Mortgages making a return in Marbella

We all know that the past few years have been challenging for the Costa del Sol property market as elsewhere. The lack of mortgages on offer being one of the main manifestations of a global financial crisis. However, in recent times the banks have been showing their return to health by gradually reviving the mortgage market.

Happily, we can report that in July this year there was a 28.8% upturn in the numbers of mortgages granted compared to the same month in 2013. In September this year, the National Statistics Institute’s figures showed that in July 2014, mortgages for new homes rose for the second month in a row: the total number of mortgages issued was 18,107, representing a 19% increase on the June figures.

Financial experts suggest that this very welcome development is due to the revival of the housing market in Spain and sufficient confidence among lenders to reopen credit facilities. According to the statistics, the average mortgage is €100, 866, which is 0.3% lower than in 2013. However, the total amount of capital loaned is up 28.5%.

July 2014 was also remarkable for seeing the biggest rise in home mortgages for five years and the capital lent during July is the largest amount since 2010. What is more, Andalucía had the largest number of new home mortgages in all of Spain at 3,324 compared to 3,247 in Madrid and 2,878 in Catalonia.

These signs of recovery also reflect the fact that property in Marbella is still very good value for investors and we have seen demand from overseas buyers increase quite substantially this year. Many of these buyers don’t need mortgages and some that do require a capital loan, request smaller mortgages than at the height of the property boom. This encourages lenders who have less to fear from financial exposure than before.

If you’re considering purchasing a property and need a mortgage, please drop into Bromley Estates and discuss your requirements with us. We have a wide-ranging portfolio of quality properties and we would be delighted to help you find your dream home in Marbella.