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Spain tries to lure buyers back into housing market
By Sarah Rainsford
BBC News, Costa Blanca
Spain has a major housing problem: there is too much of it - 687,000 empty houses, the leftovers from a construction craze that came to an abrupt halt.
The government is on a drive to lure buyers back to the market and breathe new life into what was once a major sector of the economy.
But a property roadshow - in the UK this week - has angered some British residents in Spain.
They are still fighting to resolve problems caused by rogue developers, or the loss of large deposits on new homes that should have been guaranteed.
The British have traditionally been the biggest foreign buyers here, but the economic crisis brought business to a standstill.
House sales across the country have slumped almost 50% since 2006; thousands of British estate agents who rushed to grab their slice of the action on the "Costas" have long since packed up and gone home.
But some who sat it out say they are starting to see the glimmer of a recovery.
'Buyers' market'
"We're having our best year since before the crash," said David Davies of Blue Flag Properties in Alicante, although the national statistics do not yet reflect that.
"A lot of builders have dropped their prices to the bare minimum now. It's a buyer's market."
The government recently added an extra incentive, cutting VAT on the purchase of new property by 4% until the end of the year.
And now there is the roadshow.
BBC News - Spain tries to lure buyers back into housing market
By Sarah Rainsford
BBC News, Costa Blanca
Spain has a major housing problem: there is too much of it - 687,000 empty houses, the leftovers from a construction craze that came to an abrupt halt.
The government is on a drive to lure buyers back to the market and breathe new life into what was once a major sector of the economy.
But a property roadshow - in the UK this week - has angered some British residents in Spain.
They are still fighting to resolve problems caused by rogue developers, or the loss of large deposits on new homes that should have been guaranteed.
The British have traditionally been the biggest foreign buyers here, but the economic crisis brought business to a standstill.
House sales across the country have slumped almost 50% since 2006; thousands of British estate agents who rushed to grab their slice of the action on the "Costas" have long since packed up and gone home.
But some who sat it out say they are starting to see the glimmer of a recovery.
'Buyers' market'
"We're having our best year since before the crash," said David Davies of Blue Flag Properties in Alicante, although the national statistics do not yet reflect that.
"A lot of builders have dropped their prices to the bare minimum now. It's a buyer's market."
The government recently added an extra incentive, cutting VAT on the purchase of new property by 4% until the end of the year.
And now there is the roadshow.
BBC News - Spain tries to lure buyers back into housing market
