British demand for foreign mortgages up 8% in a year

Interest is growing once more among Brits seeking that classic Spanish home in the sun.

The number of Britons seeking advice on a foreign mortgage has increased by eight per cent on last year, according to recent figures published by overseas mortgage specialist Conti…

According to the data, Spain was once again the most popular destination for mortgage enquiries in the second quarter of the year, accounting for 45 per cent of demand.

While this figure is slightly below the 54 per cent share Spain enjoyed in the first quarter, it still represents an overall increase in actual numbers, ie, more Brits asked about a Spanish mortgage in the second quarter than in the first quarter of the year.

France was once again the second most-popular destination, registering 31 per cent of all enquiries, with Portugal in third on 18 per cent.

The current strength of the pound against the euro – it reached a seven-and-a-half year high this week – is tempting cash-rich Brits to investigate overseas property, and the steadying of Spain’s own property market makes it the ideal location for many Brits hoping to buy abroad.

“With the strong pound boosting buyers’ budgets, a little slice of life overseas is proving to be even more tempting, especially when you compare the cost with overheated parts of the UK market,” said Conti Director Clare Nessling. “Record low borrowing rates and bargain prices are also luring investors to overseas property markets, with a sizeable shift in interest for Spain in particular over the last six months.”