Brits buy more Costa resales than new homes
By Sue Brown, 25 Jul 2007
British property buyers prefer resale homes in Costa Blanca to the newbuild offers from 100s of developers - because they are cheaper and bigger - and most plan to live in fulltime in Spain
The Costa is so popular with ex-patriates, property sales have soared to 18 per cent of the national total, according to the research by the Faculty of Estate Agency at the University of Alicante. Almost 19,000 homes were purchased in the province in 2006 by foreign residents,
The research, using Ministry of Housing statistics, shows that 25 per cent of last year’s 72,900 property sales involved expatriate buyers who live permanently in Alicante province (Costa Blanca).
Paloma Taltavull, faculty head, said more foreigners in Alicante bought second-hand property (10,630) than new builds (8,186) "because older properties are cheaper, but also much larger." Brits and other northern Europeans also prefer bigger homes to accommodate friends and family members visiting them in Spain.
The number of homes bought by expatriates in the province of Alicante now exceeds that of non-resident holiday home buyers. The latter fell in 2006, reaching an all-time low of 4,200, which translates to a drop from 30 per cent to 19 per cent.
The importance of the expat buyer is not underestimated in the property market. The Property Promoters’ Association of the Alicante province reveals that 50.72 per cent of foreigners living in the Comunitat Valenciana own their home, albeit with a mortgage. In Spain as a whole, the average is 37 per cent.
The average property price in Alicante is EUR 250,000 (£167,500), the same as the national average for Spain and 20% lower than the UK average price.
Specialists, PropertyInSpain.Net confirmed the demand for resales in Costa Blanca, with 100s of Brits selling their first-buy apartments in what have become mature Des Res districts close to the sea and buying bigger places in "Real Spain" inland areas where they get more property for their money.
"After a few years, these families have mastered the language and cultural differences and have the confidence to get out of the coastal ex-pat social umbrella. Their bargain resales are being snapped up by a new wave of buyers," said spokesman, Terry Walker.
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