Buying an apartment in Spain
Buying an apartment in Spain is a cherished dream of many people. The climate along with a numerous historical and cultural sights attract investors from all over the world, including countries of the post-Soviet space. In 2008 the Spanish real estate market suffered from crisis that lasted until 2015 - prices for almost all types of objects fell by 40-50%. In the last 2-3 years, the market began to recover, and prices began to rise again. Given this trend, many investors from all around the world are buying Spanish property, and it is quite logical.
Today, the real estate market in the country is very wide, so there is plenty variants to choose from. But the more offers we see, the harder to choose. Not least it concerns those who want to purchase the apartment in Spain. In this article, the investment company WTG Spain will share with you its professional experience and knowledge that will help you to make a decision, or at least to become a guide for you. We hope that the information provided by us will be useful to you.
APARTMENTS IN SPAIN. STATISTICS OF SALES FOR THE LAST YEARS
For those who are looking for an apartment in Spain, it is not superfluous to find out the actual statistics of sales of this type of the real estate. The market has developed over the past 2-3 years, and some progress has been made. Sales in the 2016th year constituted a half from the sold amount of the 2006th year in a quantitative ratio.
In the second quarter of 2016th, the total number of transactions reached 123,438, while in the fourth quarter of 2006th the total number of transactions reached 248,258. At the same time, the share of secondary housing was 90%. In the second quarter of 2016th, the total number of transactions reached 123,438, while in the fourth quarter of 2006th the total number of transactions reached 248,258.
At the same time, the share of secondary housing was 90%. Although new buildings are the most attractive product on the market, from 2013 to 2016 the average value of sales did not rise above 11,200 operations per year, before the crisis, the number of deals with a new apartment was not less than 87,300 in the trimester. Now the prices of the primary real estate in Spain rise promptly. Significant growth is fixed in all major cities, especially in Barcelona and Madrid.
THE MOST EXPENSIVE REAL ESTATE IN SPAIN
In this small reference there are average price indicators for a new property for the last year. So, according to the statistics, among the capitals of provinces lead:
- San Sebastian - 4231 €/m2
- Barcelona - 3651 €/m2
- Bilbao - 2960 €/m2
- Madrid - 2782 €/m2
IN WHICH REGIONS OF SPAIN DO FOREIGNERS BUY THE REAL ESTATE THE MOST OFTEN?
Demand for housing among foreign buyers still grows in recent years in Spain: so following the results of the 2016th sales grew by 19%. Most of all properties were bought in the Provinces of Alicantes (4762 transactions), Malaga (2720), Barcelona (1776), Santa-Krus de Tenerife (1407), Balearakh (1400) and in the capital of the Kingdom – Madrid (1397).
THE PRICES FOR APARTMENTS IN SPAIN BY REGIONS
Before plunging into the world of proposals and to get closer to your dream and finally buy an apartment in Spain, we advise you to assess the market situation carefully. We have prepared a small pricelist of the most popular regions for buying the real estate.
Prices for apartments in Spain, located within walking distance from the sea, start from € 1000 €/m2. Best cheap properties in the secondary market are located on the Costa Blanca. The price for the apartments in the popular resorts of Costa del Sol and Costa Brava, as well as in the Canary and Balearic Islands is a bit higher. But let's analyze each of the regions in details, beginning from two the most known Spanish megalopolises.
Madrid is the heart of Spain, its cultural, historical and political center. There passes business and economic life of the Kingdom, and world famous sights are located. But, apparently from statistics which we stated above the capital enjoys not the highest popularity among buyers of the real estate. It's because of the remoteness from the sea, which is located 250 km from Madrid. Besides, the summer is very hot here, air temperature in hot days reaches +36-38 °C (96-100 F).
The cost of one square meter of real estate in the center of the capital is on average € 4000-5000, in the residential area - up to € 2500-3000. The property here is mainly bought by Spaniards and foreigners who want to open their own business or simply make a profitable investment.
Average prices in the best areas of Madrid:
- Salamanca 4321 €/м2
- Chamberí 4122 €/м2
- Chamartín 4042 €/м2
- Centro 4042 €/м2
- Retiro 3499 €/м2
Barcelona is a popular tourist center and the second largest city in Spain. In contrast to Madrid, there are two official languages, in the capital of Catalonia there are about 1.6 million people (for comparison, in Madrid - 3.1 million). About 10 million tourists come here to admire the city and relax at local resorts every year. There is a very mild climate here - in comparison with the southern and central provinces of the country - in winter it is not lower than +5°С (41 F), and in summer + 30-35 °С (86-95 F).
Catalonia is also famous for its beautiful mountain ranges and ski resorts, so tourists come here almost all year round. The proximity of Barcelona to the sea makes it much more interesting than Madrid. Considering all these factors, it isn't strange at all that the cost of the apartments here is one of the highest over the country and ranges between 3000-3500€ for square meter.
The Balearic Islands are a Spanish archipelago in the west of the Mediterranean Sea. Excellent climatic conditions, developed infrastructure and warm welcome of local residents are the main factors of the tourism success of this region. The cleanest air, beaches and closed bays with turquoise water - all these you will enjoy on the Balearics. The average annual temperature is +17°C (62 F). Here and very warm summer - on average it is +26-30°C (78-86 F) and a mild winter of +10-12°C (50-53 F).
Mallorca is the largest island in the archipelago. Germans, British and French are the most frequent visitors here. On average, more than 30% of the properties in Mallorca are acquired by the foreign investors. This is the highest percentage of housing purchases by foreigners throughout Spain. In this regard, since the crisis began, housing prices have fallen only by 30% - this is significantly less than in mainland Spain.
