You have probably read some of the articles or seen some of the TV programs that have recently highlighted that Spain in general and Costa del sol in particular are back in the spotlight of sun-loving and affluent Swedes. We can only confirm all these reports and state that in 2010 the interest in housing in Spain increased by over 50 percent in terms of the number of visitors and expressions of interest. We expect a roughly equal increase, if not even greater, next year. Another sign that interest in buying a home in Spain has increased is that the housing fair in Malmö and its exhibition "buying a house abroad" had significantly more visitors this year compared to last year.

Read about the housing market in 2014.

However, there are still many who are "in the air" and waiting to make an offer. This is exactly what happened the last time things turned around after a recession. First, not a sound for a long period, then many who curiously register their interest with brokers but wait to act. Suddenly, however, the market explodes and a buying frenzy prevails for a year or so, causing prices to skyrocket again, followed by an inevitable bubble. Things tend to go in circles as people have a poor collective memory (including economists and bank managers...).

What is the current situation like for those who want to buy a house or apartment in Spain?

At the end of October, DN wrote an article about the housing situation in Spain and stated that it is currently an excellent time to buy because there are bargain prices on many properties. Some houses and apartments have dropped by half the price and are approximately at the level they were at in the early 2000s, DN states, which is completely consistent with our own analysis. E24's analysts also state that in many places the price drop has been as high as 50 percent. The extreme figures are explained by the fact that most homes were incredibly overvalued before the collapse.

How much have apartment and house prices dropped on average?

It is difficult to come up with an exact figure, but most properties in Spain have fallen by 20-30 percent since the 2008 crisis and, as mentioned, are currently at a level corresponding to 2000-2001.

Also keep in mind that when bidding on a house starts in Sweden the price goes up, but in Spain Instead, you negotiate down the price of the home during the negotiation! So far.

The homes that have decreased in price the most are the smaller apartments and houses. The luxury segment has not moved as much as before as there is always a group of people with purchasing power for these listing regardless of the time.

Will prices fall further in the Spanish property market?

Spanish TV showed a documentary in the fall speculating that prices won't drop much further. The Spanish economy is admittedly incredibly shaky, but the housing market seems to have most likely already shaken up, even though it will take a few years before sales pick up again.

The future of the housing market on Costa Del Sol

Many properties are now owned by banks as developers have been unable to pay off their loans. It is also more difficult to get loans now and there is not as much construction going on. The best and safest purchase is clearly an investment in a listing that has been around for a few years. The purchasing process It's also much faster and less frustrating for all parties involved. So avoid new construction unless it's a hugely good offer.

The interest in buying a house in southern Spain, and especially the highly regarded countryside Costa del Sol will continue to be very strong mainly due to Spain's unbeatable climate. Prices have fallen perhaps even more in places like Costa Calida and Costa Blanca, but demand there is not that high and probably will not be in the future either, which makes an investment in these areas more uncertain.

The interest in moving abroad is growing among Swedes, and it is expected that in the near future more and more younger Swedes will retire in countries such as Turkey, Thailand and France. But the most popular destination for Swedes who want to move abroad is and remains southern Spain.

There are many factors behind why so many Swedes will want to pack their bags and flee to Spain. The sun and the relaxing lifestyle have always attracted people, but nowadays factors such as Swedes losing faith in the Swedish model also come into play. On Costa Del Sol for example, the road network and other infrastructure such as railways are far ahead of Swedish standards, the housing is getting better and better, and the healthcare is at the same level as here at home. Airlines' trips to Spain are becoming cheaper and more frequent with departures several times a week from a number of airports in both Norway and Sweden. In addition, our membership in the EU has made it easier both bureaucratically and mentally to move abroad. There is simply not much stopping a Swede from taking the step further.

A couple of years ago, I did Kairos Future a survey of people in their 40s and 50s found that as many as 300,000 Swedes are considering moving abroad. The number of people in their 60s and 70s is probably even higher, considering that they became accustomed to traveling at a young age. At Spanska Fastigheter we even get several inquiries from people in their 80s who have started thinking about starting a life in Spain.

If only the rich had the opportunity to move to Spain in the past, new doors have now opened up for those with less means. For example, it is possible to get a renovation project in the countryside for around half a million kronor.

Please email to info@panskafastigheter.se if you have any questions about the Spanish housing market.

Read also: Here you can book cheap hotels in Spain. Nerja is perhaps the best place to invest in. Guide to the city. Travel guide to Malaga , the capital of Costa del Sol.