Post by account_disabled on Mar 13, 2024 18:24:54 GMT 10
Foreigners continue to drive the real estate market in Spain, and specifically a profile that was already considered lost reappears. Home purchases by Russians have grown by 42% and in the first months of 2023 they have bought 61% more than a year ago. As explained in the Sonneil Research report , prepared by the 'proptech' Sonneil with its own data and that of the College of Registrars, from the end of 2022 until now, Russian purchases have recovered and have grown by more than 30% in recent quarters. . The company highlights that the military obligations imposed by the Kremlin have generated a mass exodus which, together with the preference for Spain as a destination, has caused this increase.
Sonneil also highlights that “in addition, the upper class has been circulating their money through European bank accounts for years and, if this is not the case, there are also formulas so that they can buy from Russia. We hope that this growing trend continues,” he indicates.
Putting this increase in context, the first quarter Phone Lead of 2023 has been the best first quarter since data was collected , reaching 23,380 home purchases per international client, 8% more than in the same period of 2022 and 6% more than in the last three months of 2022. Figures that demonstrate the growing strength of Spain as a destination for foreign investment not only in high season. 14.52% of home purchases in these first months have been made by this type of client.
Furthermore, nationalities that traditionally seek a second residence in our country continue to opt for buying a home in Spain. In total, 8,980 purchases have been registered between the British, French, Russians, Germans, Dutch, Nordics and Belgians. A figure that represents 38.41% of total purchases made by foreigners in the first quarter of 2023.
Although both the total purchases and the relative weight of this type of customer have decreased slightly compared to the last months of 2022, this is not an alarming decrease, but is explained by the seasonal factors that affect the purchase of a second home. . Both figures remain at their highest levels in recent years.
Alfredo Millá, CEO of Sonneil Homes , highlights that “since 2014, when the upward cycle of the Spanish real estate market began, the purchase of second homes by foreigners has followed a growing and constant path, only interrupted by the incidence of travel restrictions. travel during the coronavirus pandemic. From the first quarter of 2014 to this year, these operations have increased more than 37%.”
In addition to the case of the Russian customer, the decline in German buyers is also striking. From the first quarter of 2022 to 2023, home purchases by Germans in Spain have decreased by 16.60%. The poor situation of the German economy, which this week declared a technical recession, is one of the main causes. In the last quarter of 2022, the country's GDP contracted 0.2% and in the first quarter of 2023 the drop was 0.3%. Inflation and the consequent decrease in consumption and imports are weighing down the country's economy.
Sonneil also highlights that “in addition, the upper class has been circulating their money through European bank accounts for years and, if this is not the case, there are also formulas so that they can buy from Russia. We hope that this growing trend continues,” he indicates.
Putting this increase in context, the first quarter Phone Lead of 2023 has been the best first quarter since data was collected , reaching 23,380 home purchases per international client, 8% more than in the same period of 2022 and 6% more than in the last three months of 2022. Figures that demonstrate the growing strength of Spain as a destination for foreign investment not only in high season. 14.52% of home purchases in these first months have been made by this type of client.
Furthermore, nationalities that traditionally seek a second residence in our country continue to opt for buying a home in Spain. In total, 8,980 purchases have been registered between the British, French, Russians, Germans, Dutch, Nordics and Belgians. A figure that represents 38.41% of total purchases made by foreigners in the first quarter of 2023.
Although both the total purchases and the relative weight of this type of customer have decreased slightly compared to the last months of 2022, this is not an alarming decrease, but is explained by the seasonal factors that affect the purchase of a second home. . Both figures remain at their highest levels in recent years.
Alfredo Millá, CEO of Sonneil Homes , highlights that “since 2014, when the upward cycle of the Spanish real estate market began, the purchase of second homes by foreigners has followed a growing and constant path, only interrupted by the incidence of travel restrictions. travel during the coronavirus pandemic. From the first quarter of 2014 to this year, these operations have increased more than 37%.”
In addition to the case of the Russian customer, the decline in German buyers is also striking. From the first quarter of 2022 to 2023, home purchases by Germans in Spain have decreased by 16.60%. The poor situation of the German economy, which this week declared a technical recession, is one of the main causes. In the last quarter of 2022, the country's GDP contracted 0.2% and in the first quarter of 2023 the drop was 0.3%. Inflation and the consequent decrease in consumption and imports are weighing down the country's economy.