In a somewhat shocking and worrying statement, a leading Spanish lender has declared the country’s real estate sector is ‘bankrupt’.
Spanish Property Industry 'Bankrupt'?
It feels like a slow-motion, action replay here in Spain at the moment.
The exact same debates that took place in Ireland during last year are only begining to take place here in Spain.
With property debt equaling 30% of Spanish GDP, can the Spanish banks survive 2010 intact?
Bazinga!
I thought that Spanish banks were supposed to be so well regulated that this couldn't happen.
Is it fair or unfair to say that the Spanish propety rush over recent years was disproportionately down to ex-pat British and Irish, or people here investing in second homes there, buy-to-let, etc.? Have we infected them with our property fetish disease?
It's bizarre. I remember hearing that too. But considering how corrupt their planning system was in places (even compared to ours), and the sheer scale of development on the coastal regions, it can't be that surprising.Originally Posted by picador
It looks like things have finally caught up here in Spain.
I have an awful feeling of de-ja-vous....
Bazinga!
Not really a shock as been seeing lots of property with 50% reductions being offered.
The Spanish Banking system is in a right fine mess. THey have been doing a number of shotgun mergers in the past number of weeks.
"No one rules if no one obeys" - Tao
When shotgun mergers happen in the good times it means one of them has been badly run.
When shotgun mergers happen in bad times ..... .
Spain or Ireland - who is next to fall??
I still would'nt touch it.
I'm happily renting a fine big place out here for 500 bucks a month.
I dont think I'll buy any property here or at home for a few years yet....
Bazinga!
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