davidbatesfinancialadviser.net

It certainly has been a rough ride recently but as I write the FTSE100 share index is up over 9.50% on the day at over 5,300. Sterling against the Euro is 1.2711 (commercial rates) and oil has fallen back in price. US Dollar is weakening against sterling at 1.83, and today Friday 19th September 2008 has seen a lot of euphoria. Hopefully, this is the start of the long road back to recovery after the rockiest ride snce the 1930’s.

Keeping ones nerve amidst the media frenzy for bad news is difficult, but you have to remeber you only lose money if you take it out when markets are dropping. Remember why you put the funds in that type of investment and for how long, then sit back and wait for the inevitable better days.

It is human nature for people to disagree. Interpretation of the spoken word includes, partially, an imposition of the listener’s view of what was actually said. Chinese whispers, if you have ever played it as a game shows that the original statement when passed from person to person changes into something quite unrecognisable. So what chance then the written word??

No-one can read the two dimensional written word and know exactly the intent of the author. That is why there is so much variation in interpretation of the great literary works, song lyrics etc. So when it comes to Internet Forums, then the job of moderator must rank as either one of the most envied or reviled positions to be in. People who own websites, which include a forum can play “god” based on their often “knee jerk” reactions to certain situations, and their often ill perceived interpretation of what a member may have written.

If, as a result of having such power over their tiny kingdom (on the scale of it one website forum is just a mere grain of sand in a vast network) they feel threatened by someone who contributes positively to their forum, they seem to become obsessed at finding any excuse to say “you’re barred”. Likewise if they take someone else’s opinion as a personal attack on themselves, they can get equally eager to shut the other person up.

Is this freedom of speech? Is “forum etiquette” political correctness gone wrong? I think so.

For example, I recently responded to a request for help from someone in the UK, who was trying to complete a property purchase in Spain, and was being frustrated by the lack of cohesion between his lawyers, the developer and the lenders. One important licence was needed before the first habitation certificate could be issued. The person needing assistance on the ground, offered to pay towards any running about, any person that offered to help would incur. I responded that I was happy to help and noted his offer to meet expenses, which were hardly going to amount to perhaps a drink at the local bar, when he came to Spain. For some reason the forum owners jumped to the ridiculous conclusion that I was acting in a “shark” like manner, on the point of ripping someone off, and immediately e-mailed to advse that I was no longer allowed on the site, and also posted a message warning the poor guy, looking for help about “sharks” after taking money off him. This was subsequently amended to “businesses”, which made it look less slanderous.

As a professionally qualified financial adviser, I work in a highly regulated environment, where such activity would soon see an end to my career. I sought an apology and explanation from the webmasters/administrators as to why my “free” advert in their business directory had been removed. I am not sure of libel laws in Spain, but feel that I have been treated very shabbily and unfairly.

So, I would say to anyone, who wants to administer a forum, stay objective, don’t make rash assumptions, talk to members privately before taking action that may have a detrimental effect on someone’s livelihood.

I don’t expect everyone to agree with everything I say, and I am sure everyone else feels the same. For forums to be healthy, freedom of speech and opinion is essential. Webmasters should not act like “wartime” censors.

I guess house prices are  down all over Europe, but here in Spain property sales have been slow for some time now, particularly on the Costa Del Sol and Costa Blanca. Everyone is feeling the pinch and it is interesting to see Estate Agents being creative in their marketing. Some are not using the tradtional advert board, showing company name, they are just putting up a mobile telephone number, as if they to suggest that the owner is selling direct.

This is an interesting ploy, but still does not reach the wider market.

A better way is to adverise on a specialist website, with Google 1st page ranking. One such site is www.ownersdirectspain.co.uk . I am the local agent on the Southern Costa Blanca, and because the service is NEW to the area, there are only a couple of properties on there. Getting in early gives you a better chance of having your property seen by over 100,000 people a month.

AND you will not pay Estate Agents fees!!!

Whilst there is no guarantee of a sale, it certainly widens the audience. There are buyers out there, so why not give it a go.

Please call me if you want to have photos taken for the site. If you have them already you can add your property on-line yourself for jus €50 for a year. If I take photos the cost will be €85 inclusive.

My contact details are  966713057  or 686242103  and e-mai at david@ownersdirectspain.co.uk

The usual “hype” that follows British tennis players around in south west London, is over again until next time. Andy Murray was simply not allowed to play by Nadal, who systematically took him apart. Andy will get better and stronger and looks (to me at any rate) a better prospect than Tim Henman. The only difference I can see is that Tim could play two 5 setters in 3 days and not look tired. Murray looked tired, but was this, as the commentators suggested, failure to recover from beating Gasquet two days before? I think there was a hint of nerves and awe of his opponent. In my younger days playing badminton, it was often the case that in the spotlight of a key tournament, up against a far superior player, I felt a strange kind of exhaustion. I think it was a fear of being humiliated in front of  crowd. Despite Andy Murray’s talk of him being capable of winning Wimbledon, he knew he was on a hiding to nothing.

Tension led to him making too many unforced errors, he had his chances, but failed to capitalise. Even Nadal suggests Murray will be in the top 5 soon, and can only improve. At 21 he has plenty of time to build on the achievement of reaching a quarter final.

