The Spanish housing market is at the bottom, and now is the time to invest, says the head of CBRE in Spain.
“CBRE: el mercado inmobiliario español ha tocado fondo” or in English “the spanish housing market has touched bottom” – that’s the headline of an article in the business section of today’s edition of El Mundo – one of Spain’s most popular daily papers.
“The arrival of big investors like Goldman Sachs and Blackstone buying large portfolios shows that the Spanish property market has touched bottom and now is the moment to invest,” says Alfonso Galobart, head of CBRE Spain, quoted in El Mundo. “Spain, as a country, no longer has the risks it had five years ago, and that makes it much more attractive.”
CBRE, an international property consultancy, forecast that Spain will attract 4 billion Euros in real estate investment from abroad this year, back to levels last seen in 2004, before the crisis.
CBRE say retail commercial property has been the most sought after in 2013, whilst “strong growth in tourism in 2013” has favoured the recovery of the property sector linked to tourism. They expect this to continue in 2014, especially in coastal areas and the islands.
There may be a glut of homes for sale in Spain, but the price of property in prime areas “has finished its adjustment,” says Galobart. “In cities like Madrid, San Sebastian, on the La Rioja region, we expect modest house price increases, although this will depend on an improvement in the economy.”