Wednesday, September 21, 2011

Spanish golf properties are holding its value

According to industry experts in Spain, properties located on or near Spanish golf courses are holding its value much better than the national average and have weathered the economic storm better than comparable homes on the coast.

Taylor Wimpey de Espana said that Golf property had held its value between 10 to 15% more than other properties in the country and the value of golf properties fell by a maximum of 20 per cent - significantly better than the 30 to 35 per cent decline exhibited among properties on the coast that are not near a golf course.  He advised investors that purchasing real estate on a golf course in Spain "can be a very sound investment". Investors may also want to bear in mind the firm's argument that good year-round weather and the rising popularity of overseas golfing holidays mean that rental income can be generated in every season.

He also revealed that during the first eight months of this year the property firm saw transactions to overseas investors increase by eight per cent, on the year to date and also a significant rise in the number of enquiries about Spanish properties with a 70 per cent boost in the first half of the year, compared to the same period in 2010. Brits have accounted for 32 per cent of sales so far this year.

With the Golf season lasting the majority of the year unlike other properties that rely on the prime holiday months for occupancy, Golf properties are a great source of regular income. May – August are peak period for Golf property owners who can further profit from their investment.  The combination of high demand and high rental yields meaning there are more exit options and re-sale have continued to attract investors to Spain’s Golf properties ultimately helping them hold their value.