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Fewer defects in new build properties in Spain

The top two defects found in a survey of 700 new properties built by 51 developers between April 2007 and December 2008, were walls and ceiling defects (39%) followed by tiling (35%) especially levels and damage.

It took developers an average of 51 days to fix 90% of defects and an average of four visits were required to do so, the survey of Snagging and Buying Trends 2007/2008 from InspectaHomeSpain found.

Managing Director Roy Howitt said the construction industry in Spain has undergone a number of changes since the company's first survey two years ago. Overall it has found that standards have improved but that does not necessarily mean that builders are better.

'Advice gained from forums, articles in the press and our information packs have helped people to become more educated in terms of their rights,' he said.

This has meant a rise in the number of buyers questioning developers and refusing to complete on a property if they are not happy. They are more aware of the legal requirement to have a certificate of habitation before completion. The survey found that 83% of properties had a certificate issued on completion compared with just 11% in the last survey.

Almost three quarters, 73%, of all buyers purchased properties as an investment often based on information provided by agents on rental returns and capital appreciation. A similar number, 74%, took out a mortgage, and 89% were happy with their investment.

The company believes there are better deals around now for buyers in Spain as it has become a buyers market. 'More key ready properties are available, distressed buyers, developer's bankruptcies and a flood of re-sales means far more choice for the educated buyer. More buyers are negotiating better terms,' said Howitt.

However one issue remains unresolved and that is the completion of facilities advertised as part of the development such as hotels, spas, golf courses, bars and commercial centres. Some 90% of those surveyed didn't realise that legally these facilities are not part of any sales contract and very little can be done if the builder doesn't build them. This can leave property owners with no facilities and properties that can be difficult to rent out as a result.

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