Britons Can Save Millions on Euro Exchange in Spain

Britons missing out on £101M each year on international money transfers

Poor bank rates and high charges for foreign exchange transactions mean individuals need to be savvier when transferring money overseas. Research by Moneycorp reveals that Brits are potentially losing over £101m a year by not shopping around for the best deals when transferring money abroad. Furthermore, uncompetitive exchange rates and high bank charges are costing individuals a lot of money, despite a concerted effort by most to reduce their outgoings on luxury and even staple items.

David Kerns, Head of Personal Clients at Moneycorp, comments:

“While many individuals are visiting comparison websites more frequently, checking voucher code sites and consulting online consumer forums before purchasing goods in order to save money, this mindset doesn’t seem to have extended to foreign exchange. As a result, individuals are missing out on a very large sum of money they could be saving, by transferring funds overseas through a foreign exchange specialist rather than a bank. Not surprisingly, high street banks are cashing in as a result of this surprisingly apathetic approach.”

People buying or selling property overseas and people emigrating or repatriating will be particularly affected, though this issue will affect all Brits who are transferring money overseas.

People who own additional properties abroad and make regular mortgage and/or utilities payments will also be badly affected, as every transfer is open to individual transfer charges, in addition to exchange rates.

Data from the UK’s number one property website, Rightmove Overseas, reveals that the average house price in the Costa del Sol in Spain is currently €369,860.68. With a deposit of 10% (€36,986), using a high street bank rather than Moneycorp would cost an individual, on average, an extra £558 on their deposit alone.

An individual who wants to transfer a lump sum of £100,000 to an account in Europe would lose out on an average of €1,690 by using their bank for the transfer into euros.

David Kerns concludes: “Despite the UK coming out of recession recently, individuals shouldn’t be lining the pockets of their bank managers and it’s in their best interest to maximise their investments. Prior to making any overseas payments, we always advocate that people shop around to get the best rates possible.”

If you are looking for the best currency deal for buying or selling property in the Canary Islands ask Goldacre Estates on 0034-928 53 50 44 or contact them at info@goldacre-estates.com

Feaga 2010, Fuerteventura Exposition

The annual FEAGA exposition took place this last Thursday to Sunday in what is a now familiar location off the main road from Caleta de Fuste to Jandia at the Pozo Negro junction. This year the Island had a lot to celebrate and show off both in terms of its local agricultural and homestead businesses and the UNESCO biosphere accreditation.

The site was divided into numerous areas encompassing livestock, dairy, meat and wine products, local business suppliers, show areas for live demonstrations including rescue dogs and horse showmanship, and a tented eating facility. The variety of stalls was particularly staggering with each producer keen to impress and win over custom with tempting cheeses, wines and never ending tit bits.

Business suppliers were also keen to show and explain their services offering solar power solutions, agricultural machinery, animal feed, water source solutions and other services. Chris Minty from Fuerteventura Spas was on hand to demonstrate his wide range of Spas and property management solutions as well as taking local BBQs to the next level with the Boretti range of gas BBQs. Udo Abraham was also on hand to demonstrate the AGCOR watering concept for domestic and agricultural use that uses 100% recycled rubber tyres to produce a ‘leaking membrane’ tubing system that ensure no wasted water by evaporation.

Fuerteventura’s Cabildo put on a 3 screen visual video display showing the variety of the Islands landscapes and a presentation of the future land use program to ensure the conservation and preservation of Fuerteventura’s unique natural resources now that the Biosphere accreditation has been awarded.

The show is not just for buyers of agricultural equipment, in fact it is designed to bring awareness to the variety of products and services offered in Fuerteventura and the live shows make for an entertaining day out. The pebbled beach of Pozo Negro also provides an ideal family stop with two fantastic sea side restaurants looking out over a naturally sheltered cove. The winding road to the beach also passes an interpretation centre in La Atalayitas which explains the unique volcanic nature of this part of the Island.

