Budget Airline Cutbacks Spell Good News for Traditional Property Markets
Recent events in the travel industry have seen multiple budget airlines and travel companies cease trading. 2008 has seen the end of XL, Zoom, and Oasis to name a few and passengers have been left stranded at many destinations.
With concerns over the future of Italian flag carrier Alitalia and Willie Walsh, British Airways CEO, predicting that up to thirty more airlines could soon follow suit, it seems that the future looks uncertain for the remaining small airlines and their flight routes. And for potential overseas property owners considerations of accessibility seem to now be more important than ever.
For traditional second home markets with well established scheduled and charter flight routes, countries like Spain, Portugal, France and Cyprus are unlikely to suffer in the same way as newer, up and coming destinations. Also, rising fuel costs are likely to impact less on short-haul destinations and places accessible by ferry, rail and by car than locations dependent on newly introduced air routes.
One well established second property destination, the Spanish region of Murcia, just two hours flight time from the UK, is showing little sign of trouble. The local San Javier Airport serviced by several carriers, (easyJet, BA and Monarch,) continues to report healthy passenger numbers with some 1,645,886 passengers flying into San Javier in 2006 (Civil Aviation Authority) and with a second airport due to open in Covera during 2009, it seems doubtful that travellers to Murcia and surrounding property hotspots like Cartagena and Lorca, will find themselves without adequate transport links.
In fact, estimates suggest that Covera Airport will be used by one and a half million passengers during its first year in operation, although this conservative figure is expected to triple in the short to mid-term (typicallyspanish.com). The region is also becoming increasingly accessible thanks to developing rail routes linking to Lorca, Murcia and Cartagena.
Local property expert Mike Hamilton, Sales Director of Casas de Lorca, predicts that this spells good news for the region and property owners alike: “The ease of accessibility to Murcia is a real positive for the region’s property market. Murcia remains a perennial favourite with investors and the excellent value for money of property is liable to keep the interest of holiday home buyers also.“
Murcia certainly is excellent value for money with the average house prices for the province currently sitting around €210,300, below the national average of €240,000 (Kyero.com) and you really can get more for your money. Take the luxury Casa Málaga bespoke villas offered by Casas de Lorca for example; set on five acre plots in and around the traditional town of Lorca, these 3 bedroom, 2 bathroom villas are being sold off plan and are available from a starting price of €256,000 (£203,300). For more information on these and other properties within Murcia and Lorca, please visit: www.casasdelorca.net or alternatively call 0844 734 8057 to speak to a Casas de Lorca representative.