Property in Spain 'remaining popular'

The popularity of property in Spain is set to remain as great as ever with overseas investors, according to one sector expert.

Paul Bradley, a spokesperson for the Spanish Property Owners Guild, says the country is a favourite destination with Brits and its status is unlikely to change any time soon.

He related one tale about walking through the town of Nerja on the Costa Del Sol and noticing that every restaurant was full, with guests showing no concern over the recession.

A reduction in the cost of purchasing property in Spain may also appeal to some buyers looking for a bargain, as Mr Bradley says the market has not yet hit the bottom.

"Based on actual transactions, property prices were down 11 per cent last year and anticipated to be seven per cent this year," he explains.

Currency Index recently reported that accommodation in many traditional holiday home destinations had fallen in value over the past 12 months, with the average two-bedroom apartment on the costas now 30 per cent cheaper than a year ago.