Its that time of year again.. The New Year. Time therefore to reflect on what has happened over the last 12 months in the overseas property market and to share predictions for the next…
The upward trend of British people buying property overseas continued in force in 2015. Spain remained a popular choice for British buyers- in fact it is reported that there has been a 26% rise in Brits buying in Spain over the last 12 months! Hotspots included property purchases in Barcelona, Costa Brava and purchases in Mallorca which is reported to have seen a 25% increase in property sales in 2015.
Notaires in France reported a slight increase in the number of property purchases in France as well as stable property prices in 2015, showing increased confidence in the French property market.
Attractive property prices and predictions of price increases over the next 5 years lured many Brits to buy property in Portugal in 2015, with purchases of property in Lisbon and the Algarve remaining popular.
A healthy UK housing market, the increased strength of the pound against the weakened Euro following the Greek crisis of the summer, together with new UK pension rules allowing retirees to draw cash lump sums from their pension pots all provided Sterling spending power and were some of the stepping stones for Brits achieving their overseas property dream in 2015.
So what’s in store for 2016? Will 2016 be good year to buy property abroad? Slow economic growth in many of the most popular European countries such as Spain, Portugal and Italy helps to keep overseas property prices low for the time being and therefore attractive to Brits looking to invest in Europe.
Turkey’s announcement of its plans for a Golden Visa in Turkey is hoped to follow the footsteps of Cyprus, Spain and Portugal and continue the increased interest in foreigners buying property in Turkey, which was reported to have grown by 19% from January to September in 2015, compared to same period the year before.
With the “Brexit” referendum concerning whether Britain will exit the EU looming, a delicate Eurozone and a refugee crisis which shows no sign of being resolved any time soon is likely to cause economic jitters for some. The resulting uncertainty can bring with it delayed buying decisions and often adverse effects on the european housing markets, especially in regions which heavily rely on investment from the UK.
Interest rates show no sign of substantially increasing into 2016 however, either in Britain or in the Eurozone. This coupled with domestic deflation in some of the more popular european countries, means that Brits are expected to continue to see their budget’s stretch despite the rocky start to the strength of the Pound in 2016.
2016 is therefore already looking to be a good year for many more Brits hoping to take the plunge and purchase the overseas property that they have been dreaming of.
If you are thinking of buying a property in Spain, France, Italy, Portugal , Turkey (or anywhere else for that matter!) make sure you get good, independent advice from a recommended lawyer from the outset.
To get in touch with a recommended, independent English-Speaking Lawyer to help make the buying process as smooth and as hassle-free as possible, contact Worldwide Lawyers on 01244 470339 at info@worldwidelawyers or via our contact form.