Overnight stays in Spanish hotels rose by 3.5% at the start of the year

Posted on April 19th, 2012 in Real Estate in Spain by author

January 2012 figures published by the National Statistics Institute show that 12.6 million visitors opted for overnight stays in Spanish hotels during the first month of the year, which represents a 3.5% rise in a year-on-year comparison.

While the overnight stays for residents fell slightly by 0.2%, the number of overnight stays for non-residents rose by a significant 6.1% with the average length of stay going up by 1% at the same time compared to the same month in 2011. The average length of stay recorded now stands at 3.1 nights per person.

Another study, the Hotel Price Index (HPI) showed an increase of 0.3% for January 2012. Turning to the overall profitability of the hotel sector and the average room rate achieved, the HPI study shows that while invoiced overnight stays per night were on average €68.30, the actual profit made per room was €28.90.

Occupancy rates of available rooms stood at 37.4% for January this year, which represents a 3.3% rise on the same period in 2011. At weekends the occupancy rate rose to 40%, which represents a 2.2% rise when compared to the same month a year ago.

Overseas Visitors’ Overnight Stays

A breakdown by country shows that in January 2012 a greater number of German guests stayed overnight than British visitors. The overnight stays for German guests were recorded at 27.3% and for British visitors overnight stays stood at just 21.1%, which means the German market segment rose by 3.7% on the same month a year ago, while the British holidaymakers only represented a 0.8% rise.

Overnight stays from guests coming from Italy (down 5.5%), France (up 10.2%) and Sweden (up 25.7%) were also an indicator of the respective economies in those countries, which influences tourists’ decisions on holiday budgets.

Favourite Holiday Spots

As in previous years the most popular holiday destination for tourists from other countries are Andalusia and the Canary Islands. Overnight stays by foreign guests holidaying in the Canary Islands went up by 7.7% compared to the same month a year ago. In second place is Cataluña with a 1.1% increase and Andalusia is in first place with a 14.7% rise.

With regard to Spanish residents holidaying in their own country, they favoured Andalusia, Cataluña and the Communidad de Madrid for overnight stays. Here the year-on-year comparison shows a downturn for Andalusia (5.4%), but an upturn for Madrid (0.3%) and Cataluña (3.7%).

The Canary Islands, seen on a year-on-year comparison for highest occupancy rates by room, were the winner with 71.3%, with the Communidad de Madrid in second place (41.0%) and Communidad Valenciana in third with 35.3% occupancy rates per room.

Occupancy and overnight stay rates were best for the island locations as well as coastal regions and the resorts located in the Pyrenees. In this category Gran Canaria was the clear winner with an occupancy rate by room recorded at 78.0% and a weekend occupancy rate by room at 78.7%.

Holiday Island Tenerife had a record 2 million overnight stays just for January 2012, while Madrid, San Bartolomé de Tirajana and Adeje recorded the greatest number of overnight stays. Popular tourist destination Arona achieved the highest occupancy rate by room with 83.3%, while Puerto de la Cruz boasted a weekend occupancy rate of 83.8% per room.

Considering a year-on-year comparison of January’s results, the HPI reached 0.3% this January, a 1.6 point increase from December 2011 and a 1.2 point rise from those recorded for the same month in 2010.

SOURCE: http://news.kyero.com

Overnight occupancy rates rose by 3.2% this October

Posted on March 2nd, 2012 in Real Estate in Spain by author

Spanish hotel industry counted some 24.7 million overnight stays this October, a healthy 3.2% increase compared year-on-year. While the overnight occupancy rate by residents fell by 9.3%, the rate of overnight stays from non-residents rose by 11.1%, indicating that efforts to improve Spanish tourism industry are beginning to work.

Latest figures published by the National Statistics Institute show that the average stay also went up by 3.5% compared with October last year, when on average guests stayed for about 3 nights in hotels.

