Is It A Good Time To Buy Property In Spain?

One of the questions we hear a lot from prospective buyers is “Is Now A Good Time To Buy In Spain?”. The simple answer to that question is a categorical, Yes! According to the bank of Spain, foreigners invested a total of 4,748 Million Euro’s into the Spanish property market in 2011 which was a rise of 27% on 2010. This is another very good sign that things are on the up for the Spanish property market and that buyer confidence has returned with many looking for a safe haven for their money in what is after all, a known quantity. Recent figures also suggest that other nationalities are finding the Spanish property market very appealing including those from Scandinavian countries such as Sweden, where there has been a 102% increase in property sales. Russian investors have also been very active in purchasing properties in Spain over the last year or so and have shown a lot of interest in areas of the Costa Blanca. Spain is still the number one choice for British and many European holidaymakers. With the Euro currently performing very well against the pound, holidaymakers are getting a great exchange rate for their money, helping to boost the Spanish tourist industry in the process. The National Institute of Statistics (INE) recently noted that in Q1 of 2012 a total of 2.4 million room nights were recorded on the Costa del Sol which is a jump of 2.9% on the same period in 2011. Couple this with the fact that countries such Egypt and Tunisia have been experiencing terrible political unrest over the last year or two, it’s easy to see why the Spanish tourist industry will continue to prosper in 2012/13. In recent months the pound has strengthened against the Euro markedly. As I write this post, the Great British Pound is worth €1.2485. This compares to around €1.04 to the pound in early 2009. For anybody looking to purchase a property in Spain, this is a significant movement. As an example, say that you were investing ₤300,000 into a property here in Spain. In early 2009, your ₤300,000 would have been worth just €312,000. Today, that same ₤300,000 would be worth €374,550. A difference of some ₤62,550. Early 2009 – ₤300,000 = €312,000 May 2012 – ₤300,000 = €374,550 With many doubts still looming over the European economic situation and with Greece possibly leaving the Euro zone in the coming months, things are looking a little fragile to say the least. This has helped to weaken the Euro and pushed property prices even lower. If you are looking to move here permanently, looking to buy a holiday home or if you are contemplating investing into the property market, now is definitely a great time to invest in Spanish property!! Please feel free to browse our current range of property for sale in Spain here.