29 June 2013
RIYADH - Spanish property sees 1,400 percent increase in Middle Eastern buyers, Spanish house builder Taylor Wimpey España said. The favorite Costa del Sol is once again proving the most popular area in which to own a second home.
Foreign buyers may be attracted to Spain because prices are so low. Spanish house prices plunged by over 10 percent in the first quarter from a year prior, according to the latest Global Property Guide house price survey. Prices in Spain plunged by 35 percent from the third quarter of 2007 to 2012.
Moreover, Middle Eastern buyer numbers are set to increase as the new "golden visa" - set to come into effect next year - will enable non-EU nationals who invest more than €500,000 (£424,000) to earn automatic right to residency in the country.
"The sale of Spanish properties to Middle Eastern buyers who are able to obtain residency could bring in untold additional revenue to the country. Our neighbors in Portugal have seen a genuine lift in the property market thanks to the government initiative and we expect areas like Marbella, ideal for high end buyers, to profit from the added migration," said Marc Pritchard, sales and marketing manager at the firm.
He noted that for the last 50 years most second-home buyers in Spain were Europeans, with the British, Germans and Scandinavians the biggest buyers. But things are changing fast and over the last year the company has sold properties to buyers from Saudi Arabia, Kuwait and Jordan as well as Morocco in North Africa.
"In terms of location, by far the most sought after area is the Costa del Sol. Known globally as a European hotspot for glitz and glamour, it's still the place to be seen for many and has become a real magnate for savvy Middle Eastern investors," Pritchard added. The resort town of Marbella in particular is proving a major draw for buyers from the region.
RIYADH - Spanish property sees 1,400 percent increase in Middle Eastern buyers, Spanish house builder Taylor Wimpey España said. The favorite Costa del Sol is once again proving the most popular area in which to own a second home.
Foreign buyers may be attracted to Spain because prices are so low. Spanish house prices plunged by over 10 percent in the first quarter from a year prior, according to the latest Global Property Guide house price survey. Prices in Spain plunged by 35 percent from the third quarter of 2007 to 2012.
Moreover, Middle Eastern buyer numbers are set to increase as the new "golden visa" - set to come into effect next year - will enable non-EU nationals who invest more than €500,000 (£424,000) to earn automatic right to residency in the country.
"The sale of Spanish properties to Middle Eastern buyers who are able to obtain residency could bring in untold additional revenue to the country. Our neighbors in Portugal have seen a genuine lift in the property market thanks to the government initiative and we expect areas like Marbella, ideal for high end buyers, to profit from the added migration," said Marc Pritchard, sales and marketing manager at the firm.
He noted that for the last 50 years most second-home buyers in Spain were Europeans, with the British, Germans and Scandinavians the biggest buyers. But things are changing fast and over the last year the company has sold properties to buyers from Saudi Arabia, Kuwait and Jordan as well as Morocco in North Africa.
"In terms of location, by far the most sought after area is the Costa del Sol. Known globally as a European hotspot for glitz and glamour, it's still the place to be seen for many and has become a real magnate for savvy Middle Eastern investors," Pritchard added. The resort town of Marbella in particular is proving a major draw for buyers from the region.
© The Saudi Gazette 2013
