Increased Investment in Spanish Properties

 

The Bank of Spain has released data today revealing how overseas buyers of Spanish property invested 32.8% more during the first half of 2011, compared with the same period in 2010, spending a total of 2.445 billion euros.

A fraction over €1 billion of this was invested during the second quarter of the year, a level of spending not seen since before the property bubble burst in 2008.

Investment from overseas buyers peaked in 2003, when a record €7.072 billion being spent, failing to €6.650 billion in 2004, €5.495 billion in 2005 and, finally, €4.716 billion in 2006. There was a slight increase in 2007 and 2008, before falling 31.5% to €3.651 billion in 2009.

Earlier this year the Ministry of Public Works has been promoting Spanish properties by a 'road show', taking representatives of construction companies and financial institutions around European cities.

Various industry estimates put the current glut of Spanish properties anywhere between 700'000 and 900'000.