The Spanish economy is booming!
The Spanish economy is booming.
This might be the best time to start looking for a home in Spain!
(Brexit is helping the Spanish economy)
This week, The European union announced it will take Spain out of the Excessive Deficit Procedure. Spain suffered austerity after a decade in the program, but Brussels warned that it will keep an eye on the evolution of Spain’s public debt.
The news is positive for Britsih people looking to invest in Spain. The Bank of Spain has improved its economic outlook for 2019 growth, raising it from the 2.2% predicted in March to the new figure of 2.4% .
Óscar Arce, the Bank of Spain’s head of research, said just last friday. “The reason for this upturn in the Spanish economy is the fact that the (economy) recently demonstrated greater strength than anyone anticipated.”
The Bank of Spain now expects the current positive expansionary period to extend to 2021 at least.
From now on the pace of growth will gradually slow down, in Spain. It is unsustainable, even allowing for British purchasing in the property sector after Brexit.
Growing protectionism and doubts about the Chinese economy do pose risks to the unemployment figures.
Despite a global slowdown, (China, the US, Britain) the Spanish economy has outperformed expectations in the past two years. On the back of public spending in Spain, property boom on the Costa Blanca and strong internal demand, performance is impressive . During the second half of 2018, the Spanish government expects “slower” growth due to fewer exports (Brexit issues) and the price of oil. Financing costs will shrink however, meaning money is available for people looking for Spanish mortgages and this is supporting continued growth.
The Bank of Spain says that it expects the current positive expansionary period to extend to 2021, thanks to sustained competitiveness in Spain. Property sales are up 5% and prices are increasing, especially in the Valencia, Torrevieja and Orihuela areas.
“With the absence of any new adverse developments in the coming time, the export markets from Murcia and other regions will recover to some degree and increase” suggest the Spaniards.
It appears the global credit crisis of the last decade is finally behind us and property buyers in Spain are the ones set to benefit most!
Is this the time to buy an apartment in Spain?