Property prices at the Costa Blanca and Costa Calida begin to stabilise

Posted on March 1st, 2012 in Real Estate in Spain by author

A recent survey conducted by an online Spainpropertyportal.com suggests that the ebb and flow of Spanish property prices at the Costa Calida and Costa Blanca is showing signs of stabilising.

The Spainpropertyportal.com has more than 100,000 property listings and is thus qualified to comment on the current market situation. Their survey showed that Murcia and Alicante regions have somewhat recovered and performed far better in the first six months of 2011 than in the same period in 2010.

The underlying reason for the better than expected sales figures are perhaps the improved accessibility to the regions as well as high levels of development still being carried out to enhance their infrastructure. Murcia benefits from the new international airport at Corvera, the Paramount Park Murcia development, with the “Phase I” of construction starting in spring 2012 and the latest announcement that China’s government will make a large investment in an industrial development designed for Chinese businesses. The second terminal at Alicante airport has also helped to increase visitor numbers to the region.

With so much building and construction going on, thousands of new jobs are being created in these two regions, improving both the potential buying and rental power.

Although property prices are not anywhere near their boom time levels of 2007, prices are beginning to level out and have stopped decreasing at the dramatic level last seen during 2009 and 2010. Although real estate prices are at their lowest at the Costa Blanca and Costa Calida regions, an improvement in demand will see prices eventually increase again, particularly since demand for low-end buy-to-let property at the Costa Blanca is experiencing a resurgence and properties on the market for under €90,000 with a likely good rental income thrown into the bargain are currently selling like the proverbial hot cakes.

SOURCE: www.theleader.info

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