Overseas property market grows in 2014

Anocheche, Costa del Sol Photo: Antonio

Spain, Portugal and France remain the most popular countries in which to buy an overseas property, according to the latest Quarterly Index from OverseasGuidesCompany.com.

The index, which measures the number of enquiries via downloads of their country-specific buying guides, found that between January and September 2014, there was an increase in enquiries of 17 per cent compared to the same period last year.

Despite the bullish first half of the year, activity cooled down in the third quarter, with enquiries up 4.1 per cent year-on-year, bucking the seasonal trend that usually Sees Q3 outperform the first two quarters.

Spain is still by far the most popular country, generating 2,710 enquiries in the third quarter, compared to 2,494 enquiries in the third quarter of 2013.

France also remains a firm favourite in second place with 2,575 enquiries, with house prices across the country remaining stable over the last year and interest-only mortgages now offered to non-French residents.

Looking ahead, OverseasGuidesCompany.com forecasts continued growth in the key markets, with mortgage rates in the Eurozone remaining at historic lows and sterling likely to maintain a comparatively strong value against the single currency.

"There is also a sentiment that the bargain prices of homes in popular parts of Spain, France and Portugal won’t last forever, with signs that hotspots are already seeing slight price rises," adds the report. "Buyers don’t want to miss the boat.

Star performers in the third quarter in terms of growth were Italy (12.7 per cent), Greece (52 per cent) and Turkey (8.5 per cent), all of which saw rises in enquiries compared to the previous quarter.