Demand for Spanish property has soared to a new high, according to TheMoveChannel.com’s Top of the Props. Spanish property overtook the USA in June 2013 to account for almost one in three enquiries on the property portal – the highest share ever recorded by a country on the site.
Spain’s resurgence follows the unexpected return of buyers back to the eurozone in May. A combination of lowering prices, attractive mortgage rates and residency schemes outweighed investors’ economic concerns, causing enquiries to increase for traditional European lifestyle destinations, including Italy, Portugal and Greece.
Spain cemented its reputation as the most popular by far last month, seizing the top spot back from longstanding rival the USA. America had been the most sought-after destination for eight months in a row after it trumped Spain in October 2012, a trend that looked set to continue as the US market recovery continues to build momentum. Spain’s sunny Costas, though, proved harder to resist as the summer approaches. Now, Spain accounts for a record 30.35 per cent of all enquiries on the portal, ahead of the USA’s 20.95 per cent.
The rest of Europe, though, fared less well. France, Italy and Portugal were in TheMoveChannel.com’s top five in May for the first time since August 2012, but while France held on to its third place in June, demand for Italy and Portugal both dropped, their rankings replaced by Thailand and Turkey. Thailand climbed nine places to account for 2.63 per cent of enquiries, the second time it has been in the top five this year following a rise to number three in April. Demand for Turkish real estate continues to be strong, despite the country’s recent wave of protests, with high yields and a strong economy proving more important to buyers than political unrest.
The month’s biggest surprise came from Egypt, which stormed 17 places up TheMoveChannel.com’s charts to take 1.31 per cent of enquiries and the number 11 spot. Morocco also jumped 16 places to number 15, leapfrogging familiar favourites Greece and Bulgaria to land just below Brazil, itself seeing a significant dip in enquiries for the third consecutive month.
With eurozone demand unsteady and interest in further flung property markets increasing, are Spain and France the only European countries to withstand the gloomy financial weather?
Director Dan Johnson comments:
“it’s hard to imagine a time when property buyers won’t be in love with Spain. Throughout the financial crisis, it has been one of the most popular countries on TheMoveChannel.com thanks to lowering prices and a consistent lifestyle appeal that attracts Brits, Russians, Scandinavians and many other nationalities. The latest surge in activity was driven by investment hotspot Murcia, which saw demand climb by 38 per cent in June.
“The weakening of interest in other eurozone destinations suggests that buyers remain cautious about returning to the continent. Low mortgage rates helped demand for France continue to increase for the second month in a row and Cyprus climbed by six places in the chart, but with Cape Verde still in TheMoveChannel.com’s top 10 and the USA accounting for a significant one-fifth of enquiries, Spain may simply be the exception to the rule.”
