The volume and value of property sales in Spain increased substantially in the first six months of 2017 with an increase in domestic buyers, new research shows. The number of transactions increased by 47% and the value of these sales was up by 55%, according to the latest report from Lucas Fox with sales to British buyers at 10%, slightly down compared to last year.
The firm also reports that 10% of sales were to buyers from the United States or Canada while overall 32% of all Lucas Fox buyers bought as an investment and the same proportion purchased homes as a secondary residence and 23% of buyers bought homes as a primary residence. The average price of a property sold by Lucas Fox in the first six months of 2017 was €750,000 and the country’s top three cities, Madrid, Barcelona and Valencia recorded a successful six months.
‘Spain’s economy is the fastest growing in the Eurozone, bringing greater confidence back the property market. We have seen growing interest from property investors, who now regard Spanish real estate as offering excellent potential for capital gains and profitability through short and long term rentals. We expect that the price recovery now taking place in the cities will extend to the suburbs and other parts of the country in the forthcoming months,’ said co-founder Alexander Vaughan.
In Barcelona sales increased by 42% and the value of sales was up by 31% with 43% buying as an investment. New build properties were the most popular and by the end of 2017 are forecast to account for at least 50% of transactions. There has been a significant demand from Northern European and US buyers for both renting and buying homes in Barcelona. Indeed rentals increased by 150% year on year with the average rent priced at €2,721.
