Residency law gives the Spanish market a boost

Residency law gives the Spanish market a boost

Spanish property is set to become particularly attractive this summer, as a new law expected to come into force by July will allow non-EU residents to get Spanish residency automatically if they buy a property worth €500,000 or more.

Foreign investment in the Spanish property market has increased by 17pc in 2012, according to the latest figures from the Bank of Spain, taking it to a level not seen since 2004. The market has become increasingly attractive as a result of the significant falls seen in property prices since it was enveloped in the financial crisis.

Back in 2003, around €7 billion was invested during the Spanish property boom, but in 2009, just over half of this amount was invested, at €3.6 billion. Since then, however, the figures have improved, with €5.54 billion being spent last year.

An influx of investors from Asia-Pacific, China, Russia and America is likely to boost the Spanish property market, which could be good news for those British expats who have found themselves in properties that are worth significantly less than when they bought them.

The luxury real-estate agency Lucas Fox is already working with the Asian property consultancy SQFT, and they are expecting a delegation representing nine groups of Chinese and Korean investors to come to Barcelona by the end of May. They will be shown properties in Catalonia, Ibiza and the Balearics.

To read the original article: The Telegraph

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