FEAGA 2010 Exposition In Pozo Negro Fuerteventura

FEAGA 2010 Exposition In Pozo Negro Fuerteventura
The annual FEAGA exposition took place this last Thursday to Sunday in what is a now familiar location off the main road from Caleta de Fuste to Jandia at the Pozo Negro junction. This year the Island had a lot to celebrate and show off both in terms of its local agricultural and homestead businesses and the UNESCO biosphere accreditation.
The site was divided into numerous areas encompassing livestock, dairy, meat and wine products, local business suppliers, show areas for live demonstrations including rescue dogs and horse showmanship, and a tented eating facility. The variety of stalls was particularly staggering with each producer keen to impress and win over custom with tempting cheeses, wines and never ending tit bits.
Business suppliers were also keen to show and explain their services offering solar power solutions, agricultural machinery, animal feed, water source solutions and other services. Chris Minty from Fuerteventura Spas was on hand to demonstrate his wide range of Spas and property management solutions as well as taking local BBQs to the next level with the Boretti range of gas BBQs. Udo Abraham was also on hand to demonstrate the AGCOR watering concept for domestic and agricultural use that uses 100% recycled rubber tyres to produce a ‘leaking membrane’ tubing system that ensure no wasted water by evaporation.
Fuerteventura’s Cabildo put on a 3 screen visual video display showing the variety of the Islands landscapes and a presentation of the future land use program to ensure the conservation and preservation of Fuerteventura’s unique natural resources now that the Biosphere accreditation has been awarded.
The show is not just for buyers of agricultural equipment, in fact it is designed to bring awareness to the variety of products and services offered in Fuerteventura and the live shows make for an entertaining day out. The pebbled beach of Pozo Negro also provides an ideal family stop with two fantastic sea side restaurants looking out over a naturally sheltered cove. The winding road to the beach also passes an interpretation centre in La Atalayitas which explains the unique volcanic nature of this part of the Island.

If you want to know more about the Canary Islands and Fuerteventura you can visit www.goldacre-estates.com

Currency Matters for Euro Property Buyers in Canary Islands

Transfer talk
Get more for your money with Moneycorp's forward contract currency deal, writes Stephen Tiley

WHEN transferring money to Spain and Canary Islands it’s important that you get as many Euros for your pounds as possible.
Transferring your currency overseas – whether you’re putting down a deposit on a home or making regular mortgage transfers – is often left to the last minute, which can cost you thousands due to currency fluctuations.
Timing your transaction is key and you should never underestimate the value of a good exchange rate.
Currency markets are constantly fluctuating, so making your transaction at the right time can make a big difference to the amount of money you end up with.
The amount of money lost or gained over the last five month for example is incredible.
For example, buying a Spanish home in Fuerteventura or Gran Canaria for 150,000 euros on January 28 would have meant transferring £129,310.
Leaving it just four weeks to March 1, would have meant bringing over £137,299, or a staggering £8000 more.
Two months later on May 17 and you would have saved £8,500 needing just £128,755.
Currency experts like Moneycorp can tailor its services to make sure you trade when exchange rates are in your favour and save you money.
A forward contract is just one of the services a currency broker can provide to clients making international money transfers.
You book to buy or sell your currency in the future, at a rate you fix today. Forward contracts can help protect against adverse currency movements and can be used to lock into favourable exchange rates.
Since November there has been a huge fluctuation from 1.11 euros per pound in January to 1.14 euros in February and up to 1.17 today.
The lack of direction suggests a steady relationship between the pound and the euro but it would be fairer to describe the alliance as a marriage of inconvenience.
For the euro and the pound the underlying problems are the same ones that have dogged them since the end of last year; debt and politics.
The common thread throughout the election run up was the way investors had been following the opinion polls. The more level the two main parties, the more investors shrank from buying sterling.
The chancellor’s forthcoming budget on June 22 should finally provide the pound with some direction.
The woes of the euro stem almost entirely from the maladministration of previous Greek governments.
In a situation dating back to Greece's fudged membership of the euro (many warned against it), the Athens government of the day used financial derivatives to conceal the true scale of debt in order to meet criteria set for membership.
Fortunately for Greece the EU Commission has now put a rescue package in place, however some disharmony still prevails.
In particular many other EU countries are concerned that the unrest in Greece may escalate to their own doorsteps if similar measures are put in place.
With all this uncertainty, let Moneycorp take care of all your money transfers to and from Spain; however small or large.
Our experts make the process quick, easy and highly cost-effective.

