Buying Investment property in Spain   by Debbie Cooper The property market in Spain can provide excellent investment returns and the opportunities are considerable. The purchase of investment property in Spain by foreigners is simple as it is regulated by relatively liberal laws, and mortgages can be obtained up to 60 %, sometimes up to 80% at low interest rates. Successful Spanish property speculation is no longer the privilege of wealthy invdividuals or businesses and over the past few years, buying 'Off plan' investment property Spain has seen some incredible returns for hundreds of foreigners. New developments in up-and-coming as well as established locations along the Costas which are primarily 'off-plan' investment opportunities are many. Property speculation requires careful judgement and knowledge of the property market to find the best new developement for your investment property in Spain. Whatever your reasons for buying investment property Spain there is a huge choice of new developments all along the coasts to suit every budget, but even experienced investors will still need practical and legal advice. You need to make sure you are buying the right type of property to suit your individual requirements, whether it be 'buy to sell' or for 'buy to let' rental purposes. The most rewarding opportunities are from buying 'off plan' before building work even begins. You are then able to reserve (normally 10% of the purchase price is put down at this time) the best plots or apartments, which can be sold on at any stage of the development for a profit. Most banks and developers offer a bank guarantee against non-completion of the project, which will protect any money put down as a deposit payment. Some developements make take 2 to 3 years to complete, which means that they are constantly increasing in value, so the longer you hold on to your Spanish investment property, the more profit you can make. Most buyers will pay more for a finished or nearly finished property than they would for an 'off plan' property. Developers normally fund their projects by offering Off-plan investments and buy-to-sell properties, from which they use the deposit payments to continue building. This saves them paying high interest rates to the bank as it reduces the amount they may have to borrow. These properties are normally competitively priced and if you sell the property before completion you will not have to pay any capital gains tax. As your property gets nearer to completion, its value rises and you are able to sell at a good profit. If you're planning to buy investment property for rental purposes, get local advice on the best locations, furnishings and property types for maximum rental income and therefore a better return for your money. One of the hottest tips in Spanish property at the moment is for golf property. Investing in golf property is not purely for the golfers. The majority of golf resorts offer many more facilities for the whole family than is normally found on new urbanisations throughout Spain. Often these resorts are built with hotels, health spa's, shops, gymnasiums, etc. - something for everyone. There are some fantastic off plan properties on the new Polaris World Golf and Leisure resorts in the Costa Calida, in the region of Murcia. These resorts will offer a standard of living unrivalled by others are are perfect for 'buy to sell' investments, buy to let or permanent living. Another excellent investment proposal is rural or country property. Due to the forthcoming Americas Cup in Valencia in 2007, it is estimated that property in country areas in the Valencian region will make a fresh batch of Spanish property millionaires as other areas of Spain have done in the past for those who get the timing right. About the Author I have worked in rentals and sales now for 6 years, and run Citrus Iberia Ltd, a British holiday rentals and sales business on the Costa Blanca. Article supplied by spanish-villas-spain.com About Us | property search | New Developments | Buyers Guide | Contact | Property Viewings | Legal Information Marbella Property | San Pedro Property | Estepona Property | Duquesa Property | Other Resorts

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