Spain the next attractive spot for Swedish home buyers – Property ownership there increased by 105 percentyTuesday, 14 June 2011
The Swedes have been spending on Spanish property more that before. Last year, the level of spending by Swedish people buying properties in Spain increased by 105 percent according to latest data from the country's housing authority.
House prices in Spain have been falling since the first quarter of 2008, and have on average weakened by 15 percent. In some tourist areas, prices have fallen by 30-40 percent.
Last year, more than 6 percent of properties were sold than the year before. That was the first increase in three years. Foreign nationals are the ones who have been buying the properties making their contribution to property purchases to rise by 21 percent over the other year.
Spanish State Secretary for Housing, Beatriz Corredor, said at a press conference in Stockholm on Tuesday that she did not want to try to predict increases in house prices in the future, but said that she particularly has an important goal – to do everything at their strength to prevent another housing bubble.
New house construction and the number of unsold homes have fallen sharply since the peak year of 2007, according Corredor. She also pointed to a series of reforms that the Spanish government has implemented, including tax credit for renovation similar to the Swedish model and to get the Spaniards to renovate more.
Observers and people with close eyes and ears in the industry are not surprised by the statistics. There is the general view that southern Europe has attracted more Swedish house buyers recently probably blamed on the comparative lower cost of living in these areas or because house prices in Sweden as well as those holiday homes in Sweden have skyrocketed.
Another reason could be that prices have gone in Spain while the Swedish krona has strengthened against the euro making it cheaper for the Swedish house hunters to shift abroad.
Some Asia favourite destination for the Swedes such as Thailand are reported to be loosing ground, partly because of political unrest in the country that led to uncertainty about the country’s future.
By Scancomark.se Team