1. Store of value. In times of political instability, which lead to stock markets in upheaval, gold and real estate have traditionally been a safe haven where the affluent plough their money to weather off the storm.
2. Security. Real estate is a tangible asset which you can touch and see, unlike cryptocurrencies and other intangible assets where online theft is rife.
3. Capital appreciation. Real estate has soared by two digits over the last five years in Spain. On the mid to long run, real estate always trumps any other asset class, including stocks.
4. Soaring rental yields. Rental yields in Spain have soared by two digits over the last four years. Spain is the world’s second tourist destination, creating a huge demand for holiday home accommodation that constantly drives rental prices up.
5. Learn from the pros, buy in market dips. When you review the portfolio of outperforming investors, you realise they kept their cool during market crisis and adopted a contrarian approach to investment. Whilst everyone else panicked and sold, they are busy buying in market lows and then cashing out on market highs, when everyone else is buying. The ongoing COVID-19 epidemic has created once-in-a-lifetime buying opportunities for both residential and commercial units in prime locations. Buying in a market’s trough guarantees a (very) healthy return on an investment. These unique investing opportunities will be gone within a year or two, when the market rebounds again, as it always does when it overreacts. This is a buyer’s market, seize the opportunity.
At LNA we can assist you buying, selling or renting out your property in Spain. We have 17 years’ experience in conveyance & tax. We are also specialized in Immigration & Residency permits.
Larraín Nesbitt Abogados, small on fees, big on service.
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