Foreign Investment in Spanish Property in 2012 Highest in 8 Years
April 18th, 2013
Spanish investment in properties outside of the country sank in 2012, for the fifth consecutive year, while foreign investment in Spanish property rose 17% year-on-year, reaching its highest level since 2004.
Compared with Spanish society’s loss of purchasing power and difficulties in gaining access to credit, foreign investors’ appetite for assets located in Spain has been steadily increasing in the last four years.
According to data from the Bank of Spain, last year foreign citizens invested a total of 5,540 million euros in buying property in Spain.
However, El Mundo reported that even though this figure represents the largest amount invested in Spanish property since the beginning of the economic crisis, it still remains far from the figure reached in 2003, when it exceeded 7,000 million euros.
The figure contrasts with the decline experienced in Spanish investments in properties outside of Spain during 2012, which amounted to 596 million euros, the lowest figure in ten years, and 82% lower than the figure registered during the peak levels of 2007, when it even surpassed 3,300 million euros.