British: top buyers property in Spain
Where and for how many foreigners bought a property in Spain in 2020. The British: top buyers property in Spain despite the pandemic 2020, are still the number on buying a property in Spain
The Valencian Community (Province of Alicante, Valencia and Castellon) was the preferred region for foreigners to buy a house in our country.
The sale and purchase of homes by foreigners (residents and non-residents) in Spain decreased by 24% in 2020. Specifically, they have fallen from 102,264 transactions in 2019 to 77,492 over the year marked by the pandemic, according to data published this week by the statistical centre of the General Council of Notaries.
The restrictions on mobility caused by the pandemic have brought the Spanish property market to a standstill, especially in the case of foreign buyers. However, this 24% drop is not far from the overall 17.7% drop in sales and purchases in our country.
To the delight of the sector, the second half of the year showed better figures than the previous statistic. In the first six months of the year, sales and purchases plunged by 37.4%, and by 10.8% in the second half of the year, according to data from the notaries.
The Spanish coast wins
The sale and purchase of homes by foreigners in the different autonomous communities was very uneven. In seven of them there were increases, while in the other ten there were decreases.
The Valencian Community was the preferred region for foreigners to buy a house in Spain last year. 20,660 transactions were closed, far from the almost 30,000 of 2019, but the only autonomous community that recorded more than 20,000 signatures.
Accompanying the Valencian Community on the particular podium, Andalusia (14,754 operations) and Catalonia (12,406). Madrid (6,681), the Canary Islands (5,278) and the Balearic Islands (4,107) are far behind. In 2020, Asturias, Cantabria, Extremadura, Galicia, Navarre and Rioja fell below the thousand signature mark.
If we look at the evolution of sales and purchases compared to 2019, the most punished communities last year were the Canary Islands (-32.37%), the Balearic Islands (-29.88%) and the Valencia Community (-29.06%).
British: top buyers property in Spain
When it comes to analysing the origin of foreigners who buy a home in Spain, the classics come into play, even in a pandemic. Thus, the English and the French are in the lead, closely followed by the Germans and the Romanians.
Although it is important to differentiate between residents and non-residents, as the list of countries clearly indicates the reasons for the purchase: second home or holiday home and accommodation because they work in Spain.
The countries whose residents in Spain bought more homes in 2020 are Morocco, Romania and Italy. Among non-residents, the United Kingdom, Germany and France top the list. Workers versus tourists.
The Conseil Général du Notariat highlights the decline in transactions by the British, our main foreign buyer even maintaining its position as the leading group in total volume. Their purchases recovered in 2018 (7.5% annually), after the Brexit referendum in the summer of 2016, although they have remained negative since the second half of 2020, with a 12.2% drop.
A striking case among the statistics. The number of transactions by Chinese buyers has increased in recent years in Spain, until 2020. Last year ended with 2,457, a 45% drop compared to 2019.
Who pays the most
It is also interesting to know who paid the most to buy a house in Spain. The Nordic countries, the Germans and the Americans occupy the first places in the notaries’ statistics.
The average price paid by foreigners for a house in our country reached 1,778 €/m2, which is higher than the 1,452 €/m2 that closed the average of all the houses bought in Spain in December of last year.
The British, representing the most important part of the foreign residents who bought houses in Spain in 2020, are also above the average price paid for houses with 1.790 €/ m2.