“Spain hopes to tempt Britons back into the market this summer with a million unsold homes going at bargain prices and in top locations,” says Cathy Hawker with a million unsold properties and prices slashed by 40 per cent, the Costas property bubble may have well and truly burst but the Spanish government is banking on British buyers coming to the rescue.
The Spanish government has been edging along a political tightrope as UK buyers put the brakes on their aspirational holiday home purchases. In a country whose property industry accounts for well over 10 per cent of its gross domestic product, the decline in the housing market has had grave repercussions for tourism and the economy. Steady reports of agents and developers going bust, migrant workers being laid off and major developments being postponed indicate that it’s not just foreign buyers feeling the bracing effect of Spain’s property slump. With some agents offering dramatic discounts – in some cases, two for the price of one – to revive flagging sales, unemployment and property devaluation are two of the major concerns now faced by developers and municipal governments alike.
When it comes to metropolitan living, Spain has cities to suit every buyer – and every budget. Laura Latham investigates
Madrid and Barcelona may be Spain’s fast track to cosmopolitan culture but if you want the charm of Latin life, with the benefits of an urban setting,the country’s smaller cities are the perfect compromise.