- 11:35Morocco celebrates 69 years of Royal Armed Forces commitment
- 11:20AFD and OCP forge €350 million partnership for green investment in Morocco
- 11:04Wisconsin judge indicted for allegedly aiding migrant escape from ICE custody
- 10:50Morocco’s initiative to safeguard handicraft heritage through vocational training
- 10:33Macron's stance on Ukraine and future referendums
- 10:20Moroccan scientist Rachid Yazami patents innovative battery safety technology
- 10:03A 6.1-Magnitude Earthquake Shakes the Greek Coasts
- 09:50Tanger Med port's remarkable growth amid leadership controversy
- 09:32Wave of Israeli strikes on Gaza kills at least 48
Follow us on Facebook
Foreign property purchases in Spain: Record highs despite government restrictions
The Spanish real estate market continues to attract foreign buyers, even as the government implements measures to limit their participation. Recent legislation, including the elimination of the golden visa scheme and discussions of a supertax on non-resident non-EU property buyers, aims to curb the soaring demand that has driven prices to unprecedented levels.
The Spanish government's concern centers on the growing demand outpacing supply, which has led to escalating prices and increasingly limited access for local residents. In response to this housing crisis, various strategies have been proposed to mitigate the impact of foreign buyers. However, data from the General Council of Notaries reveals that foreign purchases surged in the second half of 2024, reaching 69,690 transactions—a 10.3 percent increase year-on-year and the third highest half-yearly figure on record.
During this period, foreign buyers accounted for 19.5 percent of total property sales, a slight decline from the 21 percent recorded in 2023. Notably, resident foreigners made up the majority of purchases at 58.1 percent, while non-residents constituted 41.9 percent. Among the most active foreign nationalities, UK citizens led the pack with 6,048 purchases, despite the implications of Brexit, which has reclassified them as non-EU nationals.
Following the UK, Moroccans and Germans were significant buyers, purchasing 5,060 and 4,650 properties, respectively. Other notable nationalities included Romanians, Italians, Dutch, French, Belgians, Poles, and Chinese buyers, all contributing to the vibrant market. Interestingly, purchases from Poles, Chinese, and Ukrainians saw the most substantial year-on-year increases, highlighting shifting trends in foreign investment.
The price paid by foreign buyers for properties in Spain has also reached new heights. The average cost soared to €2,362 per square meter in the second half of 2024, an 8.6 percent increase from the previous year. Non-resident buyers paid an average of €3,063 per square meter, surpassing the €3,000 mark for the first time. In contrast, resident foreigners and Spanish buyers averaged €1,795 and €1,713 per square meter, respectively.
Regionally, all areas of Spain experienced increased foreign property transactions, except for the Canary Islands, which saw a 3.9 percent decline. The most significant growth was observed in Cantabria, Castile and León, and Asturias, indicating a diverse interest across the country.
As the Spanish government contemplates additional restrictions, the resilience of foreign investment in Spanish real estate raises questions about the future dynamics of the market and the lasting impact on local housing availability.
Comments (0)