What will happen to the Spanish property market after the Corona crisis?
The Corona virus has taken the whole world by unpleasant surprise and played a pandemonium game. Some claim that this is the end of the world as we know it, just like in a science fiction film. The truth is that most industries and people on this planet are already thinking about how they can become active again once this storm has passed. And that's exactly what this text is about. We will go straight into this subject. Our spoiler: there’s always sunshine after the rain!
Forecast before the Corona virus
Renowned agency S&P Forecasting has predicted a sharp rise in house prices in Spain by 2020. Ever more people are realizing that the Costa Blanca is one of the most beautiful places in the world. That’s why more and more people are showing an interest. S&P has predicted an exact increase of 4.2%. This was, of course, before the virus came into play.
Although this percentage seems fairly high, there’s a decline in current trends and this symbolises the beginning of the industry’s maturation phase. This will happen in both major Spanish cities: Madrid and Barcelona. Meanwhile, prices at the Costa Blanca and on islands like Mallorca remain stable, with a tendency to rise.
This was all pre-Corona. Let's see what’s going to happen now.
Possible consequences of the Corona virus
Spain has been hit hard by the virus, but at the Costa Blanca the number of infections is much lower than in the capital. When the storm of the virus subsides, the number of fatalities will be much lower than in the rest of Europe.
Although the effects of the virus are small, they are real and will affect the industry. Specialists are predicting that the property market will lock partly for at least 3 months and completely for about 3-4 weeks. Because everyone will stay at home for the next 15-20 days due to the complete closure, there will be no visits and things will take place online only. Since everyone has more time to spend online, every day potential buyers are choosing their dream home. Question is whether these operations lead to a positive closure, but they are taking place as we speak.
The light after the storm
The Corona virus will disappear again. Mankind has already gone through many crises and this will be no exception. There is no doubt that we will overcome this crisis too, just as we did in earlier crises. However, question is, what will happen next? Let us look at this.
Owners should take a close look at the price they determine for their home. It’s recommendable to seek professional advice in times of crisis, regardless of whether someone wants to sell or not. It’s important that you always know how much your home is actually worth.
Most crises turn into excellent buying chances. If you’re a potential buyer of a home at the Costa Blanca, you can consult websites to see what is currently on offer. Be prepared for the end of the foreclosure period, because this could be the opportunity to buy your dream property for a lower price than you expected. Trust the professionals!
Every world crisis offers an opportunity for change. If you want to make a smart move and move to paradise, this might be the optimal opportunity. A pandemic teaches us about time, perhaps there is no tomorrow. Now is the time to fulfil dreams. Once the storm has passed, we should be more determined than ever in pursuing our dreams. Move to one of the available properties at the Costa Blanca and be happier than ever before!