Spain has made a remarkable recovery and third quarter numbers from the land registry highlight that foreign sales in the country are close to an all-time high. This has been a significant year for the Spanish property market as it appears to be on the cusp of a boom; everyone from investors, owner occupiers and even those looking to rent, are flooding back into the market. Here we’ll look at why this is:
Affordable but growing house prices
After the economic crash, property prices plummeted and remained stagnant until just a few years ago. This time last year, property prices were around 50% lower than they were in 2008 however, due to the high demand, prices have quickly started to rise – just one of the many signs of a flourishing market. This demand isn’t just from the Brits either, Spanish property is in high demand from French, Dutch, Belgian, Swedish, German and Italian buyers and one in five Spanish property sales are to foreigners. Now is a fantastic time for anyone thinking of buying in Spain as prices are expected to increase.
Once the market began to stabilise in Spain, it didn’t take long for the number of house sales to follow suit. Foreign demand for Spanish property has jumped 19.7% since the downturn and established areas of Spain, such as Marbella, Alicante and Murcia, continue to be just as popular now, as they have been for decades. The Costa del Sol and Costa Blanca have always proven highly desirable and there’s little surprise that this is still the case today. As we mentioned above, foreign sales are now close to all-time highs, and this number is predicted to increase dramatically as we move into 2017.
Strong performing rental market
The rental market in Spain is incredibly strong and the demand from tourists, ex-pats, foreign nationals and also from the Spanish communities themselves, has resulted in investor demand being at an all-time high. Low prices coupled with healthy returns are key drivers for any savvy investor.
At Sequre International, we pride ourselves of our knowledge and experience of the overseas market. Many of our team have lived in Spain for a number of years so thoroughly understand the market and the buying process. We have thousands of properties to suit all budgets, so if you’re looking for your dream property overseas, call us on 0800 011 2639.