is simple fact of Who in their right minds would want to buy a property which has been in the market since a long time and for the same selling price?. The chances of finding a buyer ar very very slim.

So here a couple tips when selling Spanish property.

1) Sell at the right price
Try to be realistic when selling Spanish property. If your property is not selling its because of the price.
Lower the price of your property and you will be amased to see what the effects are.

2) Be sharp
When your property comes into the market invest heavly in promoting it. The fisrt couple of weeks are essential when trying to sell the property. The longer your property is in the market the less chances it has.

3) Compare prices
Check what similar properties are selling for and price your property in a competitive way.

4) Seek professional assistance
An estate agent will probably help you filtering potential buyers and curios not wanting to buy buyers.

5) Be calm
When showing a property to a potential buyer do not give him the sensation you desperately want to sell. Do not overly exagerate the positive points of the property.

6) Do not disregard offers
If someone makes you a valid offer, one that is within reason, do not disregard it or you might regret it later on.

7) Using social media and other property portals
Make sure the property is priced the same in all the media and with your estate agent/s.
Having different prices is suspicions and scares buyers off.

8) Using an attractive ad
Properties that do not have pictures do not sell. Aln make so provide good descriptions and if you can make a video presentation.

9) You sold your house, or maybe not.
Let say you found a buyer. Make sure is has the credit to buy it. Make sure he can get a mortgage.
Make sure that when a deposit is paid to in case the sell is canceled. Do not take the for sale sign off until the sell is completed.

 

[Janaro]

Buying tips

Thanks for the tips!

I got rich information like this from Scott Marshall at [snip>I like it when the look out for the customer before making money over inexperienced buyers like myself!

 

[algorfa]

I think that many of the agents which are left now have changed their ideas on selling and how to sell. At the height of the boom, it was not a problem to sell, if one client did not like it then it would be like London buses, there would be another along soon.

Many of the big boys have gone away, many of those who had joined the market to make a quick euro have also gone, you are now left with those who are in it for their dedication and will be there for the future.

It is about time that agents came to realise that the client has rights as well as the agents desire to sell a property at any price they can get, but the vendor has also got to realise that the buyers are not there in the numbers that once were so have to be more realistic on the price they want.

If everyone was more realistic on price and cost, then the market would move again.

 

[rowlandsbb]

I'm sure that most agents still in business appreciate that nowadays you have to give a profesional service to both buyers and sellers and not before time!

There are lots of sellers who have adjusted to the current market including the Banks with their repo sales and large [ or formally large] developers like Polaris World -on their established resorts they do offer some good realistic deals

Agents do not dictate the market but re act to it and sellers who really want to sell are taking a sensible view
But we are a long way from having an active market in Spain or for that matter in most of EU

The economies of the EU countries inc UK have to get growing again and the debts reduced before the demand will be sufficient to really activate the market

In the meantime those with finance can be selective and pick up bargains

Due to the current state of the EU economies, and we seem to move from one crisis to another EU & world wide, I suspect the market will be flat for some time

By 2015 we should see sufficient economic improvement for buyers to come out of the woodwork and start implementing their pent up desire to own a 'Place in the Sun' -why 2015-well by then certainly those in UK will have more money in their pocket again !

And this may well be the case with other Northern EU buyers

So it looks like 5 years of a flat market but there will be locations which will better this and start moving sooner

 

[greg]

The right price is a definite...

Everything else is a matter of many factors.

Do not take the for sale sign off until the sell is completed.

Excellent point! Many sellers forget that a deposit is still far from the sale...

 

[SusanaSuspenda]

We have had an awful year in Costa del Sol and an exceptional year in Mallorca because in Mallorca we have been able to bring buyers and sellers together wheras in the Costas buyers still have a ridiculous idea of what they can buy property for.

Mallorca really is the London of the Spanish real estate market and just doesnt have the oversupply that other parts of Spain has so buyers tend to know when they have got a good deal.

