Since May, Spain has been carefully returning to normality from one of Europe’s strictest lockdowns. Now that the country is able to welcome international tourism again, and the major airplanes are resuming flights, visitors and second-home owners alike can return to Marbella and the wider Costa del Sol, bringing a much-needed return to normality.
There is a renewed optimism here, as we see the opening of businesses, restaurants and shops. Quotations for property builds and renovations are coming in thick and fast and architects and real estate agencies are experiencing an influx of enquiries again from those who put their plans to relocate to Spain on hold. There has been a renewed hunger to relocate or purchase that second home here on the coast and with property viewings again able to take place and construction back in full swing, it is a promising outlook.
If you are planning on buying, building or renovating a property in the Marbella area, there are some questions to consider in this post-lockdown property market.
Will we see the same market crash experienced in 2007/2008? This is a different situation to that of the 2007 crisis; the banks are in a strong position and the market is not over saturated with properties which were two leading causes of this crash. Many people have managed to save money during the crisis and are looking with heightened interest to invest. Although many are predicting that although there may be a cooling-off period, it is likely that the property market, particularly on the Costa del Sol, will recover quickly if we compare it to the recovery of the market just over 10 years ago.
Is now a good time to get a great discount on a property or a plot? Many buyers have the expectation that they can ask for an aggressive discount but it is important to remember that while the Costa del Sol may be compromised, this is still a luxury property market with wealthy owners and it is very possible that low offers will be rejected while developers and owners await the market to fully recover.
How did the construction industry fair during lockdown? During the entire State of Alarm here in Spain, construction was able to continue but there were two weeks in March when all sites had to close. Once reopened, strict measures were put into place to protect the health of the workers and ensure that work could continue in a safe and controlled manner. In the last couple of months, the industry has boomed again with construction companies and architects alike receiving many enquiries and requests to quote for work.
Has the lockdown changed what people are looking for in a property here in Spain? This extra time at home will most likely have an impact. The quarantine has been food for thought; perhaps people are seeking now a larger home with more space, one that offers entertainment facilities such as a cinema, gym and pool and within a low-density environment. The forced nature of working from home these last few months has led many to consider the importance of a home office space too.
The Costa del Sol has been a dream destination for many over the years, but the lockdown period has renewed the passion for the Spanish lifestyle even more. With our excellent work-life balance, natural environment, enviable weather and luxury lifestyle, it is likely that Marbella and the wider Costa del Sol will be one of the first areas in Spain to recover.