Thinking of buying a property in Spain? Below we (A Place In The Sun) answer the most popular questions about the process of buying a property in Spain, with input from a Spanish lawyer. All answers are correct as of the date of publication.
What are your views on property prices over the next 12 months?
This will depend largely on what happens in the employment market around Europe and how many people have to sell because they cannot afford to keep their property. At the moment it is too early to call but the lack of cancellations in the new-build sector and the level of British buyers trying to beat the Brexit deadline suggests price drops won’t be dramatic – certainly not to the level after the 2008 property crash.
Which Costa do you think offers the best value for money?
Murcia and Costa Calida are worth looking at because the land is still cheaper than in longer established areas such as the Costa Blanca and Costa del Sol. Costa Almeria is also worth researching.
Do you think Spain will have a recession after Covid-19?
Yes, like many countries the signs are it is heading that way, with the central bank predicting (in June 2020) the economy could contract by 9% to 11.6% in 2020. Spain is more dependent on tourism than many other EU countries.
Spain vs France: which has the more efficient method of purchasing property?
It depends how you define ‘efficient’- in terms of time or money? Buying costs – broadly – tend to be higher in Spain than France; the French buying process tends to take longer than the Spanish.
Would you recommend a particular region for a second home as a long-term investment?
Most areas will have popular or prime locations that might be said to be a good long-term investment, it depends if you seek capital appreciation (maybe look to up and coming areas such as Murcia) or reliable rental returns (seek well-established resorts of the Costa Blanca .