Did you know that despite the global pandemic, Spanish property prices are booming? This is across the board, with low and higher-priced properties selling fast. But if you are in the market for a property here, do you know where to start?
The choice and scale can be daunting, especially when spending on high-end homes. Read on as we discuss what you need to know when buying luxury properties.
Understand the Process
Understanding the buying process will save you a lot of time and money. In some ways, buying a luxury property is the same as any other property sale. However, you often have a higher degree of certainty sales will come off, as you are not in a mortgage chain where people will be turned down for credit.
In addition, with luxury homes, you are in a much smaller pool of buyers. This often gives you a slight advantage, in that you are in an almost constant buyers market. You may not have to rush in on sales and can take your time finding the right one.
Make sure you go into buying knowing what you want. Luxury property comes in many shapes and sizes, and if you work out what you want as you are viewing it will take much longer. Speak with any partners or family members to discuss what you actually desire in a home.
Work With Local Experts
You may have someone who you trust as a real estate agent or property attorney. However, if it is your first time buying in a new area, you should always go local.
Real estate agents know the area. They will have inside knowledge, so if you buy a property they will be in the loop. For example, they will know if the quiet area you want for retirement is scheduled to have a housing estate built next door.
Negotiate
Just because it is a luxury property for sale, does not mean that you have to pay full price. Like any property, it will be open to negotiation. Just because you can afford it, does not mean you have to.
Once more, this is where a good local agent comes in. As there are so few properties in this niche, finding comparable pricing can be hard. A local agent can take what they know about the few other properties and judge a reasonable offer price for you.
Don’t Judge a Property by Its Pictures
When you see pictures of a property online, it will fall into one of two camps. One of these will be professional, and one will be amateur.
Professional pictures will be done by a hired photographer. They will stage the shots, boost colours and touch up the photographs.
All of this shows the property in a great light, possibly even better than it is in real life. If you turn up, you may be disappointed that the place is not as bright and bold as it was online. Or it could be even better.
The second type of shot, often done on a real estate agent’s phone, will have the opposite effect. They may make the property look dull or dark. Shots may have been taken from angles that make the home look smaller or cramped.
In this instance, you could turn up and find a hidden gem. It may be everything you have been looking for, despite not being that attractive in the pictures.
Be Patient
Regardless of if you are buying luxury rental properties or a home, you need to take your time deciding. You will be spending a lot of money. A hasty decision could saddle you with something you decide later you really didn’t want.
Remember that fewer people are viewing these properties than standard ones. As such, the rush to buy is not as fierce. If you miss out on one or two, it will only help you understand what you actually want.
Don’t Overextend
To be able to afford a luxury home, you must already be able to manage your finances. When finding the perfect luxury property for sale some people let their hearts rule over their heads. Just because you can get a loan for a property that costs millions, does not mean that you should.
Set a budget that matches your income. Ideally, you should split your monthly income into thirds. One-third is your living costs, bills, and mortgage. The other two-thirds go to disposable income and savings.
You should also have a backup plan in case anything goes wrong. Perhaps you could lose your job or get ill and become unable to work. In these instances, you need insurances or savings that will stop you from losing your investment.
Look for Exclusive Listings
Many luxury homeowners value privacy. For this reason, many properties are not splashed all over real estate listing pages. These listings are given the title of exclusive, and if you can find out where they are you can get some very special properties.
Finding them comes back to having a great real estate agent. A local agent will have their finger on the pulse of what is for sale or coming up soon.
Luxury Properties
Above all else, buying luxury properties should be an enjoyable experience. Find an excellent local real estate agent, and know what you want. With patience, the ideal property will come up.
If you are looking for a place in the sun, Choose Marbella should be your first stop. We have a range of properties, from villas to penthouses. Contact us to discuss your needs and let us find your dream home starting today!