Friday, 12 January 2018

Spanish Second Home Market Redefines Itself

Spanish Second Home Market Redefines Itself
Costa del sol continues to lead the way in property sales and rentals
There’s no such thing as a “typical” overseas buyer when it comes to Spanish property. For every millionaire looking for property in La Zagaleta, there’s the average Joe that has worked hard to finally invest in an overseas property.

However, it’s well known statistics can be manipulated to tell any story, which is what happened with real estate portal Donpiso. The results are interesting to say the least.

The data shows that an average holiday home in Spain costs €200,000, is o the or near the coast, and is purchased by couples between 35 and 49 years old, with children and a regular monthly income of at least €3,500.

The cheapest coastal region in Spain to purchase property is Murcia, where the average holiday home costs just €150,000. The figure increases as you move across the Costa Dorada. Costa Brava and Costa Blanca with those buying second homes on the Costa del Sol spending an average of €350,000.

It’s true that you really can do anything with statistics. Even though house prices do rise on the Costa del Sol faster than anywhere else since the beginning of the recovery, €350,000 is still higher than the average price one would be paying for a home in the area.

The figure is skewed as Marbella is where the most expensive postcode in the country is found, along with many exclusive neighbourhoods and urbanisations packed with luxury homes. In the more affordable areas of the region, buyers can get a property for the bargain price of around €200,000.

Other trends related to dates show that the summer is the busiest time for buying holiday homes, while demand cools off during the run up to the Christmas holidays.

Another study from Marbella Property Group praised the Spanish property sector, stating that the industry has undergone a major transformation as of late with higher employment levels, an increase in disposable income, and a rise in consumer confidence boosting housing demand, along with the 20.2% increase in mortgage lending in March of 2017 compared to last year.