Pandemic hits the Spanish real estate market during 2020

January 22, 2021
Pandemic hits the Spanish real estate market during 2020

Due to the pandemic and travel restrictions, foreigners have bought fewer properties in Spain in the third quarter of 2020. There is talk of a decrease in Spanish real estate of more than 20%. It is not only the corona pandemic that has caused this decrease, but also the uncertainties surrounding the Brexit, as British home buyers in particular have fallen sharply but are still the largest group of buyers. 

Immowi is an important player in the European real estate market. A lot of Spanish real estate is marketed using our algorithm and the MyImmowi platform. That is why we are always on top of the situation.

In general

Between the beginning of January and the end of September 2020, 36.850 Spanish real estate was sold to foreigners, according to preliminary figures from the Colegio de Registradores. By comparison, in 2019, 47.150 homes were sold in the first nine months of that year alone.

During the first three months of 2020, 14.850 homes were still sold to foreigners, a drop of 7%. But between April and June, in the middle of the first corona wave with lockdowns, emergencies etc., only 8.000 homes were bought by foreigners, a drop of 46%.

After the state of emergency was lifted and the borders reopened, home sales to foreigners also rose. In the third quarter, these sales increased by 75% to about 14.000 homes sold which is, however, still 7,5% less than in the same period in 2019.

The final figures for the whole of 2020 will be announced by the Colegio de Registradores later this year, but the conclusion can already be drawn that British house buyers in particular have fallen sharply. But the British are still the largest group of foreign house buyers for the Spanish real estate.

First quarter 2020

In the first quarter, the British bought 1.900 homes, which is 13.65% of all foreign sales. After the British, the French with 8,07%, Germans with 7,29%, Moroccans with 6,28% and Belgians with 5,88% are on the list. The Dutch are on the list with a share of 2,85% in the first quarter.

Second quarter 2020

In the second quarter, the British bought again 12,25% of the Spanish real estate sales followed by the Germans with 7,18%, Romanians with 6,90%, French with 6,68%, Moroccans with 6,40% and Belgians with 5,78%. The Dutch accounted for 3,52% of home sales.

Third quarter 2020

In the third quarter, the British are again on top of the list with 13% of the total number of homes sold to foreigners followed by the French with 8,05%, Germans with 7,65%, Moroccans with 6,41% and Belgians with 6,26%. The Dutch are on the list with a share of 3,21% in the third quarter. 

Regions

If we look at the report for the third quarter of 2020 and the autonomous regions where foreigners bought the most Spanish real estate, the Balearic Islands are on top with 27,14% of total foreign home sales.

After the Balearic Islands, the Canary Islands are on the list with a share of 26,33% followed by the Valencia region with 24,11%, Murcia with 17,49%, Andalusia with 12,31%, Catalonia with 12,12%. La Rioja with 5,37% and Aragón with 5,02%.

Looking for foreign buyers in Spain? Immowi looks for your ideal customer around the world. British, French, Belgian, … wherever you want your leads to come from, we generate the best for you and your business. Machine learning finds the perfect match between your projects’ characteristics and our customers’ preferences. We link them to your MyImmowi account, where you can manage your projects, leads and budget. Let’s have a talk and see how we can help you boost conversion.

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