Euro Crisis Revived

The euro crisis spooked investors. Some take refuge in gold, the other in the concrete gold. On Mallorca, banks and estate agents report a strong increase of the real estate business. Now it says: buy or sell? The national debt is growing. The euro makes springs against other currencies. Many investors are unsure of themselves and seek their salvation in real estate. The Greece crisis is the market new tailwind”Jurgen Michael Schick, Vice President of the real estate Association of Germany (IVD) is reported.

Most investors were motivated by rational considerations when purchasing real estate, confirmed IVD Vice Schick. There is no panic purchases where money is invested at random.” Rather, those interested would closely examine the objects and put on quality. Real estate sales have risen 2010 on Majorca. Cabinets is open to suggestions. Also fundamental factors such as for example the very low building interest are the cause for the increased real estate interest in addition to the uncertainty due to the Greece crisis. So certifies the Spanish Statistics Office a growth of 18.7% in February compared to the previous year. The increase is a strong sign that the turnaround in housing is well managed. Of course, special effects play a role as the tax increase in June.

Also, the banks are again interested in mortgage lending. So the Spanish Mortgage Association AHE (Asociacion called Espanola) reported an increase of 0.68 percent for the previous year. A first sign that the banks again put trust in their national market, and mortgage loans. Thus, the Spaniards on a shopping spree go itself again. In prime locations such as in Mallorca it is again difficult to get a suitable real estate at a bargain price real estate now for buyers. The major real estate agencies in Mallorca recorded a significant plus when requests and transactions. The demand in the period from January to June was well above the previous year and sales attracted even once strong. While local interested parties mainly cheap apartments and apartments, as well as series and Ask town houses, is to make an increased interest in high-quality villas and Fincas and land in foreign interested parties. Next trend: commercial real estate – primarily commercial properties and residential and commercial buildings in and around Palma de Mallorca.

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