Although banks are again generating gigantic profits, their shareholders do not seem to be satisfied.
Bank CEO’s claim that Classic savings formulas, which are still popular with a large number of people, are too costly for their banks. Yet the yield for the customer is extremely low. When the banks wish to park their (your) money at the national bank, in many European countries they are indeed penalised for that, instead of receiving interests. What these CEO’s do not mention, is that they earn a lot of money, by (amongst others) issuing loans with your savings. The consumer, although interest rates on loans are very low too, pays a lot of good money for his loan.
But these banks have to generate even more profits for their shareholders and so they plan to make the consumer pay for that. Basic bank services may very fast become a lot more expensive: e.g. costs for: holding a bank account, bankcards, money transfers, etc.
Just now a major Belgian bank revealed its intention to make its customers even pay for advice on investments and even on loans! No doubt it will not be long before other competitors follow their example.
This same bank wants its customers to change their saving habits too. As said above, the bank feels that classic savings accounts are not interesting anymore and too costly (for them) and they want to convince their customers to put their savings into investments with a higher risk and a (only slightly) higher yield, like savings insurances.
As banks are twisting their customers’ arms more and more, it is high time to consider safer alternatives for your savings. A top alternative is certainly real estate. If you are not in immediate need of a large sum of liquid assets, this is certainly the one to go for.
And why not a real estate investment that you can enjoy yourself and that can yield a considerable return too?
Who would not like to own a nice house or apartment in a place where the sun shines 320 days a year and life is easy and low-cost? The Costa Blanca has all that to offer you!
Furthermore, as prices were at an all time low at the end of 2014 and have started to increase slowly but steadily since then, this is still an excellent time to buy.
At the same time, tourists that flocked to other southern countries, like Greece, Turkey, northern African countries (Tunisia, Egypt, …) are massively turning toward Spain, which offers an enormous rental potential for home owners.
If this sounds appealing to you, do contact us or come and see us and we will help you find the ideal investment for you!