Marbella property now more affordable, as pound strengthens versus euro.
Are you intent on buying property in beautiful Marbella? If so, you may be interested to learn that buying Marbella real estate will now leave less of a hole in your bank account. This is because the pound to euro exchange rate recently hit 1.35, a full +15 cents higher than 21 months ago, at the start of 2014.
What this means for you is that, when you exchange currencies to buy Marbella property, you'll get far more euros. For example, if you exchange £250,000 into euros, you’ll now get +€37,500 more than if you’d bought property in Marbella back in January 2014, when the pound was on its knees.
In other words, that's an extra +€37,500 sitting in your Spanish bank account, at no cost to you, just because sterling has strengthened. With that sort of money, you could buy more luxurious Marbella real estate, enjoy some authentic Spanish cuisine, or just pocket the sizeable saving for a rainy day.
Moreover, it could soon become even better value to buy a Marbella property, if sterling continues to climb versus the euro. The pound could exceed this 7.5-year high, first, if Greece leaves the Eurozone, which looks very likely. Second, the pound may also continue to climb, because the UK economy is growing much faster than the Eurozone's.
In the days after Norweigan Bank's recent interest rate cuts, made the euro exchange rate popp above 9.50 NOK. (All time high desember 2008 10 NOK)
Perfect Marbella has had several Norwegian clients who bought at these levels, properties priced over one million euros. It seems that if the buyers have set their mind to invest, they have no time to " hour rate ".
We see an increase in buyers financing the purchase with euro loans and the large Norwegian demands for Spanish holiday homes has even made the Norwegian bank DNB establish a representative office in Marbella with a grand opening in November.
It is possible to ask your bank for a euro financing that makes both currency exposure and risk as low as possible. The need for an exchange of Norwegian kroner at weak levels are thus reduced. This is a big advantage.
With this in mind, make the most of these advantageous exchange rates while it lasts, and buy your ideal Marbella property!