With the pound strengthening against the euro and reports of property prices finally starting to increase, foreigners (particularly British buyers) are returning to Spain.
Recent reports suggest that both economists and investors are looking at Spain as being one of the last bastions of good value property in Europe. In the UK the property market recovery has been encouraged by the low interest rates and whilst mortgages in the Eurozone remain at historic lows, there are positive signs that foreign banks are opening up more to lending to foreign buyers.
Whilst this influx of foreign property investors is good news for Spain’s economy, the situation for domestic buyers is also looking up. Deloitte’s annual analysis of the Spanish housing market has shown that the average price of housing is now 4.4 times the individual gross salary, with many of the ‘domestic’ buyers benefitting from this situation being foreigners already living in Spain. The region of Malaga is one of the most popular parts of the country when it comes to home sales to foreigners.
New Developments in Marbella
Recent data published by Spain’s Ministry of Development confirms that Marbella leads the field with the number of properties sold up nearly 24% in 2013. This has served as a much-needed catalyst for developers who over the last few years have preferred to hold on to their land rather than incur hefty construction costs and investors and property developers, both domestic and foreign, are actively selling off-plan once again.