News of the week

The most notable news this week was the intervention in the UK by the government to support Northern Rock. Fears that they might not be able to pay back savings people had in their accounts, led to massive withdrawals which in turn threatened the stability of Northern Rock.
In order to avoid panic the British government stepped in and supplied Northern Rok with enough credit to weather the storm.

In turn this has let many property owners in Spain to believe that we are facing a crisis in Europe as well as in the US. As one distressed client put it: "The roof is falling in".
Fortunately, this is far from true. To give you one fact, the Spanish economy is growing at an above EU average of 4% annually.

What is true, is that we are seeing a readjustment of the market after years of very high profits for speculators. Overall, Spanish property was overpriced, but since summer of 2005 we have seen a gradual decrease in selling prices. They are now nearing a level that is more in line with the real values of properties.
In other words, it´s a buyer´s market, but we all knew this, didn´t we.

You can snap up some really nice property if you are quick enough.
Before everyone starts calling, let´s enjoy a few hours on the beach.