According to the figures, 52% of all available hotel beds were occupied in October 2011, representing an increase of 2.2% from the previous year. Indeed, during the first 10 months of 2011, the rate of overnight stays went up by 6.9% compared year-on-year.

The weekend occupancy rate went up by 3.5%, bringing it to an overall 56.3% result.

The changing fortunes of European economies are reflected in the number of visitors that come to Spain. While the German economy is flourishing once more, the number of German guests staying in Spanish hotels went up by 14%; meanwhile, the British market increased by a mere 5.3%. In combination the two countries were responsible for 9 million guests occupying Spanish hotels this October.

Overnight guests from France, Italy and the Netherlands accounted for year-on-year increases of 15.4%, 10.9% and 21.7% respectively.

The Most Popular Destinations in Spain

Like in previous years the Balearic Islands are still firm favourites among non-resident guests. Here overnight stays from overseas visitors increased by 13.2% in October. The Canary Islands are in second place with an increase of 14.0% and Cataluña is in third place with a rise of 5.9%.

Guests who are normally resident in Spain favour Andalusia, Cataluña and the Valencia region, but occupancy rates have gone down compared to the same period last year, namely by -14.5%, -8.9% and by -10.4% respectively, while the Canary Islands had the highest occupancy rates measured in bed places, namely 70.7% of beds were filled with overnight guests in October 2011. In second place Madrid counted an occupancy rate of 58.7% and the Balearics recorded 57.1% occupancy in October 2011.

The islands and costas are still firm favourites with tourists and this was reflected in the occupancy rates and overnight stays. Barcelona recorded the highest occupancy rate by bed places with 72.9% generally and the highest weekend occupancy rate by bed places with 78.7%. Mallorca had 3.8 million overnight bookings in October 2011.

Madrid and Benidorm also recorded high overnight occupancy rates. Arona on Tenerife had the highest occupancy rate by bed places with a staggering 81.5% being filled and Benidorm ranked as the highest weekend occupancy rate holder with 86.8% of bed places being filled.

SOURCE: http://news.kyero.com

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Spanish property market declines further in September 2011

Posted on March 2nd, 2012 in Real Estate in Spain by author

TINSA’s latest General IMIE Index for Spanish property prices made for rather gloomy reading: the average house price declined by 7.4% compared to the same period in 2010.

Overall, seen in relation to the housing market’s peak in 2007, Spanish real estate sector has declined by an average of 24.1%.

Real estate in major cities and in capitals across Spain fared less well than the rest of the country, according to the General IMIE Index. In Spanish cities house prices fell by 8.9% last month alone, while at the costas property prices declined by 8.2%.

The Balearic and the Canary Islands have been fairly robust with regard to house prices and have fared far better than the rest of the country. Here property prices fell by only 6%.

Marc Pritchard, sales and marketing director at Spanish leading developers Taylor Wimpey de España, believes that things are looking up in the housing sector, with a small recovery having been experienced earlier this month in some Spanish regions. Alicante in particular had seen some positive sales transactions and an increase in enquiries, since the opening of a second airport terminal there would much improve access and therefore boost visitor numbers to the greater Alicante area.

This in turn, Mr Pritchard explained, should have a positive effect on the holiday lettings market, with an increase in rental incomes.

SOURCE: www.propertyshowrooms.com

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Property prices on Mallorca to rise again

Posted on March 2nd, 2012 in Real Estate in Spain by author

While the rest of Spain still bemoans the collapse of the property market, the Balearic Islands are a little ray of sunshine in an otherwise gloomy real estate sector. One industry expert even claimed that prices are bound to rise in the next 12 months.

Mr Gabriel Oliver, president of the Balearics Property Developers Association, recently spoke to Spanish newscasters Europa Press about the real estate sector and his ideas were picked up by Euro Weekly News.

Mr Oliver believes that the absence of finance for new real estate developments will have an effect on demand and supply. With fewer quality homes being built in the Balearics, demand will soon outstrip supply in the next 12 months. Palma in particular will suffer and overall only 2,000 new housing units will become available for investors and those seeking a second home this year.

