Spanish homes attracting more overseas buyers
Official figures released by the Bank of Spain shows a greater number of foreign buyers are choosing to invest in a property in Spain. During 2012 foreign investment in the residential sector of the Spanish property market increased by 17 per cent on the previous year reaching its highest level in almost a decade. Residential real estate sales to overseas buyers during 2012 totalled E5.54 billion up from E4.7 billion the previous year and a massive increase on the E3.6 million recorded during 2009.
While it is clear that confidence is stronger among foreign investors the same cannot be said for domestic buyers where the level of homeownership is in decline as fewer Spaniards are taking the first step on the property ladder. Residential property prices in Spain are still falling in several regions and experts believe Spaniards are reluctant to enter the property market amid fears of job security especially if the cost of property continues to decline.