Fairways Medina Elvira Property Development Granada
Cheaper than the Alpine resorts and much more fun in summer, Spain's ski spots are starting to attract British buyers.
by HELENA FRITH POWELL
(Excerpt taken from the Sunday Times, 6th March 2005 )
Think of property in Spain, and most people imagine a sun-soaked seaside villa with a glimmering blue pool. Spain may not be as famous for its snow as France or Switzerland, but its skiing properties offers year-round use. Buy a place in Andalusia's Sierra Nevada for skiing, and chances are you will use it in the summer, too, as a mountain base a short drive from Granada and two hours from the coast. There are drawbacks: in mid-January, when the Pyrenees were covered in the white stuff and there was a good covering in the Alps, the only snow in Sierra Nevada was being manufactured by machines. A sky resort without snow is a bit like a wedding without a bride -but on the other hand, it is the southernmost sky area in Europe, so you are almost guaranteed to go home with a suntan. You can ski in the morning and sunbathe in the afternoon, so it is ideal for beginners and children. Sue Penfold, a PA teacher from Nottingham, grew up skiing here when her father bought a flat in the area and continues to head south, "It is Spain's little secret" she says. "The flights work well for a weekend break. I arrive at Malaga airport with my skis instead of my golf clubs, and people look at me as if I was mad."
Penfold's sister Samantha lives in nearby Marbella, and the two drive up to the Sierra Nevada in about two hours. Since their father sold up in the 1980s, the property market has seen a lot of changes. "When they were hosting the World Ski Championship in 1995 they built roads and lots more apartments. The drive from Granada at the bottom of the hill was cut from three hours to half an hour, " she says. Not for the first time lack of snow scuppered the plans. The championship were postponed, to 1996, but at least the infrastructure was ready.
For Brits, another piece of infrastructure is now in place. Ryanair has just started direct flights from Stansted to Granada. From freezing Essex to sunny Andalusia in less than two hours for about £50 return; it doesn't take Mystic Meg to predict that it will help boost the already booming property market. James Mckay is one Brit looking to make an investment by buying an apartment in either Sierra Nevada or Granada itself. At the age of 19, he decided the south of Spain is the place to be. "I'm going to get a job, in a bar or perhaps with a local estate agency " he says. "It's a great here, bars on every corner, pretty girls, great food." Mckay is learning Spanish and spends his week-end skiing. The kind of flat he is looking for, a one-bedroom with kitchen and sitting room, will cost him about £100,000 in a resort itself, according to Gary Elmer, a local agent who moved to Spain just over a year ago. Much of Spain has an air of being half-built in a hurry and Sierra Nevada is no exception.
The apartments are plentiful but lack in charm, and there are building in all shapes and styles. "There are several builds in progress offering a choice of two or three bedroom close to the piste for between £70,000 and £170,000, " says Elmer. They are concrete buildings and will probably be extremely comfortable (some advertise indoor swimming pools and spa), but will do nothing to increase the lure of the town. There is a row of chalets along one road in Sierra Nevada and one wonders why the town planners didn't look at how well they worked before giving permission for the concrete jungle that has emerged. But people will always flock to a ski resort, and especially one that offers so much sunshine. In addition according to Rupert Windle from Property Net Spain, the rental potential went up hugely due to the new Ryanair flights: "There are numbers of towns a short distance away from the sky resort and properties are still relatively cheap compared with the Spanish costa regions. Properties here are likely to become attractive as second homes with rental potential, because the new flights to Granada mean you can be skiing in the Sierra Nevada within an hour of landing".
Although lower in altitude, higher in social standing is Baqueira Beret in the northwest Catalan Pyrenees. This is where Spain's royal family goes skiing, along with many other Spanish celebrities. It is generally perceived as the best resort in Spain in terms of the amount of runs and quality of skiing. And, of course, black runs are a little more enticing when you might fall over on top of a king.
Properties there are expensive though. The cost per square metre is the same as prime property in Barcelona at about Pounds 3,500 or more, despite its inaccessibility. It is a four-hour drive to Barcelona, Madrid or San Sebastian. At peak times you can find yourself in a mountain traffic jam seven miles long both ways. According to Mark Stucklin from Spanish Property Insight, prices in the resort are inflated. "But this is where Madrid's pijos (posh set) come and everybody wants to be here. In addition, the skiing is very serious," he says.
Another option if you're seeking a skiing property in Spain is the Iberian mountain range that runs parallel to the Mediterranean coast, where you will find Javalambre and Valdelinares in Teruel. These resorts are one and a half hours away from Valencia airport. Costa del Azahar is less than two hours away by car and the region offers beautiful countryside.
Eric and Jan Wright, keen skiers and walkers, moved to the region seven years ago, buying an old flour mill three miles outside the village of Cabra de Mora. "We had lived on the coast for several years before we came here," says Jan. "It just became too crowded. Luckily we'd had the foresight to buy this place eight years before we actually made the move."
They paid Pounds 7,000 15 years ago for the old mill, which they have renovated and turned into a three-bedroom house. Jan doesn't know what it would be worth now. "But if location counts for everything, it's worth a bomb," she says. "The mountains here are glorious. I got so fed up with cacti and dust on the coast. I missed cowslips. Also it is perfect for our business." Eric and Jan run walking holidays. "A lot of the people who want to walk are retired. The terrain on the coast was just a bit too rugged for them."
Properties are more expensive than when Eric and Jan bought but Teruel is still one of the cheapest regions in Spain. You can pick up small town and country properties that need substantial work from Pounds 14,000. For between Pounds 35,000 and Pounds 70,000 you will find a good choice of properties that need some work and anything above Pounds 70,000 should be completely habitable, according to Raquel Jarque from Mundo Rural Teruel. "There is lots of interest from Brits," she says. "They are mainly looking for properties in small towns or the countryside."
Although Spain is not the most obvious choice for a skiing property, it has a lot to offer, both in terms of locations and prices. And if you get bored of the slopes, many of the resorts are close to the sea so you can pack your bikini and your salopettes. Not bad for a winter holiday.
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The Payment Schedule For the Fairways
- Bank Guaratees: YES: in place and confirmed
- Licenses: YES: in place and confirmed
- Reservation fee: €3.000 required immediately to reserve the unit and freeze price!
- Deposit: 10 % one month after the initial reservation on signing of PPC (Private purchase Contract) minus the €3,000 reservation deposit.
- Completion: 10% end of 2007.
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EXAMPLE FINANCE STRUCTURE INCLUSIVE OF IVA @ 7% (VAT)
1 bed 1 bath @ €182.863 Euros 10% down payment €18.863
Euros. Additional 10% 18.863 € paid at the end of 2007.
At completion (notary act) the remaining 80% (146.290 €).
By cash transfer, mortgage or alternative finance arrangement of.
Example Mortgage on Balance of 146.290 €
Subject to Status
Capital & Interest:
15 year Term €1.045,79 - £ 721,23 per month
20 year Term € 848.42 - £ 585,11 per month
Interest only: € 426.88 - £ 294,26 per month
Exchange rate used is 1,45 € / £ - Based on interest rate of 3.5 %
