Majorca Property News

Mallorca Real Estate: Euro-crisis is good for business and property in Mallorca


The euro crisis, confusion among investors. Some flee into gold, the other into the concrete-Gold. In Mallorca, banks and estate agents reported a strong rise in real estate business.

Now it says: Buy or Sell?

The national debt is growing. The euro makes feathers against other currencies. Many investors are confused - and seek their salvation in real estate. "Greece is the crisis in the market, new tail wind," explains Jürgen Michael Schick, vice president of the Real Estate Association of Germany (IVD).
Most investors could be guided by rational considerations when buying a property confirmed IVD Vice Schick. "There is no panic buying, which is investing money indiscriminately." Rather, the interested parties, the objects would look very closely and focus on quality.
Also on Mallorca in 2010, the real estate sales have increased.
The cause of the increased real estate interest, in addition to the uncertainty caused by the crisis Greece-fundamental factors such as the very low interest during construction.
Sun certifies the Spanish statistical office, an increase of 18.7% in February compared to last year. The increase is a strong sign that the turnaround is well managed on housing. Of course, playing special effects such as the tax increase in June a role.
Also, the banks are back to award interest mortgage loans.
So says the Spanish Mortgage Association AHE (Asociación Española Hipotecaria) an increase of 0.68 percent the previous year. A first sign that the banks pay back their national market confidence and mortgage lending.
Therefore go back now even the Spaniards on a buying spree.
In prime locations such as homes in Mallorca, it is now harder for buyers again to get a suitable property at a bargain price.
The big real estate agencies in Mallorca registered a significant increase in inquiries and statements.
The demand in the period January to June was well above the previous year and sales went once more vigorously. While domestic demand mainly interested in cheap homes and apartments and terraced houses and townhouses is with foreign buyers increased interest in high-quality villas and fincas and building plots identify. Next trend: commercial real estate here mainly
Industrial estates and residential and commercial buildings in and around Palma de Mallorca.