Can Your Still Profit from Spanish Property?

Earlier this year there was sudden media frenzy when it looked as if the Spanish property market was in crisis.  Spanish real estate firms saw the values of their shares plummet, panic was incited through over-dramatic reports that a crash in Spain meant that a global property market crash was imminent, and all of a sudden anyone and everyone began to doubt the validity of investment in Spanish property.

So, can you still profit from Spanish property?  Absolutely!  You just need good insider knowledge about which parts of the nation are to benefit from infrastructure, accessibility or amenity improvement, you need to look beyond bargains and quick profits and you need to understand what drives the attraction and appeal of a market like the Spanish one. In this article we’ll show you what you need to know!

First things first Spain is not a nation in crisis – far from it!  It is maintaining economic balance, it is maintaining employment numbers and GDP growth levels and what’s more, it has never slipped in its rankings as the number one European destination for holidaymakers from the likes of UK or as an evergreen nation in popularity terms among retirees looking for somewhere nice to live in retirement in the sunshine.

What all of these factors equate to is that there remains affordability and demand in the Spanish property market and these are the two fundamental lynchpins of a property market with potential.

Having said that…certain areas of Spain do not currently make sensible investment destinations!  If you look at areas around and among the most popular coastal holiday hotspots you will see that there has been overdevelopment and these areas of Spain have been oversold.  It is exactly these parts of Spain that started the media off on its drive to prove that the Spanish property market had collapsed! 

If on the other hand you look at cities such as Barcelona, Madrid or Seville for example you will see cities buzzing with life, affluent centres of employment with strong levels of inward migration and increasing demand for rental and resale property.  Additionally, there are parts of the Spanish coast that have been ignored by property investors in the past because they were inaccessible but which are now set to increase in value and demand as accessibility is improving. 

Just take Costa del Azahar as a perfect example – it is a stunning region of Spain referred to locally as the ‘orange blossom coast’, it’s perfectly located between Barcelona and Valencia, it has a great climate, amazing beaches and now it has its own airport!  Where before it was little known outside of Spain, now it has the potential to become the next booming Spanish holiday and property market!

You need to get ahead of the curve in Spain and this is done through keeping a very close eye on the Spanish local news – see what parts of Spain are getting invested into, find out about new airports, air routes and train services, discover if roads are being upgraded or constructed, where new businesses are opening significant employment bases that will attract demand for housing…think outside of just the small tourism box and know that there’s more to Spain that just the Costa del Sol and there’s more to the investment property market than buying a flat to rent out in the summer in Malaga.

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