Property prices in luxury markets in Spain holding steady, according to new analysis
Property prices in Spain's luxury real estate markets have continued to remain steady over the past six months, according to the latest half yearly analysis.
Figures from Barcelona based real estate agency Lucas Fox shows the number of transactions is increasing across all its regions as the gap between asking and sales prices continues to narrow.
International clients account for around 90% of all Lucas Fox sales, with interest from Far East and Middle East investors continuing to gain momentum. Following a slight dip in numbers over the past few years, Northern Europeans have returned in to the market, thanks to low prices and attractive investment opportunities.
The firm reports that in Barcelona there has been a steady upswing in sales in the first two quarters of 2014 compared to the same period last year. Northern Europe and UK buyers are still dominant but with increased interest from non-European investors, particularly from the Middle East and Far East
The Lucas Fox Barcelona office is currently generating approximately 30 offers per month, with approximately two out of every three being converted into sales and prime property sales price averages ended the second quarter of 2014 on €4,237 per square meter, slightly up on 2013
‘The Barcelona market has continued to improve in the first two quarters of 2014 and there is a great deal more confidence amongst buyers, in particular international buyers,’ said Lucas Fox cofounder Alexander Vaughan.
‘It looks like prices have now stabilised and the number of transactions is slowly increasing. The big change is that sellers are being more realistic and that asking prices have come down in line with buyer expectations,’ he added.
It also reports that the Ibiza residential market is continuing to perform strongly, with an increased number of transactions compared to the same time in 2013 and prices of premium properties in some prime areas are beginning to increase as demand outstrips supply.
Interest in prime market properties on Ibiza primarily comes from the UK and northern European buyers, however, interest from US buyers has doubled in the past year
‘The continued appeal of Ibiza is most definitely its unique lifestyle. More people are choosing to relocate to the island due to good schools, including international schools, outstanding properties and the exceptional quality of life,’ explained Amanda Marti, director of Lucas Fox Ibiza.
‘The island now offers 4G internet and better flight connections year round. Interest from Europeans is still high but demand has significantly increased from the Asian market, mainly Korean and Chinese buyers. There has also been a rise in interest from American investors,’ she added.
On the Costa Brava there has been significantly more movement in the property market in the opening two quarters of 2014 compared with the same period at any time since before the beginning of the crisis in 2006/2007, the report says, with most buyers being lifestyle investors taking advantage of market conditions and purchasing second homes with a…