For more information on how Moneycorp can help get you more currency than from your bank contact Stephen Tiley in the Costa del Sol office on +34 951 319 700 or email stephen.tiley@moneycorp.com and please quote Goldacre Estates

Euro/Sterling Rates for Canary Property Purchase

The latest financial outlook from MoneyCorp on Euro / Sterling and Election fever: UK general election looms over sterling. Germany still playing hard-to-get on Greek bailout.

Although sterling had a slight downward bias it did not move far over the elongated week and was easily contained within a €1.1450 - €1.1650 range.

UK economic data played only the most minor role in sterling's fortunes. Of just a handful of figures only two did not relate to the residential property market. They were not very helpful. The CBI's distributive trades survey, a measure of retail sales, was steady at 13 and Gfk's consumer confidence index declined from -15 to -16. Mortgage approvals (the British Bankers' Association version) went up very slightly to 35k in March but fell well short of the 43k that analysts had predicted. The most positive result came with Nationwide's house price index. A +1.0% increase in April left prices 10.5% higher than a year ago.

Although the UK general election loomed ever larger over the currency, the prospect of a hung parliament did no particular damage. The most recent opinion polls put the Conservative party in the lead with the Liberal Democrats and Labour fighting for third place. If that were to be how the voting went and if it were to translate directly into parliamentary seats (neither can be assumed) a Conservative/Lib Dem coalition would be the most likely outcome. Investors fancy that between them Mr Cameron and Mr Clegg would be able to come up with a suitable plan to reduce the deficit. (The market's main problem is the three parties' steadfast refusal to explain which taxes will go up, where the spending cuts will come and how deep they will be.)

As with the pound, investors did not pay overmuch attention to the economic statistics from the euro zone. Not that there were many pan-Euroland data for them to examine. Brussels-sponsored confidence indices showed consumers (two points higher at -15) and industry (three better at -7) to be in a better mood. Economic confidence was three points stronger at 100.6. Inflation was virtually unchanged (provisionally) at +1.5% and unemployment was static at 10%. The best result came with Monday's purchasing managers' indices. The Euroland index rose by a point to 57.6, lagging behind Germany's better showing at 61.5.

For an nth week it was the Greek bailout that held investors' attention. There have been so many failed attempts at a rescue that it is almost pointless to review them yet again but the feeling of déjà vu is huge: The EU and - apparently - the rest of Euroland wants to dig Greece out of its debt hole in order to avoid destabilising the euro while Germany remains unconvinced that this is the only, let alone the best, way of going about it. As things stand, Germany says it will pay up only if Greece accepts its culpability and promises to mend its ways by subscribing to massive job losses and cuts to wages and pensions. Greece says it is doing its best but its citizens are not exactly lining up to be stripped of their financial security. Despite the protestations of success from Brussels there is not yet a done deal and there remains the real risk of contagion spreading to Portugal and Spain.

The early part of the week could well be a period of relative calm for sterling. Investors have made their best guess about the outcome of the election and what it will mean and must now sit on their hands to see what transpires. That enforced relaxation could well come to an end when the polls close and the results of the first exit polls hit the newswires on Thursday night. If ever there was a time for FX market users to join the ranks of the 'don't knows' this is it. If a weaker pound would totally scupper your investment plans the only safe course of action now is to cover the exposure completely. Otherwise, buyers of the euro should hedge 50% of their requirement and review the situation on Friday morning. Consider leaving an order on Thursday to provide protection in case there is a violent move as the results come out.

Source: Moneycorp

Rising Population and Foreign Property Ownership in Canaries

The population of the Canaries has risen to just over 2.1 million, according to the latest compilation of statistics provided by town halls in the region.

Canary Islands Fuerteventura, Gran Canaria, Lanzarote, Tenerife la palma, La Gomera and El Heirro - The figures show that the number of foreigners registered as living here permanently now stands at 305,000, nearly 15% of the total for the Islands. The overall rate of population increase has slowed compared to previous years, with the latest figure representing a mere 0.5% rise, according to the National Institute for Statistics. Spain's official population has risen to 41.2 million, of whom 5.7 million are foreigners (12%). Real Estate sales in the Canary Islands has contributed to the influx of foreigners who have chosen to leave the cooler parts of Northern Europe behind for the warmer winter months of the Canary Islands.