Wednesday, May 12, 2010

Property sales in Spain are showing signs of recovery

Spanish property market is beginning to head towards recovery following a turbulent year, one expert has claimed.

According to the latest figures from the national institute of statistics for the country, home sales in Spain are showing signs of recovery. The real estate market in the popular European destination grew by 16 per cent during February compared to 12 months previously.

Individuals with a property investment in Spain may be interested in news that Catalonia and Madrid are the most popular regions in the country which saw 43 per cent and 36 per cent increases respectively over the course of the year.

Chris Mercer, director of Spanish-based estate agent Mercers claimed that the increase was based purely on low prices, with bargain properties proving to be the most popular choices for buyers.

He commented: "The increase in sales will continue in 2010, followed by substantially more volume in 2011." Besides, Mr. Mercer predicted that because of cautious bank lending and high unemployment in the country it is unlikely that there will be a substantial rise in prices in the near future. Spain has traditionally been a popular country for UK investors looking overseas, and with the average house price at home breaking the £200,000 barrier for the first time, interest in the popular holiday destination is not likely to abate.

According to Overseas Property Professional, agents and developers in Spain recently announced that they had experienced an increase in the number of properties being sold to overseas buyers in coastal areas.