Historically a dynamic property market Nueva Andalucia suffered, as did all of Spain, from the recession that began in 2008. An excessive supply of housing, restrictive bank financing and a lack of confidence in the economy kept the market depressed for several years; however, the tide has been turning for Marbella & Nueva Andalucia since 2013, as well as for the whole of Spain in general.
In fact in August 2015 Spain was the fasted growing economy in the Eurozone area, registering its second best period of expansion in more than eight years.
In Marbella itself 24% more homes were sold in 2014 in comparison to 2013 with increases continuing through 2015, especially in the high-end luxury villa sector.
Please click here to view Nordica’s video on villas and homes for sale in the area of Nueva Andalucia
Factors Driving Villa Sales
Sales are being driven by a number of factors:
– In the first place one cannot forget that Marbella itself is one of the most sought after destinations in the world, both for holidaymakers as well as those looking to relocate on a more permanent basis for a better life. Located on the southern tip of Europe it is blessed with over 300 days of sunshine a year, more than 40 golf courses, stunning beaches, a world class infrastructure of restaurants, shops and services and a Mediterranean lifestyle that is renown worldwide – all within a few hours flight of most of the major European capitals. Indeed there are few destinations that can match the overall appeal of Marbella – there will always be a demand for property in Marbella.
– A lack of supply of homes for sale, particularly in the high-end luxury sector. Savvy investors took advantage of the substantial price reductions at the start of the recession and good properties offered at below market value have all been purchased. At the same time a lack of bank financing meant that developers no longer constructed new homes.
– Traditional buyers of homes in Marbella have reappeared as their own economies have improved, in particular the British, Irish, Germans and the Scandinavians as well as buyers from Belgium, France, other European countries and the rest of the world.
– The Euro has depreciated substantially and prices in Marbella are extremely competitive for buyers from countries outside of the Euro area, for example the United Kingdom, Sweden, Norway and Sweden.
– As part of the European Community, Spain is a safe and secure country to invest in both for buyers from other European countries as well as those from outside of the EEC looking to establish a foothold in Europe
– Prices for quality properties are going up and investors are realizing the potential for positive returns that the Marbella real estate market can offer, especially in relation to more traditional forms of investment, such as bank deposits.
For a purchaser looking to buy a property in Nueva Andalucia or Marbella, whilst prices are still at levels that offer incredible value for money, it is now moving towards a sellers’ market as prices steadily increase.
A vendor with a good property that is priced correctly can be confident that the property will sell and, as recent cases of gazumping show, sometimes even above the asking price.
As Anna Lena Rosen from Nordica points out “If you find your dream home in Marbella in the current market you cannot afford to delay, as it will probably be some else’s dream home as well, and they may very well decide before you.”
For more information on investing in the Marbella & Nueva Andalucia real estate market, either as a homeowner looking to purchase a dream home on the Costa de Sol, or as an investor looking to invest in Marbella’s dynamic property market, Nordica Sales & Rentals can be contacted by telephone on: + 34 952 811 552 or by email: info@nordicamarbella.com.
For Nordica’s current listings of villas for sale in Nueva Andalucia & Marbella please click on the following link: www.nordicasalesandrentalsmarbella.com