Despite the first national drop in foreign population
numbers since 1996, the Costa del Sol attracted 3.1% more foreign residents
last year than in 2010, according to recent data by the National Statistics Institute.
While this has been good news for the Spanish economy as a whole, it has so far
failed to produce a real positive impact on the Costa del Sol’s beleaguered
property market.
Based on the municipal census of 1st January
2012, the Malaga province is home to 292,257 foreigners (up from 283,498 in
2010) with a permanent residence. Nationwide the number of foreigners living in
Spain dropped by 15,229 people, who were either forced to return home because
of economic hardship or chose to return home for personal reasons.
Property at the Costa del Sol is still far cheaper than at
other high-end holiday destinations in Europe. In quality resorts like Mijas,
Fuengirola and Estepona it is still possible to find resale one bedroom apartments
for well under EUR 100,00, while luxury new build apartments with 2 bedrooms
and 2 bathrooms, their own sun terrace or balcony, access to communal pools and
landscaped gardens can be purchased for EUR 250,000 or less in many districts
of glamour resort Marbella.
Yet, various governmental crack-downs on foreign residents –
from issues over taxation to not renewing their driving licences at the risk of
EUR 200 fines – have put off many expats. They have cashed in on their homes despite
declining sales prices, leaving the Costa del Sol for countries less stringent with
regard to taxation of world-wide incomes and with stronger economies and better
employment opportunities.
Spain remains very popular for relocation and investment in
holiday homes. In Elviria, a sought after residential neighbourhood in eastern
Marbella, the weekly lettings income from a penthouse or other type of 3-bed
property can be more than EUR 1,500, depending on proximity to the sea or golf
courses.
In Spain, that’s more than enough to live quite comfortably,
especially when mortgage free and residing in another apartment along the sun-kissed
coast. Selling up in the UK and relocating to Spain is a dream many people
aspire to.
With heavily discounted property prices the Costa del Sol is
a good place to start a foreign property portfolio for those looking for
investment opportunities. Now is also a good time to relocate to sunnier climes
for people who are no longer location dependent because they work online and for
those planning to retire.
Many resorts offer British newcomers well-established expat communities.
New arrivals in Marbella won’t feel homesick for long. There’s just so much to
do in resorts at the Costa del Sol!
There are branches of the Royal British Region holding anniversary
dinners in Alhaurin and opportunities to join the SOL Classic Car Club of
Andalucía for a fun day out at Laguna Village. Why not celebrate St Patrick’s
Day at the church in Arroyo de Miel and dance with hundreds of others to the
music of the Gibraltar Sea Scouts Pipe Band? Over a glass of Irish whiskey one
can exchange news from home and make new friends.
For newcomers the best policy is to join as many clubs and
societies as possible, as it staves off homesickness. It is also useful for
making business contacts; expats looking for work will often turn to other
expats who have already established a business in Malaga, Marbella or
Torremolinos.
The Costa del Sol is home to an astonishing range of
societies and clubs. Members of the Costa del Sol Photographic Society might
enjoy a day out at the Bioparc in Fuengirola, taking snap shots of exotic
animals and each other, while members of the Occasional Performance Society
(TOPS) are busy entertaining their guests with a Terribly English Show in Alhaurin. The most important thing is to
join in the fun and get acquainted.
Marbella property may still be marginally more expensive
than other resorts, but property investors will find a wide pricing range across
the city, from Casco Antiguo (Old Town) to Nuevo Barrio (New Town), from Puerto
Banus and the Golden Mile to Elviria and Las Chapas in the east of Marbella.