Given that the annual average number of completed sales on Mallorca is normally nearer the 3,000 mark, Mr Oliver has a point. With such a shortage, prices for real estate on the island have to go up in line with demand.

Surprisingly perhaps, Mr Oliver’s optimism is not shaken by the fact that TINSA’s latest General IMIE Index figures showed a 6% drop in prices across the Balearic and the Canary Islands in September 2011 compared to the previous month.

The Balearic and the Canary Islands still outperformed the rest of Spain though, where prices have continued to drop by far more than on Mallorca.

SOURCE: www.propertyshowrooms.com

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Purchasing a Spanish property

Posted on March 1st, 2012 in Real Estate in Spain by author

Why Choose Spain?

If you asked the hundreds of thousands of British homeowners already living in the country, why they have bought properties in Spain over the last 30 years, they’ll point to the country’s numerous attractions, making Spain one of Europe’s most popular expat markets.

Of late the Spanish property market has been in crisis though, partly because of oversupply on account of many British investors attempting to purchase too many off-plan properties and then being unable to obtain finance via the beleaguered UK mortgage market.

In some regions of Spain this has left many villas and apartments unsold. Spain’s housing industry also suffers from the aftermath of local councils granting licenses for large and small scale housing developments illegally in some regions. The burst property bubble led to the discovery of corruption and misdemeanours among the highest echelons of local governmental bodies.

The housing crisis may have prompted some investors to put their money to safer use elsewhere, but anyone looking for a change in lifestyle and wishing to relocate within Europe, will undoubtedly look to Spain first for its laid-back way of life and greater attractions than practically anywhere else in the world. The great variety of properties, from rustic fincas and snug apartments to villas on golf developments and beachfront mansions, makes Spain still one of the best options for buying a property abroad.

Firm Favourites with Buyers of Spanish Properties

When cheap package holidays abroad became first available back in the 1960s and the British love affair with Spain began, the Costa del Sol and Costa Blanca in particular became some of the favourite holiday and home ownership destinations. A period of decline followed in the 1970s and 1980s, particularly in some of the resorts like Marbella for example, until Mayor Jesus Gil stepped in and turned around the resort’s fortunes. Looking to its neighbour Marbella for guidance, other coastal resorts soon followed its lead and nowadays Spain’s resorts can compete with the best that France’s coastline has to offer.

Both the Canary and Balearic Island archipelagos have long been among the top ten tourist choices, but are also firm favourites with expats looking to combine a little glamour with a relaxed lifestyle. While British weather leaves a lot to be desired, the Canary Islands in particular, and the Spanish mainland in general, boast a warm and sunny climate throughout the year.

More and more investors have noticed the increased interest among holiday makers for city breaks. There is a chance to make a good investment by purchasing leisure properties in Spanish cities. Budget airlines have created a new market within Spain’s tourist industry by offering cheap flights to numerous cities. Some investors also look to university cities to capture the student lettings market.

Resorts at the Costa Blanca

Although one of the most popular holiday and home ownership destinations for Brits, the Costa Blanca is far from being a replica of the UK’s theme pubs and fish ‘n’ chips type resorts. Expats from various parts of Northern Europe come here, making the Costa Blanca a vibrant, cosmopolitan location for buyers to invest in.

There’s great diversity in the towns and villages along the coast as a result of the cosmopolitan nature of the expats living here. Benidorm may be a little loud with its clubbing and bright lights, but Moraira is sophisticated and chic. Families love Denia and Javea for its lovely beaches and laid-back lifestyle and there are as many different towns both along the coast and running alongside the shore further inland that all buyers should be able to find whatever they are looking for in an investment, leisure or permanent home.

