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Spain Property - The Tourist Market

For the period January to October 2007, total tourism revenue was €37 million, an increase of 3.3% on the previous year.

Growing Tourist Industry

Spain is hugely popular with tourists, ranking second in the world in both tourist visits (behind France) and in volume of sales, in which it is outdone only by the USA. (Source: Euromonitor International, Travel and Tourism in Spain).

Growing in Popularity

The popularity of Spain as a tourist destination continues to grow; the number of visitors increased by 4.5% in 2006 to 58.5 million, according to the FRONTUR Survey, Ministry for Industry, Tourism and Trade, with a further rise to 59.3 million in 2007, according to figures from the World Economic Forum.

Travel and Tourism Index

The Travel and Tourism Index now ranks Spain at 15 in the world, rising 13 places from its previous position at 28 in 2006, as visitor numbers rose by 0.7% in December 2007 to over 2.2 million, according to the Ministry of Tourism.

As visitor numbers increase, revenue from tourism also rises; for 2006 as a whole tourist spending rose 4.7% from the previous year generating €48 million. The average tourist spends €91per day and stays for 9.4 nights, with a total spend during their stay of €857. In October 2007, tourist expenditure increased by 13.7% equating to over €1.9 million. For the period January to October 2007, total tourism revenue was €37 million, an increase of 3.3% on the previous year.

Booming Demand for Holiday Accommodation

Rapid construction of new properties is helping to meet booming demand for holiday accommodation, particularly from British visitors. According to recent research on British lifestyles from Mintel, holidays are the number one priority for British adults over the next 12 months.

As many as one in four (23%) plan to go on a major foreign holiday, with 22% planning to go on a short break. Spain remains by far the most popular destination for sun-hungry Britons, with nearly a third of adults visiting Spain within a two year period (Source: Mintel, Holidays to Spain, 2005).

Prospective Spanish buy to let investors are advised to consider a property purchase in their chosen destination, combining a valuable buy-to-let investment with savings on holiday accommodation costs.