The collapse in the Spanish property market is expected to leave more than 900,000 new homes unsold this year and Spain's prime minister Jose Luis Rodriguez Zapatero warned this week the nation's banks will not escape unscathed.
While Spain's giant banks Santander and BBVA have managed to ride the current financial storm, the nation's smaller banks and savings and loans institutions cajas are struggling to remain afloat.
Meanwhile, there is a shortage of new UK buyers, as many prospective owners struggle to raise funds with a banking squeeze in UK and Spain and the falling pound raising mortgage and property costs.
