The rise of the resale – what British buyers want from the Spanish property market
- 76% of Spanish home sales are now resale properties (Ideal Homes International)
- Overseas buyers steadily accounting for 17-19% of transactions (Ministry of Development)
- Spanish property market growth up 1.8% year on year (Knight Frank)
Market intelligence gathered by boutique overseas real estate agency Ideal Homes International has revealed an interesting trend when it comes to Spanish second homes. It seems that Brits are turning their backs on new build properties, in favour of older, resale homes.
Chris White, Founding Director of Ideal Homes International, explains,
“We’re seeing a trend in Spain right now for British buyers opting for resale properties instead of new builds. Resale properties now account for 76% of sales, compared with just 24% for new builds. While there is still interest in new build developments from Scandinavian and Belgian buyers, the Brits are all about the resales right now.”
Many British buyers are looking for dual purpose properties when it comes to purchases in Spain. In the immediate term, they want a great holiday home that also has the potential to earn income as a holiday let. In the longer term, they want somewhere that can act as investment for their golden years, either as somewhere to escape to for a life in the sunshine or as somewhere that will grow their capital so that they can sell it to fund their retirement.
The jitters about buying second homes overseas, caused by the financial crisis of the late 2000s, seem finally to have been put to bed. Knight Frank’s Global House Price Index increased by 3% in 2015, with buyer confidence keeping both domestic and overseas property markets alive and well. Spain’s year on year growth stood at 1.8%, according to the report, with overseas purchasers accounting for between 17% and 19% of transactions since the start of 2015 (based on Ministry of Development data).
“There was a time when British buyers flocked to new build developments in Spain,” continues Ideal Homes International’s Chris White, “But the financial turbulence of the past decade has had an interesting impact on British property purchases in Spain. Confidence is back and the market is growing at a healthy pace, but the type of property that buyers are seeking has definitely shifted. The attractions of sparklingly brand new homes have given way to the warmer appeal of more homely properties. Location is key too – buyers are focused on the closest airport and beach, the nearest shops and other local amenities.”
This two bedroom apartment in La Zenia, for example, priced at €115,000, is located close to the La Zenia shopping centre, offering spacious, fully furnished and comfortable living accommodation in a great position, with the added benefit of an on-site swimming pool.
Of course, a homely property doesn’t have to mean a small property, as this five bedroom detached villa with pool and panoramic sea views shows. Just 300 m from Cabo Cervera beach and 800 m from La Mata beach, the extensive family home is split across three storeys and includes a huge solarium, TV and music room, large living room with fireplace, five bedrooms, three bathrooms (one with Jacuzzi bath), garden, two car garage and plentiful terraces. The villa is available for €790,000.