Cheap Property in Spain: Russians in Foreign Spaces
The consequences of the economic crisis for Spain have become unpredictable, the country’s economy is in a difficult situation and requires external support. However, as is usually the case, negative changes for some become a blessing for others. For Russians, in particular, the crisis in Spain has provided excellent opportunities for recreation, since affordable real estate in Spain is now one of the main trends in the tourism industry.
The interest of Russians in Spain is quite understandable, because an apartment in this country today costs no more than a dacha in the Moscow region, and the opportunities for recreation here are endless. Many dream of visiting the birthplace of bullfighting, relaxing on the beaches, enjoying the local cuisine and simply strolling along the cozy streets with smiling passers-by. Some even want to move to Spain forever.
It may be difficult for Europeans to understand our desire, because they have many more opportunities for recreation. For us, a trip to Spain has always been a special event, inaccessible and cherished. In the past, even a vacation with accommodation in an average hotel was too expensive a pleasure, and buying your own apartment in Spain was only available to wealthy people.
Today, every Russian with sufficient funds has the opportunity to become the owner of an attractive apartment on the seashore. Real estate in Spain has long been a valuable asset for investors.
This leads to Russia being associated with the concept of “profit” for Spain, since the number of transactions involving Russian citizens far exceeds the number of transactions concluded by the British and Germans. For example, in the province of Malaga, Russians have bought more than a hundred houses at a price of 4 to 7 million euros. Despite the crisis, a Russian always has money, since the demand for real estate has been increasing in the last 3 years due to falling prices. Even the increase in real estate taxes since 2013 and the economic instability in the country do not scare Russians away.
The greatest demand is observed in Catalonia and Valencia, where Russian citizens make about 40% of real estate transactions. Investments are made not only in residential properties, but also in commercial real estate, such as industrial enterprises, land plots, restaurants, bars, beauty salons, night clubs, sports complexes, etc.
Every year, sales of real estate in Spain to Russian citizens increase by an average of 20%. The Spanish have already begun to learn Russian in order to serve Russian-speaking tourists, and advertising in Spain is broadcast in excellent Russian.
The decline in property prices in Spain is becoming the main opportunity for Spanish entrepreneurs to survive in the current situation, according to a report by the consulting company MAGNUM&PARTNERS. Over the past week, this company managed to sell about 140 apartments on the Costa del Sol, thanks to the unrestrained demand for inexpensive property in Spain. MAGNUM&PARTNERS offers one-room apartments at a price of 56,000 euros, two-room apartments at 76,000 euros, three-room apartments at 93,500 euros and four-room apartments at 123,500 euros.
However, the main market participants are banks, which sell mortgaged properties in Spain with discounts of up to 80%.
