Half of Spanish Property Agents Close Their Doors
According to figures recently released by Spain’s main estate agents’ association, API, half of the country’s 80,000 estate agents closed their doors for good last year, following one of the worst years on record for the country’s seemingly rock-solid property industry.
As a result, it is believed over 100,000 property professionals operating in the Spanish sector lost their jobs. However, observers have been keen to point out that the figures also include agents who were only there ‘for the ride’, short-term profit hunters who only entered the sector in search of a quick sale. It has been estimated that only approximately 50% of agents in the country over the past five years or so had relevant experience and licensing, the other half often working from home with nothing more than a mobile phone and a few local contacts. A booming industry attracts people hoping to grab a slice of the pie, according to API head, Santiago Baena, and it is these ‘agents’ who went down with the ship in 2007, not having accounted for or anticipated a drop in the market’s prospects.
While market conditions have not been as poor as was anticipated in the media frenzy of autumn 2007, where price drops of 30% were predicted, property values have dropped by an average of 7%.
Additionally, Oscar Martinez, president of Spain’s Real Estate Agents Association, said 3,000 estate agents operating in Malaga would be forced to close their doors as rising interest rates and extended sales times impact on the industry. Research published recently by Spanish property agency Don Piso found that the average time taken to sell a property in Spain had risen by 40% in three years - from 86 days in 2005 to 120 days in 2007.
Morocco Property Investment said,
January 29, 2008 @ 9:51 pm
The Spanish property and land investors are allured by Morocco.
In fact, in the area, Morocco is the principal trade partner of the peninsula ibérique. The origin of these performances, the climate of investment founded by the vision 2010 and which generated a whole dynamics of investment in real estate and touism industry.
Thus many Spanish operators in tourism, property and land development prefered to invest in Morocco and signed many conventions with the Moroccan government. This same climate of confidence allowed the arrival of many Spanish signs which developed projects, successfully, in tourism and the real estate. According to statistics’ of the Moroccan ministry of Tourism, the tourism and real estate sectors attracted, between 2006 and 2007, several Spanish, marocco-Spanish companies and also British-Morocco-Spanish partners who are serious about working together in Morocco. All the projects which are established in Tangier, Asilah, Larache, Tetouan and El Jadida represent plenty of milliard of Euros of investment and more than 3000 employment. It should be also said that the Spanish investment in Morocco took new proportions thanks to the alliances concluded between Spanish and Moroccan groups. In this respect, they carry out a joint project in the Atlantic and the Mediditerranean coast. It acts of the creation of luxury hotels of a capacity of 720 beds each, residential zone (10.000 apartments and 510 villas) and sporting equipment and leisures and hospitals. With different programs also commercial zones, parks and a golf courses. The total cost of some projects exceeds the 2,86 billion DH. In Safi the fishing town the total investment of 3,7 billion DH, this méga building site envisages the installation of marinas, luxury hotels of a capacity of 174 beds at least. In addition to these holiday and tourist resorts, trade, zones of animations, more than 800 apartments, 550 villas and 350 apartments are also envisaged. These projects are under development. Acting of the planned projects, they envisage a total investment of about 6,02 billion DH. It will carry out a few kilometres from Bab Sebta the projects of Al Coudia Smir and Smir & Laguna Smir. Of an investment of 3,6 billion DH, these two projects are based on the creation of hotels, apartments, villas and center of life and trade. Golfs and a tennis court are also envisaged there. It should be noted that potential Morocco-Spanish and British investors already a large building site in different sites even in the Eastern one. In Fes a land of 700 hectars will be transformed into a true tourist village high standing. For the hour, the file awaits its validation with the ministry for the Interior. I am not promoting any overseas group but i am showing that Morocco real estate and tourism building market is growing fast and even the potential and the experts did not expect The present Moroccan property and tourism booming.