I am looking to invest, and there are many bargins that are aparantly to be found in Spain now, is Spain a wise investment?

Hi Suz

Thanks very much for your contribution to the forum.

You are right in that at the present time it is a "buyers" market in Spain resulting in a number a great deals to be had. This is bourne out of the banks tightening lending and vendors being forced to reduce prices in order to sell. As an example there are a number of properties in the costa del sol, 5 mins walk to town and beach at prices starting at approx 60K€ below current bank valuation. These and more bargains can be found on www.numerounoestates.com in the bargains section.

It is my belief (using previous property market trends) that the market in Spain will see an upturn in the 2nd or 3rd quarter of 2009 with banks increasing their lending once more and as a result property price resuming some normality.

Currently the market is in resession, however there is only one way out of resession and that is recovery and expansion which sees a renewed vigour in the market.

Unfortunately ALL property markets are influenced by the US economy (as are stock markets). It is my belief that with a positive democrat result in tomorrows US elections, the economy will strengthen in the US meaning renewed confidence in economies and markets aorund the world.

I hope this answers your question, however please feel free to contribute further if you have any other comments.

Regards

Lisa