5/01/2015 – Money Market UK
According to official data, investors from the United Kingdom account for 18.06% of property sales to foreigners sealed in Spain, followed by the French (10.48%), Russians (7.5%), German (6.45%), Belgian (6.19%) and Swedish (6.08%).
Furthermore, non-Europeans also enforced their purchasing share with Chinese representing 3.95%, Moroccan 2.34% and Algerian 1.96% of the sales. Spain’s real estate listing prices have overally increased by 7%. Demand for second homes hits record high showing a 40% rise from the boom peaks.
Foreigners residing in Spain have been demanding more and more since a collapse driven by the recession. Home salesmen performed best in Valencia, the Canary Islands and the Balearics. They sold most in year-on-year terms in Madrid (up 30.4%), Extremadura (25.7%) and Navarra (19.3%).
Aguirre Newman advisors state the strong demand coming from foreign buyers is due to low prices along the Costa del Sol coastline, additionally seeing new property developments being started. Around 90% of the overseas investors is able to buy a housing unit without a mortgage.
Real estate experts have admitted that the Golden Visa scheme which hands over Spanish residency for an investment for half a million euros or more had not come up to the expectations so far.
Original story: Money Market UK (by editorial staff)
Summary: AURA REE