Real estate in Spain continues to boom as it’s reported property in the country is now more profitable than it was in the previous year.
New reports show that rental yields on Spanish property have improved significantly from 2014 figures. Even the properties listed as the least profitable in the country offer double the yield when compared to the rate offered by 10 year Spanish Government bonds.
The yields shown in the second quarter of the year average at 5.5% for residential rented properties across Spain, compared to 4.9% in the same period from the previous year. Further research shows yields reaching as high as 7.6% for long term lets.
The news follows on from a continued rise in sales across Spain with the total number of completed purchases reaching its highest level in three years. Rental demand in the country has also increased dramatically in recent months.
Sequre’s Managing Director, Graham Davidson, comments on Spain’s growing property market:
“The overseas property market continues to go from strength to strength. For investors, these figures are reassuring that Spain is still proving to be a profitable investment. Rental demand and long terms lets are up and they can see good returns with these high yields. The pound is still very strong compared to the euro too which is even more favourable for British investors looking to buy now.”
“Even for those purchasing for lifestyle purposes, such as a second home, will still be seeing benefits in terms of investment. House prices themselves in Spain are still incredibly low but the success of the market will no doubt see them rise over the next few years. September is often a popular time for British buyers to be looking abroad so by buying a property now, UK buyers can get a cheap deal on luxury properties that are bound to go up in value considerably.”
If you’ve been considering a Spanish property purchase, contact our team today. Sequre offer subsidised viewing trips for a range of areas across the Costa del Sol and the Costa Blanca. We have a range of different properties that will suit all budgets, whether it be for lifestyle or investment purposes. To find out more, contact us today on 0800 011 2277.