The Balearics is one of the main regions for foreign property buying.

19-08-2020R. U.

The property website pisos.com forecasts that there will be a 50% decrease in the sale of properties to foreign buyers in the second half of this year. Nationwide, there were 50,522 foreign purchases between July and December 2019. This is predicted to come down to around 25,000.

In the second half of last year, four out of ten of all purchases were by non-resident foreigners, so "mobility difficulties between countries" are very important in determining how the foreign purchase market behaves.

The director of studies at pisos.com, Ferran Font, says that although the decrease is "drastic", especially for a country such as Spain, which is attractive to foreign residents, this is happening in real estate markets everywhere. The nature of the product and its "high price" means that it is essential that purchase decisions are made "in situ".

He adds that the "slow and unpredictable progress of the crisis, the lack of mobility and the fear of the virus" are the main causes of the drop in purchases by foreigners.

The regions being most affected are the Balearics, the Canaries, Andalusia, Murcia and Valencia. The website believes that, despite everything, the UK will continue to be the leading market, followed by France, China, Morocco, Germany, Italy and Belgium.

Comments

The content of comment is the opinion of users and netizens and not of mallorcadailybulletin.com.

Comments contrary to laws, which are libellous, illegal or harmful to others are not permitted');

mallorcadailybulletin.com - reserves the right to remove any inappropriate comments.

Warning

Please remember that you are responsible for everything that you write and that data which are legally required can be made available to the relevant public authorities and courts; these data being name, email, IP of your computer as well as information accessible through the systems.

* Mandatory fields

Ricky / Hace 9 months

Don’t believe these predictions (and no, I do not work in real estate or have a vested interest). Removal firms are reporting big increases in moves to here. I reckon that a lot of people in Europe are considering early retirement/or can now work remotely, and will choose the islands. I think there will be a minor fall off for the next 6 months and thereafter things will be fine. The real estate market here has always been resilient. If the government here is smart (which it is not) it will attract the new generation of home workers, thereby saving at least some local jobs by bringing constant inward investment. Sadly, it won’t help the hotel workers though...

+4-