Foreign investment in Spanish property creeps up

Foreign investment in Spanish property increased by an annualised 2.4pc in Q1, according to the latest figures from the Bank of Spain (BoS).

The figures include all types of property, not just residential, and all types of investors such as banks and funds, not just individuals. As such, they give us a clue as to how all types of foreign investors see Spanish property.

As you can see from the chart above, foreign investment in Spanish property has increased significantly since the Q1 low of 2010 (+33pc). This suggest that foreign investors see Spanish property as an opportunity now that the bust has brought down prices.

Investment by Spaniards in property outside of Spain, in contrast, has crashed 50pc in the last 12 months, and more than 80pc since its peak.

American Companies Opting For Green Real Estate

Regardless of the non-compliance with the Kyoto Protocol, the United States of America still helps Mother Nature by taking part in green real estate. This doesn't only mean an increase in the amount of construction supplies corporations with green friendly products, it also leads to foreign players having a piece of green properties.

According to current real estate news, corporations such as Goldman Sachs, IBM Corp., Toyota Motor, and JPMorgan Chase have already made a move towards green friendly properties. Aside from that, there are other companies including Bank of America and Accenture are on its way to getting themselves their own buildings made using green materials. Whether through construction or leasing, said companies are determined to go green.

Maybe it is due to constant information dissemination regarding global warming as well as other environment-related dilemmas, green real estate is now becoming one of the fastest growing sectors of an already booming industry of commercial properties. Based on current market reports, approximately 5% of new commercial buildings all over the United States of America have attained the LEED (Leadership in Energy and Environmental Design) certification just||as of the previous year. Approximately 10% more are to follow by next year. This statistic does not even include residential properties, that are also predicted to undergo a change.

In addition, the change is affecting not just with new buildings, but also in already existing buildings as well. Developers such as the Durst Organization as well as Hines are cutting half empty office buildings then placing them under renovation. Everything is altered according to eco-friendly standards. This is done to increase rent by 3% higher compared to the previous charge as well as amplify the property value by 7.5%.

Real estate news also notes that aside from a possible increase in rent, these are also utilized because they can save up to ten percent in utility spending each year. A number of the already existing green real estate use up forty-two percent less electricity and it also consumes 34% less water compared to traditionally constructed properties. More importantly, as innovation on sustainable materials keeps up, green constructions are predicted to be more cost-effective.

British buyers back in force

Falling Spanish property prices and a rising Pound are luring increasing numbers of British house-hunters back to Spain, reveals a new survey. And leading Spanish housebuilder Taylor Wimpey España confirms the trend with a big jump in sales to Brits.

Publicity

Around 56% of Brits enquiring about the Spanish property market are actively interested in purchasing opportunities according to a study by Spanish real estate agent Inmoaction, with 27% of respondents saying they would buy a second home in Spain.

Results from the survey of more than 1,500 people highlights that the decline in prices in the Spanish property market is increasingly attracting British buyers looking for a well-priced dream home.

“While the data shows that Brits seem to be showing a great deal of interest in Spanish property, we at Taylor Wimpey España are seeing this interest translate into action,” says Marc Pritchard Sales and Marketing Manager of leading Spanish house builder Taylor Wimpey España. “While enquiries by Brits increased by 5.5% in August this year compared to last year, last month saw 53% of all our property sales in August made to British clients – the strongest sales month to British buyers since September 2010!”

Pritchard has no doubts about the driving force behind the resurgence of interest from British buyers. “Opportunities to purchase quality properties in good locations at low prices combined with the strength of the Pound and just 4% VAT has meant that Brits are prepared to act in order to take advantage of the current market,” he explains.

Keen to capitalize on this activity, the Spanish government and the Spanish Property Developers Association will be working together to formulate a plan that will target foreign buyers in order to help reduce the level of real estate stock on the market in Spain with a focus on Russia and China as well as EU nations. Russia is a fast-growing market for Spanish property and over 11% of Taylor Wimpey España sales last month were to Russian buyers.

