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Algarve A Top Property Market
March 11, 2010Article by Ray Withers
A new survey by Savills and HomeAway UK, Algarve property was one of the top sellers in 2009, and will continue to be one of the top sellers in 2010.
In the section of the report titled Where Do Britain’s Buy it said:
Based on the few transactions made in 2009, European countries have remained the preferred option. In Savills International experience, it has been southern France, Spain (the Balearics) and Portugal’s Algarve region that have been the most popular destinations to invest in 2009.
And then in the section titled: What is the Outlook the report said:
The bulk of sales in 2010 are likely to be in traditional, established, hotspots including selected areas of France, Portugal and Spain (mostly the Balearics). These will typically be locations that appeal to high-income buyers and the market will continue to comprise core, lifestyle, end-user buyers as opposed to investors. It is unlikely to be a year for speculative or off-plan buying.
In a separate report on the survey featured in the Telegraph a spokesperson for Savills singled out Algarve property along with that on Majorca and in the Dordoigne as having potential to be very big in 2010.
This confirms reports throughout the last few months of increased sales of Algarve property from international property investment consultancy Property Frontiers. Way back in November a spokesperson for the firm was quoted commenting on a recorded rise in activity as saying:
“Something about the Algarve just puts people at ease; they feel that this is a safe place to invest. My personal feeling is that this is because foreigners have been buying property on the Algarve for as long as they have the Costas, yet there are no problems with oversupply. This shows that the government is responsible, and that prices will always be comparatively firm on the Algarve.”
In January the firm’s director said:
“The Algarve is now a proven and twice verified market. It has proven that it can see sustainable growth during good times, without the need for a correction during hard times. That is exactly what the property buyer of today is looking for. Add into that the bargains that are currently available and you can see why the region has done very well indeed since fear over the international crisis began to subside.”
Property Frontiers are currently marketing several high quality properties for sale on the Algarve; including the Academy Development, which is located on a championship golf course. Buyers get free membership to that course and another world championship course nearby. The combined value of the memberships alone is 30,000 euros, yet apartments start from just £200,000 for a 1 bedroom unit.