The average cost of real estate in Mallorca is 1.950 €/m2. The best areas for living in Majorca are the areas of Casco Antiguo and Santa Catalina. Prices for apartments in these areas are quite high: from 150.000-200.000 € (for an average apartment of 50m2) and directly depend on the distance from the sea and the general condition of the house. On the east coast of the island and in the depths you can find cheaper objects (for 1.000 €/m2), but then your neighbors are likely to be natives, foreigners buy property in this part very rare.
Menorca is an ideal place for summer family holidays, foreigners are actively present in the local real estate market, especially the British (20%). The greatest demand in Menorca is beachfront properties near its capital - Maon - and in the west of the island next to the resort of Ciutadella. The average cost of housing in Menorca is 1805 €/m2.
The price of apartments here ranges from 120 000 € - 400 000 €. But for such sum of money you can buy an apartment mostly in the secondary market. Also you can find small apartments for 70 000-80 000 € in the areas that are the most remote from the coast. The main disadvantage of buying a property in Menorca is that in the winter the island in fact is "dying out", and there are no special places for entertainment in Menorca.
But not everyone can afford to buy an apartment in Ibiza. The average cost per square meter here is 4700 €/m2. This is significantly more than in Mallorca and Menorca. Prices for studio apartment in Ibiza start from 90 000 €, and if it is not far from the beach - 130 000-170 000 €.
In this resort there are expensive restaurants, amazing beaches, monuments of ancient eras and beautiful landscapes, and the most famous nightclubs and discos, where perform the world famous DJs.
The largest islands of the archipelago, which is located near the north-west coast of Africa, are Tenerife and Gran Canaria. Canaries are, in fact, a year-round resort, so the season here does not play a particular role. There is always spring or summer, and almost always sunny days, warm sea and stable temperature: the winter minimum is +15°C (59 F), the maximum temperature in summer is about +26°C (26 F).
The economy of this autonomous community is almost entirely dependent on tourism (74%). In 2015, the island had over 13 million tourists, and in 2016 - more than 14 million. The entire infrastructure is working to attract guests, so the demand for short-term rental of the real estate is very high. Buy an apartment here can be an average of 1500-2000 €/m2, which is much cheaper than the other Spanish archipelago.
If you are looking for inexpensive apartments in Spain, then buy them in Madrid, Barcelona or the islands will be very difficult. It is more expedient to look for them in regions with affordable property prices. And one of the most attractive regions in the context of buying property on the mainland is the Costa Blanca.
Costa Blanca (translated from the Spanish language as "White Beach") occupies the southern part of the Valencian community and extends from the city of Denia to Pilar de la Horadada. The picturesque name of the coast fully corresponds to the local landscape - this is confirmed by 200 kilometers of white sandy beaches.
The main advantages of the region are a warm clean sea and a well-developed resort infrastructure. We pay attention to the almost ideal climate for living. The average air temperature in winter is 18 °C, and in the summer - about +30°C. All this attracts millions of tourists to this coast annually. The most important cities of this coast are the resort towns of Alicante, Torrevieja, Benidorm, Calpe, Denia, Javea and Guardamar del Segura.
The property bought here is perfect for personal use and for renting. The average cost of the real estate on the Costa Blanca is now very tempting - about 1100-1300 €/m2 (this is -40% compared to the maximum in 2007).
The average cost of the real estate in Alicante is about 1300 €/m2. Here you can buy a studio apartment for only 50 000-60 000€. The apartment on the first line from the sea in an elite area will cost more - within 85 000-130 000€.
Torrevieja is another popular city on the Costa Blanca, where house prices are very moderate and range from 1100-1200 €/m2. You can buy a studio apartment here for 45 000-50 000€. An apartment in Torrevieja with 1-2 bedrooms can be easily bought and for 50 000-65 000€.
In conclusion, if you decided to buy an apartment in Spain and link with this amazing country your future life it is better to refer to specialists. This will help you to avoid unforeseen expenses and stay happy with your purchase. Call us and you will completely protect yourself from all the difficulties associated with buying property in Spain and you will be totally sure in feasibility of your investment.
COSTA DEL SOL
Costa del Sol can be charactarised by picturesque nature and a pleasant atmosphere, an excellent place to stay and relax. Beautiful landscapes of hills and winding mountains create an atmosphere of coziness and exclusivity. The infrastructure here is also at a high level, the main resorts of this coast are located closer to the west of the provincial capital, the city of Malaga.
The property on the Costa del Sol is famous for its high quality. The average cost per square meter in this region is 1350-1500 €/m2, and the most expensive are the Marbella districts such as the Golden Mile, Sierra Blanca and Puerto Banus.
The drawbacks of the Costa del Sol are:
- hot climate - in the spring the daytime temperature reaches +24-25°C (75-77 F);
- cool water temperature - the Atlantic Ocean brings cold currents here, so the water warms up to +24°C (75 F) only in August, and the rest of the time the sea is cooler;
- an important factor when buying property here is that Andalusia is a poorly developed region in the economy, and if you buy an apartment here for permanent residence and job search opportunities, then you are exposed to certain risks.
This picturesque and attractive for its beauty coast of Spain is in the northeast of Catalonia (the province of Girona), starts from the city of Blanes and extends all the way to the French border. A small minus can be considered a cool water temperature, which does not warm above +20°C (68 F) until July, and the maximum in August is +24°C (75 F). The big plus is the proximity to Barcelona.
Speaking about the real estate, it should be noted that both apartments and houses are in good demand here. The most popular towns are Blanes and Lloret del Mar. There is not much new land for building on the Costa Brava, so secondary property is bought here more often. The average cost of the real estate here is 1200-1500 €/m2. Therefore, you can buy an apartment here almost for the same money as the Costa del Sol, but a little more expensive than on the Costa Blanca.