01.02.08
Overseas Investment 2007 – Spain & Beyond
A recent survey by Kyero.com found that out of 400 Britons, “26% viewed Spain as the ideal retirement destination due to the warmer climate, sociable atmosphere and reduced taxes”.
“Britons invested £12 billion in Spanish property in 2004/05”…”this is predicted to reach £21 billion by 2009”. The average price was a reported £160,000.
Where in Spain
As with any property investment, location is perhaps the most important factor – the most sought after locations for this group were the provinces of Alicante, Granada and Malaga.
Amenities and access to them within these locations could also be a deciding factor when choosing where to buy. Shops, restaurants, bars, hospitals, pharmacies, public transport, the police station and airport came across as very important while golf local course, schools, nightclubs and churches seemed less important.
Property Types
Studio apartments were the most in demand. Two and three bedroom villas next. 73% were looking for second hand properties.
In sunny and warm Gran Canaria people are mostly looking for one-bedroom apartments with swimming pools whereas in more northerly Alicante, three bedroom apartments are in big demand. In Girona, the Brits are mostly after three bedroom villas. The average UK homebuyer is apparently willing to pay between €150,000 and €200,000 for their own piece of paradise in the sun.
Finding the Right Property
The Internet is undoubtedly one of the fastest, most efficient and cheapest ways to research and find new properties. It’s a fantastic resource. 71% of those surveyed used it. Having said that, it’s very advisable to visit the location beforehand, despite how much research you’ve done.
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Investing in Spain
Out of the Britons surveyed, ”one in three” want to eventually retire to Spain.
And why not. Spain has everything – sun, snow, beaches, mountains, deserts, nightlife, cuisine, art, culture, tradition… But most of all, a pleasant climate, plenty of English speakers and very easy way of life.
The typical Briton looking to set up home in Spain is male between 40 and 60 years old. It’s not just the British who have fallen in love with Spain. The American, Portuguese, Canadian, Japanese, Australian, Swedish and Dutch all want a piece of sunny Spain.
Brits around the Globe
Like the Irish, the British are everywhere – in Pakistan (47,000), Dubai (55,000), Singapore (45,000), Thailand (41,000) and in China, 36,000 UK nationals.
A staggering “41 nations each have at least 10,000 permanent British residents”, according to the Institute for Public Policy Research (IPPR).
Recent figures suggest an exodus of Brits abroad, to other more “hospitable” locations, away from the crime, high prices and endless grey skies. Although France and Spain are still the most popular locations, there’s a growing trend towards the more exotic, far-flung destinations.
And as the world gets smaller and smaller, these destinations are becoming more and more accessible, largely because of the influx of budget airlines.
Developers and agents now have to adapt and continually adapt – keep changing their strategies to meet the demands of the more “globally demanding” investor.
Investors and homebuyers are thirsty for information, more so than ever, particularly for emerging markets. In order to maximize sales opportunities, agents have to provide it.