| Blakemore Walker Chartered Surveyors & Legal Consultants |
|
|
|
SPECIALISING IN PROPERTY PURCHASE AND SALES IN ASTURIAS, CANTABRIA & GALICIA MEMBERS OF THE ROYAL INSTITUTION OF CHARTERED SURVEYORS |
FEBRUARY 2012 The pound remains fairly steady against the euro and has not dropped below 1.19 since our last comment. There is debate as to whether the euro will get weaker. The technicians are saying that the massive continued intervention by the ECB and the possibility of lower interest rates should assert downward pressure on the euro. There is still a lot to play out in europe but there is a hint that buyers are returning to the Spanish property market as a europe break up seems less likely. DECEMBER 2011 Three days until Christmas and the pound is over the 1.20 level against the euro. This level reflects the uncertainties in the financial markets as to whether the euro can survive 2012. Recent massive liquidity in the form of half a trillion euros has been pumped into the euro banking system and over 500 banks have taken up the cheap three year money offered by the ECB. The immediate threat of a credit crisis has probably been avoided but the first half of 2012 will be crucial as the eurozone requires to re-finance a substantial amount of debt. NOVEMBER 2011 There has been a dip in the pound against the euro down to below 1.14 but since the Greek government's announcement that there should be a referendum, there has been a spike up to over 1.15 versus the euro. The UK is still regarded as a safe haven, and the way matters are progressing in Europe, the pound could strengthen further. The technicians would say that the pound could start to move significantly if it breaks through the 1.22 -24 barrier -we shall see. SEPTEMBER 2011 The pound versus the euro stays within a reasonably narrow band. On the upside there is talk that the UK is regarded as a safe haven, but at the same time the pound is under pressure due to internal economic reasons. Buyers in the northern Spanish market remain timid and it will remain to be seen whether the reduced purchase tax on new property will provide a boost to the failing spanish property market. JUNE 2011 Asking prices are becoming more realistic and it is now widely accepted that property valuations have declined by up to approximately 50% and perhaps more in some areas. There are still some crazy asking prices for some properties but these silly prices often reflect a system where property websites are either not updated or the vendors are simply testing the market in the true Spanish tradition. The relatively weak pound is still holding back a lot of purchaser activity but the reality is that the current exchange rate level is probably reflecting the true status of the UK economy which we are all becoming used to. The problems in Greece with impending debt restructuring, could put renewed pressure on the Euro but this "show" has a long way to go before final curtain. |
APRIL 2011
JANUARY 2011
|
NOVEMBER 2010
|
|
OCTOBER 2010
|
SEPTEMBER 2010
|
|
AUGUST 2010
|
BBC EXCANGE RATES business page |
|
MAY 2010
|
|
|
FEB 2010
|