Russia’s share of Spanish real estate market down since 2012

Figures from the College of Registrars indicate that almost 2% of homes bought by foreigners in Spain in 2021 were purchases by Russian citizens – there were 1,280.

The Russian market share has been declining over the past few years. In 2012, there were 3,399 purchases. Property experts admit that there will now be a further contraction, but as Ferran Font, director of studies at property site pisos.com, notes, “the Russian client has very little exposure to the Spanish marketThe majority of buyers, he notes, are in coastal tourist areas and major cities.

Among Russian investors in the Spanish real estate market is Vladimir Poutine: or said to be anyway. Several properties in Spain are linked to him. One was a mansion in Marbella with its own golf course and shooting range. However, it was not his property, but that of a Russian businessman with the same initials – Valery Ponomarev.

back in 2006, the Russian market accounted for 1.24% of all foreign purchases. It was just ahead of Ukraine with 1.12%, but Russian buyers had a preference for larger properties – over 100 square meters compared to between 60 and 80 for Ukrainians.

In 2008, the market was over 4% – with 1,270 purchases, 64% of which were new properties. Two years later, the share was 7%, while that of Ukrainians was still around 1%. The peak was reached in 2012while Russians accounted for 9.62% of foreign purchases.

The most popular region for Russian buyers was Valence. This was the case in 2020, for example. Catalonia was far behind, then came Asturias and Cantabria.

Although Russian involvement in the Spanish market is limited, Don Piso’s deputy general manager, Emiliano Bermúdez, says it is the luxury end of the market which “could end up losing one of its best customers”.

On the Idealista real estate website, the view is that “the market takes for granted that home purchases by Russian citizens practically disappear“, with the impact being felt in areas of Spain favored by Russians, such as the Alicante coast.

The Fotocasa site estimates that the sanctions will affect investment, “as happened after the invasion of Crimea”, thus exacerbating a downward trend that has been observed for several years.