Insurance News Archive

Movers rather than investors attracted to Spain

Property buyers looking at the Spanish market now tend to be people looking to live abroad rather than investors, according to Barclays.

Although Spain offers a "positive" market in the long-term no matter what the motivation for investment, the bank said that it has been undergoing a slowdown recently.

"It's difficult to predict what investors will do but what we think the long term outlook for the [Spanish] property market is good," said Laura Vergan, head of media relations at Barclays Global Retail and Commercial Banking.

"What we have noted in the past is that our customers are more of the dream-chasers and the lifestyle buyers rather than the investors."

The Spanish property market has been a favourite for UK investment, with 100,000 British expatriates currently living in the country.

But analysts have recently been alarmed by a government crackdown on illegal housing which saw some homes repossessed, plus continued development which it has been suggested is over-supplying the housing market.

28 Jun 2007