Figures from the municipal register of Valencia revealed last week that 18.5% of its inhabitants are foreigners, two points above the previous year. A growth in the migrant population in the Valencian capital that is also observed in the rest of the province, where this group represents 14.63%.
A greater presence of foreigners that also translates into more home purchases, as explained yesterday by Luis Fabra, director of the Real Estate Market Chair at the University of Zaragoza. Of the total of 9,300 sales and purchases in the province of Valencia during the last quarter – with a quarterly increase of 17%, but with an annual decrease of 8.2% – 28.79% of home purchases during the last quarter, almost one in three have been carried out by foreigners.
Fabra analyzed the data on the Valencia real estate market based on the report prepared by the College of Real Estate Agents and concluded that Valencia is no longer “the ugly duckling” for the international buyer. Without yet bypassing Alicante, the first Spanish province with the highest percentage of home purchases by foreigners, Valencia is already presented as an attractive province for buyers. The Valencian market is of interest, above all, to buyers from the United Kingdom, Belgium and the Netherlands.
Figures that allow us to speak of the Valencian market as a market with “great dynamism” in which, as is known, prices have skyrocketed in the last year: according to the College, the average price per square meter is already 1,531 euros in the Community Valenciana, the maximum level since the beginning of 2010. The report goes into detail and goes from 1,976 euros/square meter in Valencia city to 817 euros in Alzira or 732 in Ontinyent, figures that have grown in different percentages, almost always by above 4%.
The Tecnocasa Group also reported yesterday on how the sector works in the city, where the state of the market is influenced. His area manager in the cap i casal, Carlos Alonso, was emphatic: “In Valencia there is nothing below 75,000 euros.” He noted that the most sold typical home is one that has an elevator (65.6%), has an average surface area of ??between 60 and 80 square meters (42.2%), three bedrooms (56.5%), and is located on a farm whose age is between 40 and 60 years (57.8%).
For his part, Lázaro Cubero, director of analysis of the group, admits that with such a level of operations, the expectations of Valencian sellers also grow and estimate this price overvaluation at 17.6%. “But we have to be very aware that homes have to be negotiated,” he says. The director of analysis at Tecnocasa also analyzed the rental boom: “Why is there so much investment in Valencia? Because renting gives a great return.”
And according to the College of Real Estate Agents, in the province of Valencia the price per square meter in the month of March for the rental market had an average cost of 11.27 euros per square meter per month, with a interannual variation of 17.57%. And in the capital this amounted to 13.5 euros per square meter per month, 19.14% higher than a year before, being the maximum level in the historical series.
“The seller is clear that he is not interested in going to a different horizon,” says Luis Fabra, who confirmed, as all sources in the sector insist, that “there is less and less willingness to rent housing and new construction.” It is residual.”
In fact, one of the new promotions that has begun to be marketed these days in Valencia, in this case in the Ayora neighborhood, starts at 197,000 euros for a home with a single room. In fact, the Camins al Grau neighborhood in which it is located has an average price of 2,927 euros per square meter and is not the most expensive: Eixample and Pla del Real take the cake, with 3,973 and 3,265 euros per square meter. average in the homes offered.