The most established airport is Alicante, but budget airlines now also offer flights to the northern parts of the costa at an airport in Valencia, much improving the accessibility of the region throughout the seasons. Travelling by car is made easy by the Mediterranean motorway stretching for virtually the entire length of the Costa Blanca shoreline and offering plenty of inland connections, too.

Resorts at the Costa del Sol

Among Spain’s costas none is as famous as the Costa del Sol, stretching from the Rock of Gibraltar to Nerja. Its name is a synonym for fun and a climate that has attracted sun seekers from around the world for the last 40 years. Marbella at the Coast of the Sun often presents visitors with the interesting conundrum, if they are still in Spain or have been magically transported to some international resort quite separate from the rest of the globe.

The Costa del Sol has a plethora of attractions to offer to visitors. Gleaming-white facades are peeping out from among the verdant hillsides in villages like Casares and Manilva, two often overlooked points of interest by visitors coming to see the far more touristy resorts along the coast.

The only way to fully appreciate the diversity of culture, style and life at the costas is to go and see for yourself, what the Coast of the Sun is really like.

Investing in the Balearic Islands

Anyone interested in buying property in Spain should head for the islands of Mallorca, Menorca, Formentera and Ibiza, Spain’s erstwhile party capital. Each of the islands has a very distinct feel and look. Mallorca is more stately and regal than the other islands, with the splendid castle residence of King Juan Carlos in Palma and the cultural highlights at the Opera House attracting an international set of bright young things.

Menorca on the other hand offers a much more arid climate with a refreshing breeze preventing the summer heat to become stifling and oppressive. Financially and culturally quite independent, Menorca’s main industries, apart from tourism, revolve around gin and leather goods production.

Ibiza once suffered from a rather negative image of cheap package holidays and all night partying, but a firm municipal hand has changed the island’s image over the last two years. Now Ibiza wants to encourage house buyers in the same way that Mallorca attracts buyers from around the world.

Relaxed, intimate and private are three words that spring to mind when mentioning Formentera. Hiring a bicycle allows tourists to circumnavigate the island in a day. Formentera is a perfect hidey-hole for those wishing to get away and pass the time among picturesque old fincas and appropriately styled new housing developments.

How to Buy in Spain

Before anything happens at all with respect to buying, you’ll need to acquire a fiscal number (numero de identificacion de extranjeros) and it is important to hire an independent solicitor for the purchase, preferably one who can deal with the buying process in both English and Spanish.

Buyers opting to purchase off-plan need to pay a small holding fee and will be required to sign a reservation contract to ensure that the property will be taken off the market for a fixed period of time, which is typically 30 days. This time frame allows your solicitor to make legal enquiries and for a contract of sale to be drawn up (escritura de compraventa). At this point you will be asked to make stage payments, which will coincide with agreed stages in the construction process of the property development. The initial payment will be typically 10% or more of the overall purchase price. This is where it gets serious, since this fee is non-refundable.

If you are purchasing a second-hand home, you are asked to pay a small deposit as soon as the vendor has accepted your offer. The solicitor you have chosen will then make legal checks on the property and when these have been undertaken, you will be asked to sign the contract of sale. The contract must contain the overall purchase price and what this entails, must state the deposit payable (typically this will be around 10%) and when the deposit needs to be paid by. The contract of sale will also state the day that both parties have agreed upon for completion of the sale.

If the contract is breached by you, your deposit will be lost. If the vendor is in breach of the contract, you can expect to be compensated by twice the amount you paid as a deposit.

Upon completion the necessary taxes and a variety of fees will have to be paid. Once these payments have been made, the property is then registered by a notary at the Land Registry.

You should be aware that, when dealing with the authorities, some vendors will try to persuade you to under-declare the value of the second-hand home you are buying. You would then be asked to pay a part of the purchase price in cash to safeguard a reduced price for the property. The vendor is trying to avoid a proportion of the capital gains tax due on the property they are selling to you, and you should note that this is in fact illegal.

