If you’re looking to sell property in Murcia, Spain then you would probably be interested in the news that foreign buyers are once again flooding the Spanish property market, with over 12.7% of the property transactions being done by international buyers in the first six months of 2015.
Murcia is one of the popular destinations for foreign investors looking to buy Spanish properties, along with the Balearic Islands, Canary Islands, Valencia, Andalucía and Catalonia. Murcia accounted for 12% of the property transactions in Spain that involved a foreign buyer, so far this year.
The housing data made available by the Spanish government shows that the average price of Spanish properties has risen the second quarter of 2015 by 0.8% to 64,710 EUR. While the regions to have contributed most to the price rise are Madrid and Valencia, Murcia has played its part as well. After 6 years of doom and gloom in the Spanish property market, this is great news indeed.
Murcia is situated in the hottest and driest region of Spain. It wasn’t a tourist destination in the past, but that has changed over the last couple of decades, as the region has developed steadily and is today a more affordable alternative to the popular region of Costa del Sol. The region’s most important city is Murcia, but the ancient city of Cartagena is also very popular as a property destination.
What is heartening is that 21% of the apartments sold in Murcia in 2014 were bought by foreign nationals, and this year it has been even better, according to the stats published by Spain’s Ministry of Development.
In Spain, Britons are the biggest property buyers, responsible for 19.8% of the property purchases made by international property investors. The French come next at 8.1%, the Germans at 7.6%, the Belgians at 6.4%, the Swedish at 5.5% and the Italians at 5.3%.
There has been a considerable drop in interest from Russian buyers over the last 12 months. This year, Russians accounted for just 4% of the property purchases by overseas investors in Spain, down from 9% last year.
Asian buyers are yet to reach a critical mass, but we are seeing many more buyers from Asian countries like China, Thailand and Singapore than before, probably attracted by the Spanish Golden Visa policy, which promises extensive residency permits to non-EU property buyers and their families who invest at least 500,000 EUR in Spanish properties.
As Spanish property analyst, Ben Walker explains: “These figures contain the first recorded rise and signal that prices may have bottomed out after years of decline. Sales in the Murcia region have grown in the last two years in line with the heavy discounting by developers and Spanish banks and generous mortgage incentive to tempt buyers from northern Europe.
“More people are viewing and buying already this year and the prices have been edging up as the market strengthened. However, mortgages are becoming restricted because the banks realise apartments costing only EUR 33,000 don’t need hefty loans to help sell them off.”
The strong rise in property prices in Murcia is a reflection of the increase in demand rather than a shortage of supply. This is reflected in the data made available by Spain’s central statistics unit. Certainly, this is great news for those looking to sell property in Murcia, Spain.
Now, the prices of villas and apartments for sale in Murcia are yet to reach the highs witnessed in 2006, but the prices are very close to that and the onset of 2016 should see even greater improvement in the property market in Murcia as well as in the rest of Spain.