Foreign property investment in Spain and Tenerife up in 2011
Foreign investment in Spanish property grew in 2011 according to figures from the Bank of Spain. After surging by 27.8% through September over the same period in 2010 which experienced a mere 2.6% growth, overall transactions reached €3.6bn with the Bank of Spain reporting that these investments exceeded €1bn euros for three consecutive quarters, something not seen since 2008.
Marc Pritchard Sales and Marketing Manager of Spain’s leading house builder Taylor Wimpey España comments: “Foreign investment into Spain has been very changeable in recent years. It progressively declined between 2003 and 2006 only to increase in 2007 however, the upward trend was cut in 2008, during the economic crisis seeing foreign investment fall. However, the news that foreign investment in once again up is a sign that property market conditions are improvingwith property purchases in the third quarter of 2011 increasing by 19.2% over the same period of 2010, amounting to €1.1bn.
“The increase in Spanish property sales seen in the last quarter of 2011 has spilled over into 2012 as international bargain buyer’s hunt down the best Costa deals with Germany and Nordic countries outspending the Brits, who have been a little slow in spotting new opportunities.” Nevertheless, the euro’s depreciation against the pound could mean that there will be numerous opportunities for Brits to expatriate to Spain in 2012 with Pritchard stating: “As Spanish propertyseems more affordable in the eyes of British buyers there now seems to be a slow but sure increase in the demand for villas and apartments along Costa shorelines.”
