Author: Megan A. Lloyd
Historically, and perhaps that of ‘Spain is different’ in this country has believed that the best legacy we can leave our children is a floor. No top-level education or financial assets or works of art, no: a home paid in full. That’s one of the reasons why the housing boom that has swept Spain in recent years and has done so much damage once we arrived the crisis.
It seems the Government wants to fight this vision of saving, since in recent days has insisted from the State Secretariat for Economic Affairs (something like the enforcement arm of the Ministry of the same name) so we’re not going anywhere, and in fact some government measures have been aimed at curbing this trend (reduction of deductions for housing, rent subsidies …). But look at the data: where the money goes to the Spanish? Where to invest?
Having the nice ticket, the thing is clear: 3 out of 4 Euros which we invest, invest in brick. Far behind them are savings accounts and bank deposits, with only 11 out of 100 Euros, followed by actions with 7 of 100 Euros, half the insurance and derivatives. Thus, for every dollar of ‘real estate wealth’ Spanish families have 30 cents of money, either in cash or converted into financial products.
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