British demand for property in Spain rose 12% last year to 10,178 purchases recorded in the Spanish Land Register, back above the pre-Brexit referendum record of 10,156 in 2016. Although British demand fell in 2017 after the referendum, it appears the British shrugged off Brexit fears last year and returned to Spain in record numbers.
As a result of the recovery in British demand, the UK’s share of the foreign market for property in Spain has been steadily increasing from a low of 14% in Q1 2017 to 17% at the end of last year, though not yet back to the levels it was prior to the referendum, as foreign demand from other sources has also increased significantly since then.
More than any other factor, the weakness of Sterling compared to the Euro explains the decline in British demand in the months after the Brexit referendum. Once the Pound stabilised at a lower level British demand also stabilised and then began to grow again, though property professionals report that budgets at the lower end declined as many buyers simply adjusted expectations to match their lower purchasing power, rather than abandon their intention to buy in Spain altogether. At the high end of the market there has been little change in budgets.