Spanish regions are proving more popular with Brits interested in buying property abroad, recording more searches while Australia has seen interest drop off for the third month in a row.
The latest Rightmove Overseas monthly report shows that the province of Valencia in Spain is the top climber in April for the second month in a row with rise of 69% in searches.
Spanish regions dominate the top climbers table with seven entries out of ten while Italy has overtaken Australia as 19 out of 20 Italian regions saw a rise in searches with Le Marche and Tuscany seeing the biggest increases. Australia experienced a decrease in searches for the third month in a row but searches for Croatia increased 20% month on month.
‘Countries on the Mediterranean coast, especially Spain and Italy, were the big winners in April as searches for Australia fell away once again. Buyers are still fascinated by the Spanish province of Valencia, not only is the Spanish Grand Prix coming to the region in June, it’s also been included in Lonely Planet’s top 10 beach cities,’ said Shameem Golamy, head of overseas sales at Rightmove.
‘The allure of reduced priced properties are still attracting extra interest in other regions in Spain, with Malaga, Alicante and Minorca all seeing increased user activity in April,’ Golamy added.
The report says that increased property stock from Italian advertisers has led to virtually all Italian regions seeing an increase in searches. Regions in the centre of Italy have seen the largest increases, especially Le Marche, where you can pick up a renovation project starting from around €10,000.
There are also great investment opportunities for people looking to relocate and start a business, such as a bed and breakfast, due to the availability of large country homes at discounted prices. Recent TV programmes aired in the UK highlighting Italian food and culture have no doubt helped increase the interest, with Italy rising to become the fifth most searched for country on Rightmove Overseas.
Price and location are again the dominant factors for UK based buyers looking to purchase in the next few months and they want a property not too far from home and for a bargain price, according to David Kerns, dealing manager at Moneycorp.
‘With Australian interest rates currently standing at 4.75% and the potential for further rises ahead, the Australian dollar remains extremely strong, driven in part by global investors looking for that interest rate yield advantage. This currency strength has resulted in the waning appeal of Australian property to Brits over the course of this year,’ he said.
‘Australia’s commodity exports have also proved to be a source of great strength to its currency, making property in the country relatively more expensive to British expats. Interest has dropped by 14% compared to last month as a result,’ he explained.
‘On the other hand, falling property prices in Italy have contributed to an increasing number of Brits eyeing up opportunities there. Though there are bargains to be had in the recession-hit countries of Europe, the euro remains stable and house prices will not continue to fall forever. Potential investors should plan carefully and be aware of the risks involved with the debt ridden European countries,’ he added.