Migrants buying after Spanish real estate market bottoms out

Buyer confidence is now returning to Spain via emigrants’ purchase of Spanish property at rock-bottom prices.

Recent house price data released by major real estate agents in Spain indicated that, in the most popular areas, prices have bottomed out and are attracting migrant buyers as a result. Russian and Far Eastern buyers are picking up bargains and the British and Scandinavians are re-entering the market.

There’s much to attract those wishing to emigrate, with prices in the Costa Brava, Marbella and Barcelona, recently down by up to 50 per cent on pre-crash prices, now showing a slight recovery due to renewed interest from overseas. The luxury market is faring best, particularly in beachside destinations such as Ibiza and Mallorca.

Buyers’ demographics are also changing, with increasing numbers of younger people in the 30-40 age group and fewer retirees being noted. Indian, American and Chinese investors are showing the most interest in the popular areas.

According to real estate agents, sellers are still open to price negotiation even although the best properties as regards location and amenities are listed at around 30 per cent below their true value. The Spanish government’s recently announced scheme to give residency to non-EU nationals purchasing a home for over €160,000 would seem to have kick-started the country’s ailing property market.