In 2023, almost 60% of transactions in the Spanish real estate market were made without attracting a loan. These are the data of the General Council of Notaries of the country (Consejo General del Notariado).
The explanation for this trend is due to the large number of buyers who have the necessary funds at their disposal. Buyers, as a rule, are large international funds buying up entire buildings, owners of private capital, as well as foreign citizens who want to invest in Spanish real estate. Foreigners are mostly attracted by the program for obtaining a residence permit for investments "Golden visa".
Demand from wealthy investors had an impact on prices. In 2023, fewer apartments and houses were sold than in the previous year, but their value did not fall. In fact, home sales in Spain decreased by 11.2% year-on-year last year, and the number of mortgages decreased by 21.3%. However, the average price per square meter increased by 1.5% year-on-year, to an average of 1,640 euros.
The 40:60 ratio between the number of transactions using credit and transactions without a mortgage has been maintained in Spain since 2015.
Source: SUR