Spanish property sales have surged 60 per cent in the past year, as the weak euro sparks a buying boom from Brits and other overseas investors.
In 2014, Engel & VÃ¶lkers brokered a total sales value of 699.25 M euros, 60 per cent higher than the 435.1M euros recorded in 2013.
E&V brokered 1,071 transactions in Spain in 2014 representing an increase of 77.6 per cent over the previous year, when the company completed 603 transactions.
The rental market was also buoyant last year and increased by 66.4 per cent over the previous year from 435 transactions to 724. The average monthly rental yields decreased slightly last year from 2.496 euros in 2013 to 2.305 euros in 2014.
The figures follow positive reports from Spanish market indices, which have seen property prices bottom out and demand from international buyers increase.
Spain's Housing Ministry reported a 0.5 per cent increase in average house prices between Q3 and Q4 last year, fuelled by resale purchases. Alicante Province, home to the Costa Blanca, saw the highest price growth in this period, namely 2.1 per cent, and along with the Costa del Sol remains the most popular market for Brits
Spain shot to the top of the TheMoveChannel.com's most sought-after countries in February 2015, according to a recent study by the portal, the second time in three months that it has been the number one destination. Rightmove Overseas also saw its Top 10 Climbers table dominated by Spanish locations.
"This matches findings from our most recent Quarterly Index, which puts Spain as the most popular place to buy," comments Angelos Koutsoudes, Head of SpainBuyingGuide.com.
"Meanwhile, according to recent figures from Spain's Property Registrars, foreigners accounted for 13.88 per cent of all property purchases in 2014, the highest level on record. And unsurprisingly, Britons were the largest group of all foreign nationals buying in Spain, accounting for around 17 per cent of all non-Spanish purchases last year. The final quarter of 2014 was by far the busiest in terms of foreign property purchases."
Koutsoudes highlights the favourable exchange rate as a key driving factor behind the growing appeal of the Spanish market.
"There could also be the realisation that prices in hot spots on the Costas won't remain at bargain levels forever," he adds. "There's also more pressure on British vendors in Spain not to drop their prices, given the weaker euro means less sterling when they repatriate the proceeds of a sale."
In response to growing demand, E&V Worldwide is now looking to recruit a further 2,000 agents in 2015 and there will be a major push in Spain to feed the new shops and "Market Centres".
Indeed, E&V opened 14 new establishments in Spain last year, with two new "Market Centres" in Madrid and Valencia and 12 residential shops in key locations including: San SebastiÃ¡n, Vigo, Tarragona, Benidorm, Calpe, Denia and various areas of Madrid such as Conde de Orgaz, Majadahonda, Las Rozas, Alameda, Sanchinarro and Aravaca.
Philipp Neimann, Managing Director of Engel & VÃ¶lkers EMEA, said: "Spain continues to be a major market for the company at an international level. Last year we opened two key Market Centres in Madrid and Valencia with a total investment of 4.5M Euros. We currently have 66 residential shops throughout Spain and we envisage great potential for business here."
Torremolinos, Spain Photo: Kans1985