Mortgage
Approval in Spain sees record rise in 2015
Spain witnessed the largest year on year
increase in the number of mortgage approvals in 2015, as the rise was 19.8%,
the steepest ever since they started to keep a record from 2003 which is great
news for investors wanting to buy
property in the Costa del Sol and Spain.
As per the statistics revealed by INE
(National Statistical Institute), it is a clear indicator that the economy of
Spain is back in track ever since the decade long slump after real estate
market crashed in 2008.
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| Record number of mortgages approved in Spain in 2015 |
Ever since the global recession in 2008,
people in Spain have continued to remain unemployed, started working for lower
pays and also lost their financial security due to the global turmoil. However,
due to the market scenario improving since 2014, the economy of Spain has been
improving and has seen a growth rate of 3.2% in 2015, making Spain one of the
best performing economies among the EU countries.
Following the recession, property prices
saw a sudden cut of 40% on an average. It has only been improving since then
and also, people now have job security. Banks have started to offload the
properties they forcefully had to buy during the recession. All these
statistics prove that the economy of Spain has been improving steadily.
Data released by INE also revealed that the
total capital all over Spain borrowed as mortgages stood at €25.9 billion,
which is a 24.1% increase compared to the previous year.
However, the mortgages borrowed were
highest in 2006 just before the crash, which stood at a whopping €188.3
billion. Going forward, the growth is only bound to increase and home loans
have registered an increased growth continuously from the past 19 months and investment
properties are being bought in Spain.
