There is no denying that the UK’s decision to leave the EU has sparked a change in the Spanish property market. But as some Brits are quick to put their houses on the market and head home, others are hoping to make the move to Spain and purchase a property before the country triggers article 50, the mechanism for leaving the European Union.
“There are some Brits who own property here who are now looking to sell up fast, rather than face the uncertainty that the Brexit decision has brought about. The result is that we’re seeing some fantastic post-Brexit bargains.”
The falling pound to Euro exchange rate may turn out to be an added benefit of purchasing a property from a Brit, especially if their intentions are to return back to the UK.
“Many British vendors have a target amount of pounds they wish to repatriate to the UK after selling their foreign home,” said Charles Purdy, CEO of Smart Currency Exchange.
“A weaker pound means they need fewer Euros to achieve that target. It can be a useful way for a British buyer to negotiate with a British vendor.”
The Spanish property market is making good progress in recovering from the property crash; prices are experiencing an upward trend and sales in the second-hand property market are booming. However, in some parts of Spain property prices are still 30-35% less than their peak values, and with many Brits now reducing their properties for a quick sale there are plenty of bargains to be had.
“In the long term, British buyers should still benefit significantly if they buy property in Spain,” a Barcelona based agent added.
“Sales prices have consolidated, and in prime areas continue to appreciate. Rental returns are also attractive, with buyers of new development properties in Spanish cities benefiting from yields in excess of four per cent. We are hopeful that we may even see the positive impact of Brexit on the Spanish real estate market.”