Spain hits rock bottom – but the only way is up

[Janet]

Well, we've been waiting for this moment for a few years now, and at last the Spanish Government's economy minister, Luis de Guindos, says it has arrived. Spain has hit the bottom. It's a very bad place to be, said Sr de Guindos, but given the latest figures for the economy and, not least, for unemployment which has now fallen for six consecutive months, the country is at rock bottom. The positive side of this, of course, is that although it will be a long hard climb out of the trough of despair Spain has been in now for at least five years, and although the country may bounce along the bottom for a little while yet while it stabilizes, in the end, the only way is up. JA

[Nova]

So what qualifies as rock bottom?  How do they know it can't get any worse?  As cynical as ever, I feel that Sr de Guindos may be a little optimistic 

[Janet]

I'm no economist, to say the least, but he is taking various factors into account, I think, and the unemployment figures do give reason for hope. Property prices have stabilized too, and there are some signs of upward blips. Those who know what they're talking have always said mid-late 2013 would be the bottom too, so everything does point to him being correct. I hope so!

[poker]

Still over 1million unsold empty propertys in Spain .
Property prices will go down more!

The younger generations do not have the money amymore to buy property / holiday property for the foreigners then .
There was a small boom now from late baby boomers who still have some money and some Russians maybe but this wont last in the future on a grand scale to buy all.
Banks also do not lend eazely anymore they are still in to and over their heads stoked with unsold propertys .

Of course good propertys and good locations will always be the exeption .

Minimum wage in Germany arround 9 euro /h here 3,5 €H .. . . . .

[Michael]

Don't laugh, but do you know what made me realize just how fucked Spain is?

Top Gear series 20 episode 3.

Here's the link.

Do me a favour and watch it. It's truly jaw dropping.

Thousands of empty apartments (in one small town), an abandoned airport etc. etc.

Bloody hell!

[Nova]

I'm enjoying that!    I'll have to finish watching it later though.  That town where they do the speed test could almost be Palm Mar 

When I was in Puerto Banús, the flashy cars doing the harbour run were having to push through dense crowds - I was clipped by a few wing-mirrors.  I couldn't believe how dead that stretch was on the video.  Either it was the wrong time of year or even Puerto Banús is suffering from La Crisis 

[Janet]

The bottom is very deep ... Spain's sunk very low and it's going to be a long hard climb back up, and we're not going to start going up for a while either. But there are clear signs it's not going any further. I hear what Poker says about property prices, but they won't go lower. There might be one or two dips, but in general, 75% reductions are the limit ... and that's where we are now.

[Michael]

I'm enjoying that!    I'll have to finish watching it later though.  That town where they do the speed test could almost be Palm Mar 

When I was in Puerto Banús, the flashy cars doing the harbour run were having to push through dense crowds - I was clipped by a few wing-mirrors.  I couldn't believe how dead that stretch was on the video.  Either it was the wrong time of year or even Puerto Banús is suffering from La Crisis 

Wait until you see the airport. 

[poker]

I'm afraid if they won't lower the property's will yust stand there and slowly crumble . . . . . . 

The money is not there anymore in the next 10 years like it used to . . . .

As in one other thread here somewere in the forum says , death of the middle class and with it the spending power of them .

And will the younger generations still want to buy a holiday home and come to the same place every year . . . .. .

Only one solution left . . . . a euro split north/south ?
But the EU wont let that happen also so its gonne end in more poverty in the south.
We have not seen rock bottem yet .

[Nova]

Wait until you see the airport. 

I just did.  Ciudad Real I believe.