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More International Buyers Choosing Spanish Property

News Posted On: 16 February 2012

According to data from the Bank of Spain, international investment into Spanish property increased last year by 27.8% through to the end of September. To put this into perspective, the same period in 2010 saw growth of just 2.6%.

What’s more property purchases increased by 19.2% to €1.1 billion in the third quarter of 2011 compared to the third quarter of 2010. The third quarter was one of three consecutive quarters in which investment exceeded €1 billion, levels which haven't been seen since 2008.

Foreign investment into the country has been very mixed over the past few years, as after falling between 2003 and 2006 it increased in 2007 before declining once more in 2008 due to the economic crisis.

It looks as if this trend is continuing, with many bargain hunters coming from the Nordic countries and Germany, and now outspending Brits who traditionally love to buy property in Spain.

This situation could change in the near future as the euros depreciation against sterling is making the purchase of European property much more attractive than in recent months.

At the moment prices are still very reasonable, especially along the coasts with two or three bedroom townhouses in new developments such as the Lagunas del Sol development, costing as little as €114,000. A brand-new three-bedroom home with a garden in Calpe on the Costa Blanca can be bought for €165,000.

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