It's widely publicised that property sales and prices in Spain are forecast to rise in 2018 if there are no sudden economic surprises or changes to the mortgage market.
Anticipa, one of Spain’s biggest real estate providers having acquired wholesale bank stock, expects sales to rise 9.3% next year to 526,000 units, up from 481,000 this year and 21% more than in 2016.
It is also forecasting that prices will have risen by 6.9% by the end of 2017 and looking ahead to 2018 are set to rise by slightly less at 6.1%. Even with this rise they will still be 27% below the peak of the market in 2007 which is well worth noting.
Prices for resales and new builds are expected to continue to increase by 5.8% over the fourth quarter of this year, the firm says in its latest real estate market report, but this was compiled before Catalonia declared independence and the national Government took over the running of the region which may adversely impact on the expectations.
Probably the best investment areas in Spain at this time are not where you may expect them to be!
Marbella and Malaga province on the Costa del sol will always be popular of course. In terms of value for money and most realistic chance of maximising capital appreciation provinces such as Valencia which incorporates Alicante on the Costa Blanca
are seeing unprecedented levels of enquires resulting in high volume sales.
Southern Costa Blanca in areas around Torrevieja, La Zenia as well Pilar and El Mojon which borders Murcia on the Costa Calida are proving especially popular.
Murcia which is the only self-autonomous region in southern Spain is where I believe the very best opportunities exist. Larger investors amongst you will no doubt comprehend the importance self-autonomy when investing FDI or institutional funds.
Murcia is the home of the world famous La Manga Club Resort, in recent years it has seen its infrastructure surpass most other regions, Murcia’s second city, Cartagena now receives the world’s largest cruise ships to its impressive sea port.
Next to La Manga Club and close to Cartagena there is a €45,000,000 (forty-five million euro) regeneration project fully funded and ongoing which will see local properties on the coast double in value in under 5 years. This on top of the general appreciation in value. See link to previous blog post explaining this further here.