Marbella property Market post “Brexit”

Marbella property Market post “Brexit”

Of course "Brexit", the process of the UK withdrawing from the EU, has not yet happened, but we are nevertheless being asked by both buyers and sellers as to what the impact is going to be on the Marbella property market.


EU UK flags

 

We are not inclined to comment on politics or to get involved in the pro or anti Brexit debate which is raging on around us.  Suffice to say that it now seems likely that the UK will either come out of the EU or at least will change their membership fundamentally. Our clients want to know how this will affect them

The immediate effect has been a reduction in the value of the pound which has allowed some of UK Vendors to accept offers that a week or so ago they were not prepared to consider, for these people the result so far has been fairly positive.   It is likely that the exchange rate will continue to be volatile over the coming months but will no doubt level off.  If you are concerned as to how the changing exchange rates could affect your purchase or sale we suggest that you use a currency exchange firm such as Moneycorp who will lock in the exchange rate for you taking away and concerns you may have about the fluctuations in the value of the currency.

If you are thinking of buying a property here in Spain and require mortgage finance please do not worry.  The banks will still be happy to provide you with finance although to non-residents of Spain they are typically looking at finding in the region of 60-70% of the purchase.  We work with a reputable mortgage company Mortgage Direct SL who will be more than happy to help you with any specific enquiries you may have and will get you the best possible quote for your circumstances.

A number of UK Owners and buyers of Spanish property have been asking us what will happen with regard to the property ownership if the UK does leave the EU.  We think the best comfort is to be taken from the fact that there are many non EU property buyers and owners in the Spanish property market who have similar conditions and rights to EU property Owners.  The UK market is very important to Spain and it is extremely unlikely that the Spanish Government would want to do anything which would reduce this lucrative market and source of income.

We have also been asked whether we think that the UK leaving the EU will affect property values.  Whilst the UK buyers are important,  they are just a part of the marketplace here.   We are actively selling on a day by day basis to buyers from all over Europe and, indeed, further afield including the USA, Russia and even the sub continent.   We are not anticipating a great fall-off in demand from UK buyers and therefore do not anticipate the property prices on the Costa del Sol will be affected to any great degree.  To reinforce this opinion, in the days immediately following the Brexit vote we have actually received offers from several UK buyers on properties in the Marbella area.

We are also regularly being asked about the situation regarding healthcare.  Please remember that the UK has not yet pulled out of the EU and is not likely to do so for at least 2 years.  During that time the healthcare arrangements remain exactly the same as they were.  For the future It is likely that in the event of the UK pulling out of the EU that the British in Spain will need to take healthcare insurance which is freely available from companies such as Sanitas and Mapfre.

The process of “Brexit” is going to take time and looking at the political wrangling it is far from clear whether or not the British will pull out of the EU or whether they will remain on a renegotiated basis.  It will take time before this becomes clear but whatever happens we feel confident that British buyers will continue to play a significant role in the Marbella property Market.   So far as we are concerned it is “business as usual”

If you are thinking of buying or selling your property in and around Marbella we are here to help you.  All you need do is give us a call on (0034) 952 90 52 00 or send us an e-mail with your name and contact number to and we will be sure to call you back.     We look forward to seeing you in Spain!

 

 

Mortgage Direct SL


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