Interesting editorial in "The Country": Surgery.

Frankly, the market will be gradually adjusted housing prices, there will be no such misfortune but it was slow.
A home is worth what someone is willing to pay for it, is this speculation?, There may be a speculative component but not in all cases, whether that housing is resold to 30% more than the purchase price in 12 months, the buyer appreciates the well, period. The question is who will be unable to sell the house above its purchase price.
There are tax measures that are to be adjusted, however, no deductions for housing for second or third but only for the first, and quite justified, we are the only European country that offers this kind of deduction.

Greetings

Not if the market change course, do not know if what today is worth 10 years worth next 20 or -10. But if I'm not clear that there will be no change little by little, as grew so insane, whether it will decrease sharply.

Buying a dot-com, buy stamps, purchase flats, sells ... smoke, no one will punish you for it; offender, the total fine will be much less than the benefits.

Spain is a powerful country, has an ethical and efficient civil service, with a powerful industry, a good stock of R & D and a lot of people working and / or enterprising.

Sometimes the surgery is the lesser of two evils possible, where the disease is in a state abanzado.
In Spain we have taken advantage of a bad situation types of expansive, existing as Germany, France, Italy ..., and had not had a CPI growth under control. While in Spain growth was high and the CPI, too. And I say that we have badly exploited because they could have been the time to invest and improve competitiveness, instead of that, what we have done has been to encourage neoaparentismo, live beyond our means and we have spent to achieve what we did not have advantage that the price was cheap, but forgetting that besides cheaper was variable and therefore could be expensive in the future.
Now the trend can change, Germany and Spain is awake indebted and it was cheap (for low rates) may become expensive.
I do not know if housing is overvalued, so if you are, is that the borrowing capacity has a limit, and there are warning signs that this limit has been exceeded, and more than one and two that did not make good the numbers can be a surprise.
As to whether the Bank of Spain is lying, or the real estate market, in my opinion the greatest reason for lying is the one who is playing chickpeas, and in this case is the market inmobiliario.Nunca I have seen a gipsy selling a donkey, saying that it is old and no walks.
Greetings to everyone, and for those who believe that the hard sell to 4 pesetas, you know what to do ... .. Buy many.

When you sick, raising a fever. In the last decade the purchasing power of Spanish grows by 0.4%, dropped by 0.5% in the last quarter and are already 6 quarters of declines. The rate of household savings fell three tenths in the last 12 months.
The mortgage credit in May grew by 26% to 811,223 million Euros. Split the debt among the 19.4 million workers who are in Spain. ! It's a pinch Eh!.
Spain's trade deficit continues to grow at all this good Solves said he was not overly worried. We've fucked up with not being worried, or notaries are neither, nor all those who have kidney or covered with grease. That if the Currito to be prepared because someone is going to have to pay up the pieces, and topics that I will be forever.

Juan Jose Millás writer of novels, not an economist.
It is shocking that a columnist and write about this subject, so the article should not look only from an economic perspective (as if you publish Expansion), but also social.

Everything works on the basis of supply and demand, except those sectors or regulated prices.
The house is not going to escape this golden rule of the market.
And I think that things are going around the economic context that surrounds us.
Enterprise, people unemployed, or re-contracting with paltry wages, rising mortgages, petrol upwards deficit on the rise, more and more low productivity, and what is beginning to be an excess supply of homes for sale.
Since the demand is clear regression, the pastiche that is going to ride will be much stronger than in previous occasions.
Why?
Because they will see a new element on the scene that had not been given before:
People are going to have to start selling their properties in order to succeed. And that if it is going to be the icing on the cake.

It makes no sense that a pisito of 70 meters in a village 15 km from Valencia is a luxury item. The same floor that today is worth 180,000 euros, four years ago Valia 60,000.
Within four years I think is worth about 120,000. That means there will be lowered its price by 33%, if we add to this on ipc of these 4 years, the real will be lowered from 45%.
This will happen for two reasons, soaring rates, unemployment and economic crisis. Until there is economic crisis that prices may fall but you will not drastically.

Lola witch perfectly sums up the problem of real estate. (and the reasons for falls).

How people are able to pay these amounts? I think that has happened as in the fable of the frog in the pot of boiling water: if the miss when the water is boiling the frog jumps out, if the miss with cold water and you're warming up slowly the frog is cooked without protest.

Seeing it in perspective (from outside of the pot) is crazy to buy at those prices, because it is worth it. And neither is worth the "Spain is different," we now have the same currency to compare.
AA

Euribor yesterday the 12th, 13th and now in force until the publication of today was 3564% 3552% instead of appearing in this blog and it is up to the last day 11.

It seems to me that "Mecca" of economists, claiming something like this: the price is overvalued. The price is NOT overvalued. As a colleague said: "Things are worth what someone is willing to pay." The floors have risen because demand is well above the offer and because this market is oligopolistic characteristics. The offer has been triggered by:
Increasing the deamanda boom of the late baby boomers, the second by the boom in immigration, because there are more than 10 different reasons for buying an apartment (not only to live) and by the continued demand for second home (for foreigners and for national-new-class-off). But how can qque Bank Spain made these statements?!. Incredible!.

.... and above all, above all, by the easy money, which already is running out.

Spain is experiencing a phenomenon that has already been delayed lived decades ago in other European countries.
The massive influx of immigration that has accelerated consumption, and has generated more competitive in business.
We also have companies that are proliferating like mushrooms refinancing of the debts family, relaxing the quotas up to 50%.
All these are but understand that "gasoline" to further bloat the subject property.
But the effects of both, will come to an end not by much.
In fact there is already data to support that the property is subject to emmpieza deflated (increasing the time of sale, price reductions in some sectors, etc, etc).
And now comes the most dangerous, and that I think will be invited to the stone of this whole story:
Taking into account inflation, stagnant wages, rising Euribor, the price of gasoline, and relocations, people are going to have to sell its assets (including its floor), in order to move forward. This can lead to an oversupply next to the drop in demand, can bring down the prices of real estate.