THE lure of the pueblo blanco is not solely reserved for expats searching for a taste of Spain.
The country’s national banks are also turning their attention to Spain’s towns and villages.
In a bid to make a quick buck, Spain’s banks are flipping cheaper property in small and medium sized towns and turning their backs on larger cities.     Â
In the last 12 months Spain’s lenders have sold 66% of their property portfolio in towns of less than 50,000 inhabitants.
In fact 42% of the sales were in villages and towns with a population of under 20,000, according to property portal Idealista. Â
On the flipside, only 8% of all homes sold by banks were in cities with a population over 500,000. Â
A spokesman for Idealista said the figures represent a change in mindset from the banking sector.
“Banks have turned their backs on the old school of thought – buying expensive property in the city and selling it off for even more,” he said. “Instead they are buying cheap and selling off quickly.”
He added: “They may make less on individual sales but they are able to do it quicker and on a larger scale.”
In fact, some 59% of bank-owned property is priced at lower than €100,000, with just 2% priced at over €300,000.
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