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Market paradoxes: why buy property in the Basque Country

Spain is not only the Costa Blanca and Costa del Sol, regions so popular with the Russian-speaking buyer. In the north of the country a small autonomy is comfortably accommodated – the Basque Country. Today it attracts many tourists and investors from Europe. Why do they choose this location and how profitable it is to invest in local real estate? We understand our material.

A few words about the Basque Country
Basque Country The Basque Country, Basque Country or Euskadi (in the Basque language) is an autonomous region in the north of Spain. In a relatively small area – 7,234 square meters. km – 251 municipality and three provinces with the largest settlements of the country.

Alava, where the main city of the Basque Country is located and it is the administrative center – Vitoria-Gastejs; the Gipuzkoa region with its capital San Sebastián; Vizcaya with the administrative center of Bilbao is the most populated area.

The identity of the district is reflected in tradition, cuisine and language. Here, the warm Atlantic climate, beautiful nature and breathtaking landscapes.

This region is one of the richest in Spain. According to the European Commission, more than half of the Basque Country’s GDP is generated by the services sector. This is followed by industry (mainly processing), construction, agriculture and fisheries. Construction and development are also developed.

In Basque Country there is an extensive network of roads connecting cities with each other and with Central Spain. There are sea and passenger ports. Flights take three airports: Luhua to Bilbao, Foronda to Vitoria-Gasteiz and Fueterrabia to San Sebastian. There are currently no direct flights from Russia to Basque Country.

San Sebastian – Royal Resort
Popular in the Spanish aristocracy in the XIX-XX centuries, the resort town became a privileged tourist center of Spain. One of the reasons is the convenient location on the coast of the Bay of Biscay, the Atlantic Ocean, 20 km from the border with France.

This closeness at one time had a strong influence on the architecture of San Sebastian. The city center is built up with beautiful examples of French style la belle epoque, for which the area is often called Area Romántica.

Another unofficial nickname is “Little Paris”. Exquisite facades, decorated with stucco and marble trim, perfectly clean streets and well-maintained pavements with wrought-iron benches and beautiful lampposts – everything is harmonious and pleasing to the eye.

“The local government pays great attention to the improvement of the city, maintaining its harmonious appearance, the protection of historical monuments, and the observance of the town-planning code. Before issuing construction licenses, the mayor’s office carefully studies each project, ”notes Anastasia Vinogradova, sales manager for Atlantic Realty.

Architecture of San Sebastián

The center of attraction of tourists (mostly European) San Sebastian has become thanks to the excellent beaches. There are three of them. Central, the most famous and the longest – 1.3 km – La Concha. For the second year in a row, he is recognized as the best in Europe and ranks sixth in the world. Here you can not only relax and swim, but also be treated in La Perla.

Suriolla Beach is open to all winds, and therefore most popular with surfers. They come from all over the world to conquer the waves of the Atlantic Ocean. For fans of this sport there is all the necessary infrastructure.

And, finally, the smallest in length (only 600 meters) and the most quiet and peaceful is Ondaretta Beach.

“Local gastronomy erected to the degree of art deserves special attention. It is in San Sebastián that two of the fifty best restaurants in the world, and the largest number of Michelin stars per square meter in the world. And the city is justly proud of this, ”emphasizes Anastasia Vinogradova.

Basque Country Property Prices
The autonomous region of the Basque Country is one of the three most expensive in Spain. “Here the average price per square meter in 2018 was € 2,797. For comparison: in the province of Madrid – € 2,882, and in Catalonia – € 2,543. In other regions, prices are several times lower. For example, in Andalusia a square meter cost € 1,606, and in Valencia € 1,400, ”says Anastasia Vinogradova.

If you compare the city, the most expensive housing in San Sebastian. In 2018, according to the Global Property Guide, the average price here was € 3,383 per sq. M. m. This is followed by Barcelona (€ 3,380 per sq. m.), Madrid (€ 2,965), Bilbao (€ 2,219) and Cadiz (€ 2,014).

San Sebastian Real Estate

At the same time, prices and demand are growing every year. One of the reasons is the decline in mortgage rates and an increase in funding. At the end of last year, according to the Spanish Institute of Statistics, prices for primary housing rose by 6.1%, and for the secondary housing market – by 7.3%.

“Comparing the results of 2017 and 2018, we see that the largest increase in property prices in Spain was recorded precisely in San Sebastian – 8.7%. In the capital – 3.7%, in Bilbao – 2.4%. And everything indicates that the trend will continue in the coming years, ”adds Anastasia Vinogradova.

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