Brits Remain Top Foreign Real Estate Buyers in Spain

Despite a decline, UK nationals still lead foreign real estate purchases in Spain, making up 14.8% of sales in Q2 2024. Discover the latest trends.

In the wake of post-Brexit constraints and a protracted decline in numbers, recent data has illuminated the enduring prominence of UK nationals as the predominant foreign real estate purchasers in Spain. Despite a notable decrease in recent years, exacerbated by the bureaucratic labyrinth introduced post-Brexit, Britons continue to assert their position as the largest cohort of foreign property buyers in the Iberian Peninsula.

According to real estate market statistics released by Spain's Association of Registrars, foreigners constituted 14.8 percent of all property transactions in Spain during the second quarter of 2024, a slight dip from 14.9 percent in the corresponding period of 2023. UK buyers led the charge, accounting for 8.4 percent of sales, trailed by Germans at 7 percent, Moroccans at 6.1 percent, Romanians at 5.3 percent, and the French at 5.2 percent.

While the stringent residency regulations instituted post-Brexit have undoubtedly influenced this trend, it is essential to recognize that the diminishing share of British buyers in the Spain’s real estate market was already a pre-existing phenomenon prior to the UK's departure from the European Union. In 2014, British nationals represented 15.77 percent of property buyers, indicating a near halving of their market share over the past decade.

As per the latest demographic data from Spain’s National Statistics Institute, there were 293,171 Britons residing in Spain as of 2022. However, it is likely that many of the new property buyers are non-residents who enjoy the luxury of spending part of the year in their Spanish abodes. A comparative analysis of the data from 2024 and 2014 reveals a persistent trend: British residents remain the primary interested parties in the market, albeit amidst a diversification of buyers, with an increasing presence of Moroccans and Romanians in the Spain’s real estate landscape during the 2020s.

Geographically, foreign buyers are predominantly acquiring properties in regions with robust tourist activity. The Balearic Islands stand out, with a staggering 33.4 percent of all properties purchased by non-Spaniards, followed closely by the Canary Islands at 31.1 percent, the Valencian Community at 28.8 percent, Murcia at 23.6 percent, Catalonia at 16.1 percent, and Andalusia at 13.7 percent.

Spain continues to captivate investors, as evidenced by these figures. Despite the upward trajectory of property prices, the residential real estate market remains markedly competitive compared to other locales, thus enabling foreign buyers to serve as a vital catalyst for market dynamics. Notably, despite a marginal year-on-year decline, foreign real estate purchases in Spain are nearing the record levels observed in the third quarter of 2023, when they constituted 15.44 percent of total sales and purchases.

While the landscape of foreign real estate ownership in Spain is evolving, the British presence remains significant, albeit amidst a tapestry of emerging buyers from diverse backgrounds.