The Latest Spanish Property News from Kyero.com

As another year draws to a close, VIVA Estates examines the Spanish property market and looks forward to a very happy new year on the Costa del Sol.

The slow and relaxed pace of life looks set to continue to attract buyers for years to come, according to a new survey published by Mintel last month. Spain scores top marks throughout the survey, with the country accounting for 41% of overseas properties bought by Britons. The report predicts that the UK Spanish property market will almost double within the next five years, with a further 99,000 Brits buying property during this time.

But it’s not just in the property market where Spain is beating off the competition. 52 million tourists visited Spain in 2003 allowing the country to overtake the United States as the second most popular tourist destination in the world. And with 60% of tourists staying in private homes, the rental market is at its strongest. The Costa del Sol is enjoying its fair share of the glory. Marbella, Torremolinos and Benalmadena alone absorbed 64% of Spanish tourism last year, confirming the coast’s status as the only Mediterranean tourist destination with a 12-month season.

In 2004, a total of 640,000 new homes were built in Spain. This represents no less than 40% of those initiated in Europe (Ministry of Employment), and predictions show that two million homes will have to be built in Spain over the next six years to cater for demand. Prices will continue to rise throughout this period. In 2003, the price of resale homes in the Malaga province rose by 24% while new property rose by 18.5% (Diario Sur 26/02/04). Whilst such dramatic rises aren’t expected to continue, Spanish property prices are still increasing between 10-12% per annum, and yet they’re still only 85% of the EU average ..

More info at VIVA Estates