Has Brexit prompted a major shift in the nations that lead the rankings of foreign purchasers of property in Sotogrande and other parts of Spain? We recently wrote about this subject on the BM Sotogrande blog, and now, it seems that Germany now accounts for more such buyers than the UK, as shown by statistics compiled by Spain’s College of Registrars.
As reported by expat newspaper The Olive Press and elsewhere, it is the first time since the Land Registry in Spain began keeping track of the figures that this has happened.
Specifically, Germans represented 10.4% of the real estate market during the third quarter of 2021, compared to the British at 9.9%. Following in the rankings were the French, who made up 7.8%, the Moroccans at 6.5%, and the Belgians, who took 5.6%.
Overall, the Express reported, Spanish home purchases by people from outside Spain reached 10.8% during the quarter.
And yes, it seems the ‘B’ word is a major factor
Responding to the trend, José Costa – spokesperson for the National Federation of Real Estate Associations (FAI) in the Valencian Community – was quoted by The Olive Press as saying: “It has been noticed that as a result of Brexit, the British are not buying as much.”
As we explained in our previous article on the subject, new rules have restricted the periods of time for which Britons can stay in Spain without needing to obtain a visa. Costa said that Britons previously spent longer periods in Spain – which served to push up demand – and that the latest restrictions were now showing in the market.
By contrast, there has been an increase in the number of Germans and Dutch purchasing property in Spain, “especially after the confinements, since they come looking for the climate and more spacious and luminous places to live for long periods.”
However, it is important not to underestimate the enduring British love affair with Spain
All the above factors are real ones that have been affecting Britons’ moves for property in Sotogrande and other areas of Spain. It is crucial to acknowledge, however, that buyers from the UK remain well-represented in the Spanish real estate market, and that as the COVID-19 threat and travel restrictions have receded, they have come back to the country in force.
One Spanish estate agent recently featured on the Property Investor Today website, for example, said that 59% of their buyers in August were British, rising to all of their buyers in September.
Whether, then, you are a UK national contemplating making your interest in property in Sotogrande more serious, or you are from any other part of the world, our team at BM Sotogrande would be pleased to discuss how we could assist you.
We serve would-be buyers, sellers, landlords and renters of property in Sotogrande – so why not get in touch with us via email or phone today for a more in-depth conversation?
Blog Post 12/11/2021