Cordova, located in the region of Andalusia in southern Spain, it is a city with a rich history, impressive architecture and vibrant culture. This combination of factors makes Córdoba an attractive destination for real estate investment. From the revitalization of the old town to growing tourist demand, there are several reasons to invest in property in this charming city.
1. History and Cultural Heritage: Córdoba is a city with an exceptional historical legacy, especially marked by its past as the capital of the Caliphate of Córdoba during the Islamic period. The Mosque-Cathedral of Córdoba, declared a World Heritage Site by UNESCO, is one of the most prominent monuments in the city, attracting tourists from all over the world. Additionally, Córdoba's old town is full of narrow streets, charming squares and well-preserved historic buildings, making it an attractive place to live and visit.
2. Tourism in Growth: Tourism plays a fundamental role in Córdoba's economy, and the city has seen a steady increase in visitor numbers in recent years. According to data from the National Institute of Statistics of Spain, tourism in the province of Córdoba has experienced significant annual growth, with an average of more than one million visitors per year in the last five years. This increase in tourism not only drives demand for temporary accommodation, but also creates opportunities for investment in vacation rental properties.
3. Strategic Location: Córdoba enjoys a strategic location in the south of Spain, making it an ideal starting point for exploring other nearby cities and regions, such as Seville, Granada and Malaga. In addition, the city is well connected through a network of roads and railways, making it easy to access from other parts of Spain and Europe. This connectivity improves the city's accessibility and increases its attractiveness for both residents and visitors.
4. Valuation Potential: While house prices in Córdoba are generally lower compared to other major Spanish cities such as Madrid or Barcelona, the city offers great long-term appreciation potential. Investing in property in developing areas or in the old town, where housing supply is limited, can generate significant returns as demand continues to grow and the city continues to attract new residents and tourists.
Real estate investment in Córdoba, Andalusia, presents a series of attractive benefits for investors. From its rich history and cultural heritage to its growing tourism industry and strategic location, Córdoba offers a conducive environment for those seeking solid and diversified investment opportunities in the Spanish real estate market.
The price of new construction in Córdoba
In recent years, the price of new construction in Spain has experienced significant variations, affected by factors such as demand, the cost of construction materials and available supply. At the national level, the average price per square meter of new housing reached 2.143 euros in 2023, marking a historical record since 2008. This represents a year-on-year increase of 1.12% compared to the same quarter of the previous year??.
The average price per square meter in Córdoba on February 2024 is $1.467. This price represents a slight decrease of 0.2% compared to January 2024, and an increase of 1.9% compared to February 2023. As we will see, it is significantly lower than that of other capitals, which makes it very attractive for investment.
Specifically in cities like Madrid and Barcelona, prices have shown significant increases. For example, in Barcelona, the price per square meter of a new construction home reached $5.428, with exclusive areas like L'Eixample reaching up to $8.070 per square meter. In Madrid, the average price of new housing was $4.125 per square meter at the end of 2022, exceeding the national average which was $2.732 per square meter??.
Demand has played a crucial role in this price increase, especially due to the shortage of new construction homes in high-demand areas, which has led to greater pressure on prices. Additionally, rising material and labor costs have had a significant impact. New construction housing prices in Spain are expected to increase by 3% in 2024, although this increase could be lower (between 1% and 2%) at the end of the year.
From an investor's perspective, these trends suggest that the new construction market in Spain, especially in major cities such as Madrid and Barcelona, remains active and could offer investment opportunities. However, it is important to note that prices are already at historically high levels and that future developments will depend on several factors, including the general economy, housing policy and demand in the real estate market.
Therefore, from the point of view of a potential investor, current prices may be attractive if growth trends continue, but it is crucial to carry out a detailed analysis of the specific market in which one is interested, also considering the economic and market forecasts. real estate. The decision to invest should be based on a careful evaluation of all of these elements, as well as long-term expectations for the housing market in the specific area of interest.
