Spanish real estate: a sound investment for Brits as prices rise?
The UK is leaving the EU, the real estate market is growing in south-western European countries, and property prices are rising. But what does this mean for second-home buyers, seeking a good investment abroad or a relaxing retirement in the sun?
For now, there is nothing to worry about, as the terms of Brexit are not yet completely settled and there’s still a year to go. So, you don’t have to give up on your dream of an apartment or villa by the warm Mediterranean.
Indeed, demand is higher than ever, and service providers like https://www.immoabroad.com are trying to showcase the best destinations and properties available, while giving advice and insight on the buying process and due diligence.
Where do British second-home owners go?
Over the past decade, second-home owners abroad have grown more than 50%, with Brits looking for the sun and a better climate in Spain, France, Italy and Portugal.
In fact, in the UK, the term “property in Spain” generates more than 2.5 million searches per month, leaving France far behind in second place with less than 1.5 million searches.
Spain has been among the top preferences for UK expats and property buyers for more than a decade, and more than a quarter of the 1.2 million British nationals spread across the European Union have chosen Spain to settle. The year-round nice weather and sunny beaches are certainly two excellent reasons for the demand, but the deciding factor was probably the fact that property prices dropped following the crisis that engulfed Europe’s financial and real estate markets.
What about the prices for overseas real estate now?
Spain is now in high demand, which explains the increase in prices by 3.6% countrywide. Though metropolitan areas – like Madrid and Barcelona – are more expensive, coastal areas are the ones where prices have increased the most, up 4.5%.
However, an increase in property prices is not necessarily bad. This means demand is also increasing, which leads to a good return on investment for those looking to monetise their holiday home.
Investment by the sea
After the rush to Mallorca, Ibiza, Seville and many others, Costa Blanca now seems to be the place to go, enjoying a wave of new developments and tourists.
The small town of Moraira is – according to Immoabroad – a perfect example of a premium destination for investors and second-home buyers.
Amongst the many reasons given by property seekers for choosing Spain to settle or purchase a holiday home, the safety and low cost of living seem to always come first, along with great food, good wine and, of course, lots of sun.
What are your tips for second-home destinations abroad? Share your thoughts and experiences with us below.