Property values in Spain ‘continue their upward climb’
If one were in any doubt as to the sustained upward progression of Spanish property prices as 2016 became 2017, such uncertainty would have been dispelled by the latest figures issued by real estate valuation specialists Tinsa.
The company found that in January of this year, Spanish residential property’s average market price per square metre was 0.9% higher than 12 months earlier, at €1,361.
Sales numbers, building licences and grants also all up
It meant that for the 11th time in the last 12 months, there was a year-on-year increase in this figure – and it was far from the only statistic included in the firm’s latest bulletin that will hearten those contemplating the purchase of high-end Marbella property anytime soon.
The report revealed, for example, that according to the most recent monthly data – for November last year – sales were 17.7% higher than a year earlier, with a 14.5% rise having been recorded for the first 11 months of the year. The number of building licences in the country has also gone up significantly in recent times, including by 25.1% on a year-by-year basis and 32.5% in the first four months of the year.
Mortgage grants have also gathered pace, the 12-month period from November 2015 to the same month last year having seen a 32% increase and the first 11 months of the year, 15.4%. Combined with the low Euribor interest rate, on the basis of which most Spanish mortgage payments are calculated, of -0.095%, and it seems that all of the vital statistics point firmly to continued property market growth in Spain in the first months of 2017.
Good omens for the Marbella property sector
While these are nationwide figures, they also augur well for the Marbella property market, not least as both house sales and prices began to rise here in 2009, long before the recovery of the rest of the Spanish property sector in the years after the late 2000s and early 2010s global financial slowdown.
Such buoyant popularity can be attributed to a combination of strong demand and restricted supply that is hardly likely to be less of an obstacle to buyers now that prime building land in the best locations – not to mention homes available for renovation – are both becoming increasingly scarce.
With the most luxurious properties in the most sought-after parts of Marbella thereby becoming ever-harder to find at an attainable price, if a high net worth individual wishes to enter the market for the first time, there may never be a more pressing time to do so than now.
2017 may be the Marbella market’s most lucrative year yet
The Marbella property market has long had a reputation for remaining stable even on a backdrop of factors of uncertainty. During 2016, such factors included the lack of a fully functioning government in wider Spain, as well as the British electorate’s shock vote to leave the EU and the associated massive drop in the value of the pound.
The robustness that the property market in this part of Andalucía continued to demonstrate in 2016 helps to explain why one observer has described it as “unto its own”. Indeed, the last five years have seen the Marbella property sector significantly widen its scope, having moved from a reliance on well-moneyed Russian buyers to cash purchasers from such areas as Belgium, Holland and Scandinavia.
Increasingly, the tendency is for those buying property in Marbella to do so on account of the municipality’s prestigious and rewarding lifestyle, rather than – as may have once been the case – cheap prices relative to the high standard of property available.
Enquire to IQ Marbella today about the assistance that we can provide in your quest for premium property in Marbella that meets your most exacting desires and requirements.