Coastline or inland property investments, which work best in Spain?

[Longterminvestor]

If I was looking for a fairly stable long-term property investment in Spain, would you look at coastline or inland properties?

 

[TONI MARQUES]

I'll say coastline. Holiday renting are becoming a big business on the spanish coast, mainly in places as Mallorca. As owner you will have more opportunities to make profit on your property as you own it.

 

[FWL]

Recent comments about the Spanish property market suggest that inland property prices are rising much quicker than their coastline counterparts. Whether this is a consequence of Brexit, expats repatriating money, or a simple oversupply of stock in the market, time will tell.

 

[TONI MARQUES]

I'm a real estate lawyer working in Mallorca, and prices in Mallorca, I mean coast or very close to it, are rising month by month. Appartments sold 1.5 years ago in 450.000 now are sold in 600.000

 

[diyhelp]

How does this compare to the performance of inland properties?

 

[Longterminvestor]

I thought that concerns about Brexit and expats repatriating their funds had ruined the Spanish coastal property markets? It makes sense for inland prices to show recovery in line with the economy but is there really a major recovery in coastal property prices?

 

[DC]

Depends on your business model.

 

[PostBrexitInvestor]

I think coastline investments can be volatile - the first properties to be sold in an economic downturn. Inland offers more stability but like any property, location, location, location is the key.

 

[DC]

I think demand is 1 inland property buyer to 8 coastal buyers.
Traditionally people brought inland as money went further, and could not afford the same object coastal.

 

[diyhelp]

Personally I do not think Brexit will be the only significant change within the European Union in the short, medium or longer term. As a consequence, investors in Spain will need to consider whether they want exposure to a steady inland market or perhaps a more volatile/tourist based coastal investment? Or just sit on the side lines as the EU implodes?

 

[Longterminvestor]

If I was an active investor, looking to make a turn, I am not sure that a coastal investment in Spain would be right at the moment. There will be a time to jump in, if the sector hits more turbulence as is oversold, but I would recommend keeping your powder dry just now. Wait until the expats return back to the UK in large numbers - that is the moment panic will set in.

 

[gabaleman]

I would recommend coastline investment, as well as Madrid. Annual variation is the most significant for coastline areas (Baleares, Valencia, Andalucia and Canarias). Most demanding areas all over the Spain.