Nadal, I feel, will beat Federer in the final this time. He seems so relentless and powerful.

Yesterday 24th June 2008, saw the hottest day of the year so far here on the Costa Blanca, with temperatures in the Vega Baja area up to 37 degrees Centigrade (I heard that further in land it reached 42!) The temptation is to go to the beach and forget about managing the business. However, life must go on.

I spent most of the day delivering tax returns (modelo 100 income tax) as today is the cut-ff date for paying the first instalment, if you have chosen to pay in two parts. There is still time for non-residents to submit their wealth tax returns (modelo 214), hopefully for the last time, if the news put out on the Spanish Tax Office website is correct (they said it had been abolished from January 1st 2008). However, I understand that Valencia is still “negotiating” with Madrid. This I suppose is because they have a higher population on non-resident property owners than most other provinces, and need to get more tax in, not make concessions.

Time will tell if this is just part of an ongoing review of fiscal policy. Summer has arrived at last, after a mixed Spring here, and I guess that matters legal, which take a low priority in most people’s lives at the best of times, are even further down the list at this time. 

A note of caution is required at this point, not only is your tax status here a major “driver” for what else you should be planning in respect of your savings, your property and your family’s future, but also things like use of British number plated cars. The Guardia Civil have been seen stopping UK cars in the Vega Baja area this week. Many people have brought over their cars and have driven about, in some cases for years, without re-plating (and therefore validating the car tax situation here). OK they may well have insured the car, but come an accident or a car theft, it is always possible that the insurance may be invalidated because the car is being driven without tax in Spain. My own car is Spanish and the road tax is only €53 per annum. All cars older than 4 years should get an ITV (MOT equivalent every 2 years, then annually once they are 10 years old).

If you are unlucky to be stopped and cannot satisfy the Guardia that you are “only here on holiday”, you could be in for a shock. Apart from the fine, you may lose use of your transport until you get it legalised.

At this busy holiday time of year, the police are also clamping down on drink drivers, the limits are more punitive than Britain, so again caution is required. You cannot assume that a couple of beers will keep you below the limit, and it is more than likely that hire cars will be targeted more than local private cars.

Sorry to sound such a “party pooper” but I would rather you enjoyed your long hot summer, problem free.

I just want to share my wife’s recent experience, which should act as a cautionary tale to all motorists. On Friday 13th June 2008, my wife was on her way to Benijofar for a medical appointment. She left Montebello at about 10am, and took the Benijofar exit off the AP-7 Motorway junction 745. No sooner had she joined that road, she saw a man wearing what appeared to be  a local police uniform, dark blue and yellow shirt, flagging her down. Another car(red) was parked behind a silver grey car. The “policeman” asked for documents, and not sure where in the car I had put them she called me to say what had happened. Because she had no documents to hand, he said he would have to take the car to the police station. Anyway, she got out of the car to give the man the documents, and was told in no unceratin terms by the Blonde Police woman, to “get back in the car”. they asked for her driving licence, which she had inadvertantly left at home and her NIE. At this point they asked to have her purse, which contained only a few coins and her credit/debit cards. She showed her sip card to point out the NIE number, but they said it was no good. She called me and I arranged to get a  lift over to her, from a kind neighbour.

The police asked her how long I would be . She replied “5 minutes”, at this they got very agitated and got in the silver/grey unmarked car and did a “u” turn back to the roundabout.

A couple of hours later, after her late running medical appointment, it occurred to her that maybe they were not real police, as she had never in our 9 months in Spain, seen unmarked cars. On return home I called our local councillor for European Residents, who thought this sounded very dodgy indeed. so she contacted the police, who were of the same opinion.

10 minutes later 2 local and 2 Guardia arrived at the house and took details.

When faced with this alien situation, you do not think rationally, so the obvious things like taking a registration number and asking for ID, go out of the window.

Things to remeber in Spain are

1 Traffic police only want to see motoring documents, not your wallet

2 Police in unmarked cars have a flashing sign in the rear window

3 they do not impound the car unless you are drunk, in an accident  and never for forgetting your driving licence.

So anyone driving in Spain, around the Costa Blanca, should be aware that nothing is as it seems at times. Genuine Police will happily show you their ID.

Spanish Life is so much different to the UK. Apart from the obvious things like the weather and the language, it takes a bit of adjusting to, when you first arrive. Anyone who has bought property here will know exactly what I mean, when I say that you can be at the notary for absolutely hours waiting to sign for your new home. It is a meeting of lawyers, translators and both vendor and purchaser are there, as well as representative’s from the banks, if you have a mortgage. Then there is the “black money” the amount above the “declared value” put in the escritura (title deed). Whilst “illegal” it is still widely used, although its days are possibly numbered as the tax authorities tighten up. I must admit to being a bit concerned about walking the half-mile or so from bank to lawyer’s office, carrying in excess of €50,000 (£40,000 or US$ 80,000).

Once you have your home, the fun really starts, particularly if you intend to work in Spain. From setting up your “autonomo” (self-employment) to getting a social security number and medical cards, it is one endless round of standing in queues.