 

[wolfgangbrand]

We have had an awful year in Costa del Sol and an exceptional year in Mallorca because in Mallorca we have been able to bring buyers and sellers together wheras in the Costas buyers still have a ridiculous idea of what they can buy property for.

Mallorca really is the London of the Spanish real estate market and just doesnt have the oversupply that other parts of Spain has so buyers tend to know when they have got a good deal.

Hi

I think it is not just a matter of people having rediculous ideas about what they can buy property for, but I also think that many poeple have silly ideas about what they can get for their property.

The usual calculation is: What did I pay for it + what I want to earn on the sale (usually way over reasonable interest or typical capital gains) = sales price.

People have still not realised that the prices that have been charged 5 year ago, had nothing to do with a market values, it was all balloony fantasy prices based on the "noblese" image of Marbella and on the everlasting sunshine. The later is still here the former is gone!!

The only time when you can get a reasonable price from a seller is when he bought a house lets say 5 years ago for X pounds when he came here and now he wants the same amount back. This is a good deal for a Euro-buyer because he needs now much lets Euro to give the seller his price in pounds.

With rentals , especially commercial rentals the picture is even funniere: Locals and offices are empty fro years becasue the (Spanish) owner does not lower the rent.

The definition of insanity: Doing the same things over and over again but expecting different results.

Regards

Wolfgang Brand

 

[InmoLaSirena]

Fully agree with you, owners, in general, don´t think about low prices, they keep thinking in better years before. Only owners who consider honestly the real market, do a reasonable price sales, and they are who get the deal

QUOTE=wolfgangbrand;136014]Hi

I think it is not just a matter of people having rediculous ideas about what they can buy property for, but I also think that many poeple have silly ideas about what they can get for their property.

The usual calculation is: What did I pay for it + what I want to earn on the sale (usually way over reasonable interest or typical capital gains) = sales price.

People have still not realised that the prices that have been charged 5 year ago, had nothing to do with a market values, it was all balloony fantasy prices based on the "noblese" image of Marbella and on the everlasting sunshine. The later is still here the former is gone!!

The only time when you can get a reasonable price from a seller is when he bought a house lets say 5 years ago for X pounds when he came here and now he wants the same amount back. This is a good deal for a Euro-buyer because he needs now much lets Euro to give the seller his price in pounds.

With rentals , especially commercial rentals the picture is even funniere: Locals and offices are empty fro years becasue the (Spanish) owner does not lower the rent.

The definition of insanity: Doing the same things over and over again but expecting different results.

Regards

Wolfgang Brand[/QUOTE]

 

[patrick1972]

Fully agree with you, owners, in general, don´t think about low prices, they keep thinking in better years before. Only owners who consider honestly the real market, do a reasonable price sales, and they are who get the deal

QUOTE=wolfgangbrand;136014]Hi

I think it is not just a matter of people having rediculous ideas about what they can buy property for, but I also think that many poeple have silly ideas about what they can get for their property.

The usual calculation is: What did I pay for it + what I want to earn on the sale (usually way over reasonable interest or typical capital gains) = sales price.

People have still not realised that the prices that have been charged 5 year ago, had nothing to do with a market values, it was all balloony fantasy prices based on the "noblese" image of Marbella and on the everlasting sunshine. The later is still here the former is gone!!

The only time when you can get a reasonable price from a seller is when he bought a house lets say 5 years ago for X pounds when he came here and now he wants the same amount back. This is a good deal for a Euro-buyer because he needs now much lets Euro to give the seller his price in pounds.

With rentals , especially commercial rentals the picture is even funniere: Locals and offices are empty fro years becasue the (Spanish) owner does not lower the rent.

The definition of insanity: Doing the same things over and over again but expecting different results.

