It's a familiar scene: a young couple stroll arm in arm down the high street and pause to browse in the estate agent's window. They are about to make what is likely to be one of the biggest purchases of their lives – their first house. Except this is no ordinary British street, it's a property in Spain on a sun-drenched avenida on the Costa del Sol.

The changing face of the real estate market is fairly recent, and very likely coincides with rising property prices in the UK that have put many first-time buyers off. It probably also has something to do with the fact that young buyers are less intimidated by the property market in general and buying a property in Spain seems about as easy as putting a deposit down on that semi in Basingstoke.

Craig Stocks of Eden Villas has noticed the trend of first-time and younger buyers setting their sights on property in Spain. He says, "The people buying now are younger and more investment focused than they were. Buyers are more independent, know what they are looking for and are more worldly."

He adds, "Five years ago it was early retirees in their 50s and 60s wanting property in Spain, and although this is a strong market, it has been added to substantially by those looking for long-term commitment with capital growth and regular income."

According to the Council of Mortgage Lenders, the percentage of house purchase loans taken out by first-time buyers in the UK has fallen significantly in the last five years. In 2003, only 29 per cent of loans for house purchase represented first-time buyers, compared to 47 per cent in 1999.

But caution should be exercised by new buyers. With some coastal areas seeing a levelling out in property prices, any profit from a property in Spain will have to be reaped over the long-term, as opposed to the quick investment opportunities offered in the past. The markets are stable, however, and the area you choose to settle can drastically affect the returns you can expect on your property in Spain.

Weighing up familiar, established areas like the Costa del Sol against newer, riskier but potentially more profitable unknown areas inland is also necessary to avoid buying into a market for the wrong reasons.

Eden Villas, for example, are currently selling two- and three-bedroom townhouses on the well-known Costa Almeria, like the Calas del Pinar development in San Juan de los Terreros, for around 200,000 euros. Alternatively, it is possible to buy three-bedroom, two-bathroom apartments on the Vereda Golf resort on the Cuevas de Almanzora, for around 280,000 euros.

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Read other articles about Spain:
Why buy property in Murcia?
Check out Almeria in undiscovered Spain
Property bargains in the Spanish Costas

Article published on 14 August 2006