While Solvilla, and the Marbella property market in general, can look back upon a very successful 2021, as we enter a new year it is natural to project our thoughts to the future and question what lies ahead.
Just as 2021 was shaped by the events of 2020, so the same applies to 2022. On a macroeconomic level, the pandemic lockdowns and travel restrictions that befell much of 2020 led to a paralysis of movement and therefore economic activity for extended parts of the year. The result was an economic contraction of historic proportions – 12,5% in Spain - and for once it wasn’t caused by financial or economic conditions.
As the situation improved gradually over 2021 we entered a period of strong economic recovery, partly the product of pent-up demand being released, and partly due to the accelerated evolution of tech-based development. In Spain, the economy recuperated approximately half of what it had lost in the previous year, and it’s forecast to do the same in 2022 – and while this means we will only be back at 2020 levels by early 2023, this does mean higher than usual growth rates of around 6,5%.