Regards

Wolfgang Brand

[/QUOTE]

Unfortunately as we are all too aware based on our Irish property collapse, property owners are fueled by greed and estate agents added to the fire. The main consideration when selling a property anywhere in this economic climate is to be realistic. This means accepting that you are not going to get the same prices as 3 to 4 years ago. Once you accept this, put your property up for sale on as many sites as possible at a realistic price (seek advice if necessary). Do not commit to 1 agent, use as many as you can avail of. Consider all offers on face value even if they are below your asking price. Dont be afraid to hold out for the price you want but also don't lose a sale for the sake of a few thousand. Using resale sites and agents is a good idea but large upfront fees should be avoided. Do your homework on these sites and always compare their costs to what you would have to pay to sell it privately (their fees versus advertising and selling the property yourself). A few pointers but hopefully helpfull, I have successfully sold a few properties of mine by being realistic and using all avenues available to market the property to the right areas. I think Russia is the best option for many sellers at the moment.

Best of luck to all selling their property.

 

[SJS]

'Try to be realistic when selling Spanish property.' I think that line is something every seller should look hard at!

Kind regards
SJS

 

[Raj15]

I think the main problem is where there are so many bargains in the repossessions market, people from the UK are expecting very cheap prices, and where the pound is strong against the Euro with the current Debt crisis, it is attractive for people in the UK to expect cheap prices

 

[algorfa]

Many UK buyer are reading to much in the press about how prices have dropped in Spain, but the press does not quanitfy the comments that the biggest price drops have been on the Costa Blanca which is due to the number of unfinished or empty properties there are.

Then there are the Banks who have got big numbers of empty properties on their books, but the majority of them are apartments in none tourist area's and also not in very good condition. Yes they do have some that are in tourist areas but they have to cover the cost of the debt, interest and other costs to reach the selling price. They are also offering high percentage mortgages to try and shift them.

So if the UK buyer only reads part of the report, then they will believe that property is cheap than it is and then start to look at unrealistic prices. I know someone who is looking for a 10 bedroom property in Costa Brava and will only pay €600k tops and thinks they will get it, they have 3 months to sort.

 

[LaurenX]

The problem now however is not the price or the "right price". We now have a bigger problem in Spain.... The banks and their reluctant attitude to lending......

 

[LaurenX]

Ok thanks for that. I may will give him a call. The problem I am having is that it is august so bank managers are on holiday and only the staff that do not speak English seem to be around....

 

[DC]

Good advice

 

[Dave_Velasco]

I don't know how selling properties on Spain is going - but - what I mostly do is talk really sensible and appear to become a trustworthy person so that the person would be trusting me and probably continue buying my properties.

 

[Agent in Spain]

I find it quite amazing that as an agent you can arrive to list a property or to show buyers around and the place is in a state of disarray. We try to tactfully advise sellers that properties need to be in a good state of repair and above all clean and tidy for viewings.

How many agents here on these forums have had to suffer the embarrassment of aggresive or over friendly dogs, unmade beds, dishes piled high in sinks, damp flaking walls... the list goes on. These are the same sellers that want the best possible price for their property but will simply not accept the need to make an effort in this flat market.

Gone forever are the days when just about anything was snapped up as "an investment" but if a property is priced right and presented in the correct way then it will probably sell, anything else and it will be passed over for one of the other properties that does meet this criteria.

C

 

[andyhoney]

Great article, makes for some very interesting reading. Well done Roberto!

 

[halley decosta]

Thanks for sharing this great tips about Spanish real estate.I also think that for selling any property various factors have to be considered such as real estate market strategies,rates comparison , advertisement in newspaper or through classified ad posting & lastly the person who is selling property must be passionate & calm about his work.

 

[DC]

Different markets, different conditions.
Mallorca has higher end clients. So not affected so much as the middle and lower markets.

Also depends on the vendors situation. ie. has to sell, desperation versus, wants to sell.

Prices can be still be volatile, and buyers are still driving hard deals.
Also bank lending is tight, so this affects pricing. Many variables.