With the Spanish government looking to make the property market far more transparent, there has been a crackdown on the various corrupt and illegal practices connected to buying in Spain.

You can be prosecuted for tax avoidance and you can be ordered to pay the capital gains tax on the full amount of the difference between the value declared at the time of completion and when you are ready to sell the property later on. If you are faced with a situation, where the vendor of a second-hand property is asking for clandestine cash payments, it is better to negate on the deal and to walk away as fast as your flip-flops will allow.

The Cost of Buying a Property

Roughly speaking, buying a property in Spain will cost between 10% and 14% in addition to the agreed value of the real estate. This covers the Land Registry, the notary fees, the solicitor and various other taxes and legal fees.

As the buyer you will be required to pay:

  • The legal fees, which are typically between 1% and 2% of the purchase price
  • Stamp duty of around 0.5% to 1% on a new property and Spain’s equivalent of VAT, the IVA at approximately 7%
  • Stamp duty at the rate of 6% to 7%, depending on where your property is situated, for a second-hand home
  • Land Registry fees of around 1% and the notary fee

You should also factor in any service and maintenance charges that are payable in apartment or villa developments. These charges are due for maintaining the communal swimming pools, landscaped gardens and such.

Obtaining Finance via Spanish Institutions

Buyers from the UK have typically two options for financing their purchase of a property in Spain.

Firstly, they can re-mortgage their UK home via their own bank or, secondly, they can apply for a mortgage with a Spanish bank or with a UK lender. The costs for doing so are higher on overseas mortgages and can be as much as 3% to 4% of the overall amount borrowed. Spanish lenders are far more cautious in their approach than the rest of Western Europe and rarely agree to loans that exceed a borrower’s income by more than 35%.

Releasing equity in a UK home is often the better option, especially as re-mortgaging enables the buyer to make a cash offer for the Spanish real estate without having to apply for another mortgage. In the current economic climate this option may only be available to those, who own their UK home outright.

Some UK lenders offer Euro mortgages. These mortgages are tied to the interest rate set by the ECB (European Central Bank). Although at first these mortgages may appear attractive, you should first consider the volatile currency market and what losses you might sustain, if the currency works against you.

It is recommended to take up professional advice, when it comes to dealing in large amounts of foreign currencies and currency mortgages, since the turbulent markets and the complexity of the subject can hold many pitfalls.

Euro mortgages are also far less of an option for self-employed applicants, since most Euro lenders shy away from lending to self-certificated applicants.

Paying Local Taxes

The IBI (impuestosobrebienesinmuebles) is a property tax levied every year by your local municipality, who use the tax to provide a variety of local services. Just like the imputed income tax non-residents pay, this tax is calculated on the rateable value of your home (valorcatastral) and it depends largely on your individual circumstances on how much you will be asked to pay.

Some homeowners are asked to pay as little as £85 (€100) for a cosy little house in the country. Owners of luxury homes in exclusive beachfront residences in resorts like Marbella, however, will be asked to pay tax to the tune of £2,500 (€3,000) or more every year.

Spanish Property Taxation

Three levels of government must be appeased in Spain’s complex taxation system: firstly central government, then the autonomous regional government and lastly local municipalities. How much is payable on a property can be a minefield or guesswork and error, so you should seek professional advice on what is payable for your particular property.

Non-Residents Personal Taxation Issues

Non-residents are asked to pay a flat rate of 24% on income sourced from Spain: meaning income from either a business or rental property and any interest on deposits held with a Spanish bank.

Non-residents who do not receive an income in Spain but own a holiday home that they keep solely for their own personal use are taxed differently and they pay an income tax called imputed income tax. The tax relates back to the rateable value of your home and is calculated accordingly. You may not receive a rental income through your home, but Spanish taxation authorities regard your staying in the home as a benefit to you and therefore you need to be taxed on it.

Spanish assets also attract a wealth tax (patrimonio), which includes tax on property, and capital gains tax applies when you sell your property for a profit.

