Foreigners bought one in eight homes this year

29th August 2006, Comments 0 comments

29 August 2006, MADRID — Foreigners bought one in eight homes in the first three months of this year, according to figures published on Tuesday.

29 August 2006

MADRID — Foreigners bought one in eight homes in the first three months of this year, according to figures published on Tuesday.

The housing ministry report highlighted the impact which immigrants and foreigners are having on the domestic market.

Between January and March, 233,699 homes changed hands in Spain – a rise of nearly 19 percent compared with 2005.

But this was 5.5 less than the previous quarter – at the end of 2005.

Of these homes, 31,342 were bought by foreigners.

Foreign homebuyers, particularly those from Britain and Germany, have been a key driving force in the Spanish property market in recent years.

Since 2000, prices across Spain have more than doubled, pricing many low and middle-income Spanish families out of the market.

Currently an estimated 2.5 million homes – or more than 10 percent – are owned by non-Spaniards.

In the first quarter, 26,851 properties were bought by foreign residents and 4,491 were bought by non-residents, government figures showed.

Coastal properties were still the favourite, with Valencia the most popular area to buy. Foreigners bought 8,879 properties in this area.

Catalonia was the second most popular, with 5,578 properties being sold there followed by Andalusia coming third with 4,028 sales.

Madrid came fourth with 3,899 properties sold to foreigners.

[Copyright EFE with Expatica]

Subject: Spanish news 

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