This shows the confidence in the property market as whole is moving in the right direction and this is something we can see with the influx of contemporary and modern new developments popping up attracting that foreign investment along the Costa de Sol. Foreign nationals have spent some €888 million on Spanish properties in just the first six months of the year. That is more than double the investment from January-June 2016.
Last year established itself as a hugely important year for foreign buyers. The British, Germans, Russians, French and other nationalities bought some 13.2 per cent of all homes sold in Spain which itself was the highest proportion in over a decade. That equates to 53,500 transactions during 2016.
A 2017 market report from JLL suggests that percentage will be easily eclipsed this year. It is beyond any doubt that 2017 will represent the eighth consecutive year of foreign buyer growth in the Spanish housing market. Again, this is something you can witness when you see all the building works taking place and those new developments include cost effective 1-2 bedroom apartments on urbanisations up to lavish 4-5 bedroom villas with private pools.
A breakdown of foreign-led transactions in 2016 shows that UK nationals still top the international rankings. The British bought 19 per cent of the 53,500 homes sold to foreigners last year and are continuing to break new ground in 2017 despite concerns over the potential impact of Brexit and the weakening pound. Several media reports show that Brexit is not stopping UK nationals from realising their dream of buying a holiday home in the sun.
The British were well ahead of the second-placed French, who had eight per cent of transactions slightly ahead of the Germans on 7.6 per cent, the Swedish on 6.7 per cent, and Belgians 6%, but this percentage split is something that could change. Economic factors do influence property transactions to a certain degree, but property still remains the most solid form of mid to long term investment.