Various Money Issues

In line with other European countries Spain joined the “Eurozone” in 2002 and swapped the home-grown peseta with the imported Euro. Exchange rates fluctuate but at present 1 Euro equates approximately to 84 pence Sterling.

Although there is no limit on importing and exporting local currency, exporting sums of money exceeding the equivalent of €6,100 per person per trip to any country and in any currency will incur penalties unless you have obtained a declaration by the authorities that you are indeed permitted to do so.

When travelling with travellers’ cheques, it is usually best to opt for Euro travellers’ cheques, as this circumvents additional charges in exchange rate differences. Prepaid currency cards are also a good option and both Thomas Cook and Cash Passport issue such cards. Cashing travellers’ cheques in tourist hot spots and across Spain’s cities should not be a problem.

ATMs are widely available in cities, towns and most larger villages. Finding a Bureaux de Change can be more difficult in rural areas, but poses no difficulty in cities, larger towns and tourist hot spots. Throughout Spain debit and credit cards of nearly all known card providers are accepted.

Various Identification Issues

Visas and Passports

Visitors from EU member states with a valid EU passport do not require a visa for business or leisure trips lasting no longer than 90 days. Visitors from other countries outside the EU zone should check with their relevant embassy in Spain, what the requirements are.

Becoming a Resident

When Spain became a member of the European Union, the only formal requirement for visitors from EU member states was the residency card, when visitors wished to remain in Spain indefinitely. Recently, in line with other EU countries, Spain relaxed the ruling on residency cards for EU expats, although it is still compulsory for expat pensioners to have a residency card, when they begin their retirement in Spain.

People who have independent means and therefore do not work in Spain must firstly prove they can support themselves and secondly, obtain a residency card. This is also the case for non-EU dependants of an EU national, who must also prove that they or their families have sufficient means to support them, before they can acquire residency in Spain.

To complicate matters, there are two different residency cards, the issue of which depends on the length of stay. The temporary residency card is issued to people staying between 90 days and one year maximum in Spain. The residence card proper is valid for stays of a duration of between one and five years. Thereafter, the card can be renewed as required.

Having a residency card, even if you don’t actually fall into a category that requires you to obtain one, is not a bad idea, as it can help with a variety of administrative matters when first becoming a resident.

It is also a good idea to use the services of a gestor, a type of a relocation agent, who specialises in helping new expat residents to find their way through the maze of Spanish bureaucracy. The gestor takes care of all necessary documents, but it is highly recommended to request a written breakdown of all costs before allowing a gestor to deal with matters on your behalf.

Spain’s Economic Situation

Until the worldwide financial crisis set in and the housing bubble burst in 2008, Spain’s economy ranked fifth in Europe and sufficient foreign money from investors drove the economy onwards and upwards. However, since then Spain’s economy, in line with everyone else’s, has undergone transformation and in 2010 the country’s economy actually shrank by 0.1%, when the Spanish government was forced to cut spending in an attempt to deal with the national budget deficit and recession.

The property market was one of the largest casualties and recently the National Statistics Institute published the recorded figures for property transactions in 2010, which showed a 0.4% decline compared to 2009. The oversupply of unsold new housing stock makes Spain at present less of an investment opportunity and more of a change of lifestyle option.

To Summarise

A property purchase in Spain is not to be undertaken lightly, as it is a major decision and can be a life-changing one. To avoid the pitfalls you should:

  • Discuss the matter in detail with your friends and family before deciding anything;
  • Do your homework! Doing research is essential, before you decide on where to become a resident. Visit the region several times during different times of the year.
  • Once you have decided on the area and the type of property you’d most like to buy, sort out your finance. Moving your belongings from Britain to Spain can be expensive and must be factored into the overall cost.
  • Give yourself a break and don’t be rushed into signing anything until you are absolutely certain, you’re ready to do so.
  • If you plan to retire to Spain, it is essential to make sure that your pension can be transferred to a Spanish bank, that you have made a Will (in the UK and in Spain, if you still have assets in the UK) and that you have sufficient health insurance in place.
  • Perhaps most importantly of all, make sure that you have sufficient money to make the move back to the UK, should your new home in Spain not work out the way you hoped it would.

