The real estate market is in a boiling state, the current situation is ideal to take the board and get to surf on the crest of a wave that will take a long time to reach the shore. Metaphors aside, before immersing yourself fully in the ocean of the house, you must know its particularities, the context and its environment to understand why now (and not before or after) is the right time to enter fully into the sector. The price of land, the mortgage law … You should know these concepts as the letter of your favorite song or the initial 11 of your team, provided of course, you want to succeed in this market. If so, read on.
The real estate market in 2018
The key to not being crushed by the unstoppable force of the real estate market is to anticipate trends, movements and phenomena that may be in it. How to do this if you are not a fortune teller by profession? Very easy: keeping an eye on information, a factor of paramount importance to understand everything that happens around the housing sector. Being well informed (and well trained) is an essential step to crown the hard pinnacle that is the real estate market.
One of the aspects you should know yes or yes is the future of the mortgage market in 2018. The new mortage law presents a catalog of better mortgages for clear benefit of buyers, such as offering the public information previously totally free, the bet fixed rates to reduce commissions and increase the terms of the months with default before the bank executes the mortgage. Before there were 3 letters marked limit, now they go to 9, which could be 12.
What will be the price of urban land in 2018?
Within the real estate market, there are more basic aspects than others, and one of the essential points is the price of land, the A-B-C and the guideline that defines everything else. As if it were the master gear that activates the rest of the pieces, it is clear that all knowledge about this concept is little, that is, the more you know, the better, as we are more likely to adapt as is due to the ecosystem of the sale of households.
In 2018, the price of urban land will continue to rise due to an obvious factor: the lack of space. The demand continues to rise while the places on which to build continue to be practically the same. So far, the Spanish real estate market will be able to continue to use unused lands (and unoccupied flats) during the years of the financial crisis, but reserves will be depleted month by month, something that as it happens will increase the value of the house.
Several reports prepared by various companies and real estate businesses suggest that the average price of properties will live an increase of close to 10%, and in addition, they add some extra qualification that can be very interesting. As for example that while last year, the rise in the value of housing was very significant especially in the urban centers of large cities (Barcelona and Madrid) and also, in Palma de Mallorca, in 2018, things change.
During this year, the increase in prices will affect mainly medium-sized capitals, such as Valencia (that barely has urban land), Alicante or Malaga, and not only in the heart of them, but also the effect of the rise it will be seen to a large extent in the periphery areas. Without a doubt, we must be attentive.
For which real estate businesses should you bet?
Succeeding in the choice of a niche related to real estate business is the current paradigm of the sector. Which real estate businesses should you bet to get good return? This is the million dollar question today in the housing market, and it is clear that there is not yet a clear answer, but there are some indicators that point you to the right path.
The studies mentioned above can be a very reliable guide to go to, so betting on houses located in the peripheries of capitals of relative size can be a practically safe investment. In addition, in those areas somewhat removed from the center are fertile ground for new construction flats, that is, of a higher value evidently than second-hand properties.
A good investment? For example, this modern Mediterranean-style villa in residential area of Can Pei (just outside of Sitges):
Renovate a house located in the outskirts of a capital and offer it at a competitive price may be a focus of customers unexplored by the majority, so bet at this time can be a maneuver that ensures a great return in medium to long term, but as we have said before, do not trust yourself and do not stop to train and inform yourself, that is the only sure bet in the real estate market.Share