Spain continues to see housing recovery
There has been continued strength in the Spanish property market, as sales increased by an amazing 19.4 percent when compared with a similar period in June 2015. These statistics, which were produced by the National Statistics Institute show that sales landed at 38,656, a figure not seen since January 2013. This is the fifth month of growth in a row.
With prices varying indifferent locations, it’s important to look at the detail before deciding on the success of the outcome. The best results were achieved in the coastal areas, with Andalucía recorded the most sales at 7,496. Catalonia was next up with 6,000 and that was followed by a strong showing from the capital with 5,441.
The national average house rose in price by around 1.5 percent in June. The major cities achieved stronger growth due to demand (around 3.6 percent).
With the recent decision by the UK to leave the EU, there had been increased concern that investment from UK would begin to decline. However much like the UK property market it seems unchanged by this result. The market is also more diversified against UK risk than many imagine. British buyers form just 4% of national sales and with purchases by German, Dutch, Belgian and Swedish buyers growing particularly strongly this year, the Spanish property market recovery is unlikely to be heavily impacted.
It is well known that brits buy Spanish property for a variety of reasons, and most will feel that the result should have little difference on their future decisions. There will be some who are waiting to see the Government’s stance on Healthcare and pensions before making the move over to Spain, as a question mark remains over how restrictive non EU membership will be. People won’t want to put their lives on hold waiting for an outcome.
As a result of this uncertainty most UK residents have decided to buy an investment, giving them the freedom if they get another unexpected blow from the state.