Why Buying in the Costa del Sol is Affordable and a Great Investment. 

Why Buying in the Costa del Sol is Affordable and a Great Investment. 

In Britain, paying your mortgage off has been and still is for many a national obsession, it’s one of the main objections we hear for not buying in Spain, or delaying buying.

So why buy now, rather than waiting until either you pay off your mortgage or perhaps retire?

Well firstly, prices on the Costa del Sol are absolutely on the increase. Waiting to buy in even three to four years time as opposed to now, could easily mean you paying in excess of 25% more.

Secondly, it allows you to start the Spanish lifestyle now rather than waiting. If your eventual plan is to re-locate to Spain, it’s the perfect way to help you adjust to what will be your new lifestyle. Then of course if you have kids, it gives them the opportunity as soon as possible to savour all that Spain has to offer. There’s nothing to beat lazy family days at the pool or beach or exploring the areas rich heritage. Places like Mijas Pueblo and in-land with the likes of Ronda, Grazalema and Setenil de las Bodegas.

Or why not explore further down the coast to the likes of Tarifa and Zahara de Los Atunes and Conil de la Frontera on Spain’s Atlantic coast, or the spectacular Playa de Bolonia and the ruins of the Roman town of Baelo Claudia, considered to be the most complete Roman town ruins yet uncovered in Spain and which was founded in the 2nd century BC only to be then devastated by a tsunami in the 2^nd century AD.

Buying now can often be more affordable than you think. It’s just a question of changing priorities to fit the family budget and thinking a bit differently. A bit of lateral thinking if you like. It’s something we’ve been helping people with for many years. It’s all about understanding how money works.

If you own your property in the UK without a mortgage or have a considerable amount of equity, then it often makes sense to find the deposit or the full purchase price of your Spanish home from this source. If at all possible, make sure you also have enough funds available to also pay any fees and furniture costs for your new Spanish home too. If you have other debts in the UK, consider paying them off too.

Running family finances is no different to running a business. It’s all about cashflow and making everything as affordable as possible. For example, you could consider extending your mortgage term. Many UK lenders will allow you to borrow up to age 70 or 75 and in some cases even beyond that.

If borrowing in Spain, again the trick is to take your mortgage over as long a period as possible to keep these repayments down. Unlike Britain, you can often borrow based on the age of the youngest mortgage holder too. Ideal if you have older children who are already working. Rates are also tumbling and presently sit much lower than in the UK. Spain now has a very competitive mortgage market.

Using this kind of borrowing philosophy has seen many customers now owning a home in Spain as well as their home in the UK and even paying less per month than they were previously. Not just that they then have the benefit of increasing properties values both in Spain and the UK.