For property hunters looking for high quality affordable property Taylor Wimpey España has some excellent properties on offer at only 4% VAT until the end 2012.

For example, on the Costa del Sol, La Floresta de la Mairena, key-ready flats from only €178,000, and Los Robles de los Arqueros (pictured), in the Los Arqueros Golf & Country Club, just 5 minutes by car from Puerto Banus, from only €240,000.

Green Real Estate Is What Nature Desires Now

From the dawn of the human civilization, the planet earth was subjected to a lot of pressure for providing various ways of dwelling for mankind and man, who have created a share of havoc on the various sources of natural resources that was made available for the vast human race. But now after so many years man has landed himself amidst a lot of problem by over-exploiting these natural resources. If these non-renewable resources actually start to deplete, there will be no turn around for the human race. Thus with the use of green real estates, it will completely be removed from the Earth's face.

All our attempts and efforts to improve our different ways of living have left behind a carbon footprint. The event resulting in the emission of the accumulative green house gases is known as the carbon footprint. In spite of spending millions of dollars and hosting various researches's no process has been discovered to control this rapid decrement of the natural resources. At last one solution has been discovered that apart from being beautiful and cost effective, is also very eco-friendly. This is the art of living green. In order to compliment this green living extravaganza, many green real estates have been constructed throughout the planet.

The construction of these green real estates is progressing keeping in mind the ultimate interest of the environment. Thus the major part of these materials that are being used for the construction is either obtained from razed buildings all around America or recycled substances. The constructions take place under strict vigilance so that the environment remains harmless. To minimize indoor pollution and its various causes, green flooring substances are being used. An ample supply of eco-friendly materials are being used fro the construction of these green real estates. One of the best options for this is bamboo floors. From the usage of recycled-content carpet to sustainable timbers, everything is eco-friendly. The different compounds that are used for this special purpose have low Volatile Organic Compounds that helps in the reduction of any little chance of the harmful emissions after the process of installation is completed. Other important options that are available include stone flooring, linoleum flooring, cork flooring and hard wood flooring. the installation of all these products not only helps u gain tax benefits and a better financing for your new home, it also meets all high standards of green living.

The environment will highly benefit if the revolutionary idea of green real estates meets its desired success. If the environment benefits from anything, we also benefit. Residing in these green homes thus not only helps you and your environment benefit but it also gives you immense opportunity to save your hard earned money.

Official Spanish House Price Index down 14pc in Q2

The biggest official fall in Spanish house prices since the crisis began.

Spanish house prices fell 14.4pc over 12 months to the end of June, according to official stats published by the National Institute of Statistics (INE). Resales fell 15.7pc and new builds 12.8pc (see graph above).  Prices will probably continue to fall at an accelerating rate for the rest of the year.

The following chart shows how house prices changed by region.

Small increase in expat residents buying homes in Spain

12pc more foreign residents bought homes in Q2 than the same time last year, but numbers are still heavily down compared to the boom year of 2006.

It appears an in increasing number of expats living in Spain are taking advantage of low property prices, judging by the latest figures from the Housing Department, in the Ministry of Public Works (Fomento). The number of house sales to foreign residents increased by an annualised 12pc to 9,502 in Q2, lead by a 25pc increase in Catalonia. The Valencian Region, with its Costa Blanca, was once again the biggest market by some margin.

However, the trend is only positive compared to the years since the crisis began. If you look back to 2006, expat purchases are down 68pc on average, and as much as 72pc in Catalonia. But at least expats are doing more than Spaniards themselves to buy Spanish property: Purchases by Spaniards are still declining.

Nevertheless, it’s is good news to see that more expat residents are buying property, and it is a relief to be able to report it.

Note that expat residents include economic migrants, and these numbers don’t distinguish between them and what I call climate migrants from northern Europe. But it’s a fairly safe bet that the vast majority of expat residents buying in the popular holiday-destinations of the Spanish coast (Andalusia, Valencian Region, Catalonia, Balearics and Canaries) are in the latter group.

The following table breaks down expat purchases by region (click to enlarge).