– Spain overtakes US to become number one destination
– Demand falls for property in Portugal, France, Italy
– Interest rises in Canada, Thailand, Australia
– France outside of top 10 for first time
– Spain only eurozone destination in top five
Sunset in Marbella Photo: HernanPC
Spain reigns but investors were mainly on the plane out of Europe in June, according to TheMoveChannel.com’s new research. The portal’s latest Top of the Props report shows that Spanish property is now the most sought-after in the world, despite falling demand for other European destinations, as concerns surrounding the Greek bailout crisis spread.
Spain’s share of enquiries edged up by 0.02 percentage points to 6.68 per cent in June 2015, enough to seize the top spot from the USA. US property’s share of enquiries slipped from 8.49 per cent in May 2015 to 6.07 per cent in June 2015. While both American and Spanish real estate have been at the top of buyers’ shopping lists for some time, though, the rest of TheMoveChannel.com’s Top 10 destinations was all change.
Greek worries grow
After a year of Portugal, France and Italy frequently appearing in the top five rankings in TheMoveChannel.com’s Top of the Props chart, thanks to favourable currency exchange rates and low prices, all three countries plunged in popularity, as the continent’s attractiveness was overshadowed by the ongoing Greek bailout crisis.
Portugal, which has enjoyed record levels of demand in recent months, fell from third place in May to sixth in June, as its share of enquiries halved from 6.41 per cent to 3.26 per cent. This is Portugal’s first time out of the top five since June 2013.
Italy also fell from fifth place into ninth. The country’s share of enquiries slipped from 4.25 per cent to 2.54 per cent, reversing its rise up the table since the start of the year.
France was the biggest casualty of Grexit caution, though, as demand for French property fell to a record low of 1.99 per cent. As a result, the country dropped out of the top 10 for the first time in Top of the Props history: this is only the third time in 26 months that France has been outside of the top 5.
Greece, though, climbed one place in the Top of the Props chart to 16th place, with 0.81 per cent of enquiries. Cyprus also moved up three places into 17th.
As buyers turned away from familiar faces, interest grew in attractive alternatives elsewhere around the world.
Canada, which has been in the top 10 for the past three months, climbed from ninth to a new peak of third place: the country accounted for 3.71 per cent of all enquiries on TheMoveChannel.com in June 2015.
Australia also enjoyed an all-time high level of popularity, entering the Top of the Props Top 10 for first time in 15 months. The country’s share of enquiries jumped from 1 per cent in May to 2.34 per cent, surpassing its previous peak of 1.92 per cent, recorded in February 2014.
After tussling with Turkey for investors’ attention, Thailand re-entered the top five destinations again, establishing it once more as a favourite investment hotspot outside of Europe. The country rose two places from sixth to fourth, accounting for 3.61 per cent of enquiries. Turkey, on the other hand, slid from fourth into eighth, as its share of enquiries fell from 4.26 per cent to 2.6 per cent.
Demand rebounded for Brazilian property, after several months of falling interest in the wake of the 2014 World Cup. The country climbed from eighth into fifth place, making up 3.42 per cent of activity on the portal, up from 2.54 per cent in the previous month.
Investors remained keen on Caribbean beaches, with the Cayman Islands climbing six places into seventh and Cape Verde rising from 15th place into 13th.
The Philippines also enjoyed notable rise in interest, as the country climbed into 14th place from 18th, with an 0.89 per cent share of activity. New Zealand made a rare appearance inside the top 15 destinations too.
On a six-monthly basis, though, a more consistent pattern can be observed: the top five most popular countries on TheMoveChannel.com in H1 2015 were Spain, USA, Portugal, Brazil and Italy. The Top 10 was completed by Thailand, France, Turkey, Bulgaria and Canada.
“Fluctuating sentiment in the run-up to Greece’s bailout deadline has resulted in the most diverse Top of the Props chart in recent memory,” comments TheMoveChannel.com Director Dan Johnson . “Eurozone property has been extremely attractive in recent months for buyers willing to overlook any uncertainty and take advantage of the weak single currency and low prices. In June, though, concern surrounding Greece proved too contagious: continential favourites remain popular, but demand has been visibly impacted. This is only the second time in the last 12 months that the eurozone has not accounted for three of the top five countries on TheMoveChannel.com.”
“In real terms, Portugal’s enquiries fell 55 per cent, while Italy’s fell 42 per cent. France’s enquiries plunged 31 per cent,” continues Johnson. ” Spain’s sunny Costas, though, were appealing enough to withstand the spreading worry. Spain suffered the least dramatic decline, with its enquiries falling 24 per cent. The country was the only eurozone destination in June’s top five; a testament to the market’s resilient appeal. On a six-monthly basis, Spain is also the most sought-after country on TheMoveChannel.com. The presence of Thailand and Canada in the H1 Top 10 emphasise their established popularity among buyers in 2015, but Spain’s reign is not over yet.”