SOURCE: www.buyassociation.co.uk

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Foreign visitor numbers to Spain rise by 7.5%

Posted on March 1st, 2012 in Real Estate in Spain by author

Figures released by the Ministry of Industry, Tourism and Trade confirm that Spain’s popularity with visitors from abroad has risen further still. Spain welcomed some 24.8 million foreign tourists in the first 6 months of 2011, which represents a healthy 7.5% rise compared to the same period last year.

June’s figures were even better with an 8.5% increase compared to the previous year, which means 5.7 million foreign visitors returned to Spain as their preferred holiday destination. The British love affair with Spain continues to grow with a 9.6% increase year-on-year in the first 6 months of 2011.

In fact, the UK provided the greatest number of tourists overall with 1.5 million visiting Spain in June, which was an increase by 80,000 visitors compared to last year’s visitor numbers. As in previous years, the Brits loved the Balearic and Canary Islands best, as well as Andalusia.

The second largest group of foreign visitors came from Germany this year with a respectable 0.9% increase in June. Germans preferred destinations like the Balearic Islands and Catalonia for their holidays.

Holiday Favourites

In fact, the Balearic Islands were the favourite destination for holiday makers in June, welcoming 1.5 million visitors. With 1.4 million visiting Catalonia, the region is in second place, while 800,000 tourists preferred to holiday in Andalusia. The Canary Islands welcomed 660,000 foreign visitors. Valencia managed to provide a holiday home for 535,000 guests.

French tourists have also returned in greater numbers to Spain. In June 760,000 visited Spain, an 8.9% increase to 2010, while overall in the first 6 months of 2011 French tourists accounted for a 4.9% increase on the previous year. This summer Irish visitor numbers rose by 15.1% on the previous summer months and tourist numbers from Switzerland increased by 13.1% for the same period.

Hotels see Occupancy Rates increase

El Pais reported that Spain’s hotels booked in 30.6 million overnight stays this June. According to figures released by the National Statistics Institute this represents a rise of 10.9% compared to the same month last year. The rise in overnight stays was largely due to foreign visitors (up by 18.1%), since Spain’s home-grown tourists reduced their overnight stays by 0.7%. However, in the first half of this year the overall result was 6.9% better than last year.

In June the occupancy rate meant that 58.9% of rooms were taken, that’s an increase of 8.5% on June 2010. The weekend occupancy rate has also increased and is now a respectable 65.6%, representing a year-on-year increase of 6.7%.

Prices held well and only fell by 0.1%, which equates to 0.7 of a point above the June 2010 room rate. The average stay per room works out to 3.5 nights in June per person, representing an increase of 2.3% compared to the same period last year. At an average room rate of €66.40 hotels were able to charge 40 cents more this June than they were able to in 2010.

German and British travellers accounted for 10.9 million overnight bookings in June 2011, which equates to a 20% increase for German visitor numbers and an increase of 8.3% for the British market.

Occupancy rates for French, Italian and Russian visitors staying overnight increased by 26.3%, 24.0% and 72.8% respectively compared to the same period last year.

As stated above, the favourite destination with foreign visitors were still the Balearic Islands. The Balearics experienced a 19.1% increase for rooms occupied by foreign tourists. Catalonia is in second place with a year-on-year increase of 23.3% for occupancy rates. The Canary Islands can hold their own with a 16.4% increase in overnight stays from foreign guests.

Spanish residents preferred Andalusia, Catalonia and Valencia as their holiday destination and here the overnight stays increased by 0.9%, 1.1% and 2.9% respectively for the same period compared to 2010.

SOURCE: http://news.kyero.com

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