Words: Ashley Rigg
Published: 17th October 2011
*Spanish minister clashes with MEP at property show
Beatriz Corredor, Spanish Secretary of State for Housing, clashed with MEP Marta Andreasen at last weeks Property Investor & OPP Live Show in London after the European member of parliament accused her of “living on another planet”.
Andreasen became involved in a heated exchange with the Spanish minister at a drinks reception following Corredor’s keynote address where she told delegates “there has never been a better time to purchase a property in Spain”.
Corredor’s thirty minute presentation argued that it is now the ideal opportunity for British buyers to purchase due to falling property prices, IVA reduction on new properties, a better level of transparency (Land Registry searches now available in English for example) and better legal security.
However, Andreasen took issue with the minister’s failure to acknowledge any of the well documented problems investors have had with certain purchases in Spain.
“Mrs Corredor quite clearly lives on another planet. She refused to acknowledge the problems there have been and continue to be with people who have invested in Spain. Through her denial, she is unwilling to help those who have suffered and I question whether she even cares given there’s an election in Spain in a few weeks time”.
Corredor has always maintained the position that “buying a house in Spain has always been safe.” Keith Rule, coordinator of the Finca Parcs Action Group and organizer of the Bank Guarantees in Spain Petition was angered by the minister’s stance.
“If as the Minster says, buying a house in Spain has always been safe, then why are so many people suffering from issues such as Land Grab, Demolition Orders, Ley de Costas and Bank Guarantee Abuse? I am shocked that she can continue to make such inflammatory and insensitive statements. If we are now on a ‘path to a solution’ the least we deserve is to be told just how long that path is”.
Comment
The Spanish domestic property market
shrank 40% in August. The only
positive news is coming from the international buyer market. The Spanish government is right to go on a PR offensive in Europe but PR alone cannot gloss over the cracks.
Actions speak louder than words. A decree to force banks to honour their “guarantees” and provide financing to make this happen would do more good than a hundred property road shows.
There are also still issues at the land registry. At the event Keith Rule demonstrated a number of properties which show as clean at the Spanish Land Registry which have either been demolished or are subject to Land Grab. The solution is in the detail not in the empty words of soon to be unemployed political leaders.
Source: Global edge
User Comments
Unfortunately I could not attend this years OPP event however I would have loved someone to pose the question to Beatriz Corredor "what are they going to do about the 30,000 + properties in southern Spain which still do not have a first occupation license"?
Most of hese properties have been built for well over 10 years with the owners having to pay their IBI, Basura and wealth taxes and yet still no first occupation license!
These properties also have their water and electricity contracted with the utility companies which you are not supposed to have unless the first occupation license has been granted.
One of the reasons properties are struggling to sell is quite simply due to the above issue as lawyers often advise against buying such properties and banks refuse to offer mortgages.
This is despite these very same Spanish lawyers acting on behalf of the vendors when they originally bought and the banks issuing mortgages at the same time, the hypocrisy is unreal!
The majority of people looking to buy do not want any of the new properties, therefore the 4% reduction in the new property purchase tax is a total waste of time.
As always, these ministers have not got a clue what happens in the real world, besides, they have only had the past 30 + years in power to get their act together and I agree with the previous comment in that they also do not care if it does not effect them personally.
It is amazing how politicians can still go on their all expenses paid jollies spreading their lies with it being paid for by the very people who have been affected by their incompetence!
Beatriz Corredor won't give a damn as she will be out of a job on November 20th after the election, however I bet she has been very well paid for her position as "Secretary of State for Housing" and will move onto another very well paid job... what a joke!
For anyone in the Spanish government who would even be bothered to read this article let alone to give a damn and do anything about it, IT IS VERY SIMPLE, sort out the first occupation license issue and thousands of properties will be bought providing millions of Euros worth of tax revenue!
It's about time you started to listen to the very people who deal with the clients EVERY SINGLE DAY looking to buy property, it's not rocket science!
Ken Spencer,
Property Options Spain