French Cerdanya is consolidating itself as a cheap alternative to 'escape' from Barcelona after the pandemic

Living and teleworking in another country two hours from Barcelona? A priori it may seem strange, but today it is not only possible, but since the last two years it is a phenomenon that has been increasing in the French Cerdanya.

Thomas Osborne
Thomas Osborne
13 February 2023 Monday 19:33
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French Cerdanya is consolidating itself as a cheap alternative to 'escape' from Barcelona after the pandemic

Living and teleworking in another country two hours from Barcelona? A priori it may seem strange, but today it is not only possible, but since the last two years it is a phenomenon that has been increasing in the French Cerdanya. This area was already popular with Barcelonans before the pandemic, due to its proximity to the city and the border, but after the covid pandemic, it has established itself as a place of welcome for Barcelonans wanting to adapt to a quieter lifestyle taking advantage of the rise of teleworking.

The figures support it. The Community of Pirynées-Cerdagne Municipalities, an entity that brings together the twenty towns that make up the region, ensures that in the territory there are some 500 first residences whose owners are Spanish, 150 of which -30% of them- established these last two years, and a total of 3,000 second homes, a good part of them also recently acquired. According to this administration located in Sallagosa -about 10 kilometers from Puigcerdà (Girona)-, many of these new residents move to the area attracted by its natural landscapes and by the possibility of enjoying multiple sports activities.

Sources from the same entity indicate that the influx of residents from the other side of the border has allowed economic expansion and the relevance of the region. Cerdanya is a natural region divided into two countries -with the particularity that the Spanish part is also divided into two provinces: Lleida and Girona-. In total it has about 30,000 inhabitants, distributed approximately 60% on the Spanish side and 40% on the French side. In recent years, and thanks also to projects promoted by the EU, cooperation between both sides of the line has improved, the spearhead of which was the creation, in 2014, of a cross-border hospital, managed by the Catalan Generalitat together with French institutions. This and other types of advances have allowed many Barcelonans to decide to go to the other side of the border.

As expected, the Covid-19 pandemic led to a drop in sales in the real estate sector and La Cerdanya was no exception. However, the stoppage was much less harsh than expected and sales have recovered quickly thanks to Spanish buyers looking for affordable alternatives to their desire to obtain a house outside the city, according to a Bourg-based real estate professional. Madam. Specifically, sales of portfolio assets have increased between 20 and 25% since 2021. “Currently, supply is struggling to meet demand and that is very rare. Taking into account our location, close to the mountains and the Spanish border, it is the ideal place for Barcelonans who want to invest in a second or first home”, says this source.

The boom is so important that some developers are even proposing to sell off-plan apartments and houses in the French Cerdanya, as before the 2008 crisis. The examples of Estavar or Angostrina are very clear: housing projects are being built in both municipalities eco-responsible, essentially reserved for people from Barcelona and designed for teleworking.

Although the data is not conclusive, the trend points to greater buying and selling activity on the French side than on the Spanish side, at least since last year. Data from the Cerdanya Regional Council, a supra-municipal entity on the Spanish side, shows that property sales were 40% higher on this side before the pandemic. Covid-19 changed the trend: around 350 sales on the Spanish and French sides per year. While the Spanish part suffered in 2021 an exponential increase of 150% in sales compared to those of the French —mainly due to the fear of suffering restrictions and confinements again—, 2022 was the French year: 16% more were recorded of sales with 521 transactions —253 of them carried out by Spanish buyers— compared to 451 in Spain. The increase in Spanish owners in Alta Cerdanya was 123% compared to figures harvested before the pandemic.

Experts predict that sales on the French side will continue to grow in the coming years due to the increase in urbanization on the Spanish side and its prices.

Why the change? On the one hand, the French Cerdanya is less urbanized than its Spanish counterpart, whose construction of new residences in the last two years has multiplied by seven, accounting for 12 new homes for every thousand inhabitants, 6 times more than the national average. The demand is so important that the offer is adapted with many developers looking for large sites to build luxury residences.

In this way, the Spanish Cerdanya has become a small urban paradise. This means a very expensive standard of living and a growing gentrification: the new generations of the population of the region or seasonal workers cannot assume the rents or mortgages in the area. The increase in prices is the consequence of speculative processes and the proliferation of tourist apartments. The intensive exploitation of the Spanish territories has led many dissatisfied residents to look in other less crowded places, with more peace of mind and with more affordable prices, such as the French Cerdanya.

But there are more advantages. The main one is the construction price and the purchase costs: the price per square meter of developed land is much cheaper than on the Spanish side and this directly affects the final cost of the home. In addition, purchase expenses —powers of attorney, lawyers, taxes…— fluctuate between 8 and 10% in France, while in Spain they reach between 12 and 15% of the sale price. Choosing France instead of Spain is also explained by less financial bureaucracy than in Spain.

Marc, a 50-year-old businessman from Barcelona in the financial sector, is one of the many Barcelonans who wanted to buy a home in Alta Cerdanya after Covid-19 to enjoy with his family during the holidays or even to have the possibility of teleworking. He explains that his choice was motivated by status and by considering France "a world power." In addition, he points out, skiing is much cheaper and more competitive in French territory. “It is a less exploited and more natural territory, less overcrowded than the Spanish Cerdanya”, he concludes.

There are also others who bought before the covid, but whose plans were changed by the pandemic. This is the case of Maria, a 42-year-old woman from Barcelona who bought a home in 2018 to enjoy during the holidays and who, when the pandemic broke out, chose the French Cerdanya as her first option and moved there thanks to the possibility of teleworking. . Currently, she is considering establishing permanent residence, although her main problem now is that her company no longer allows her to work remotely.

Others decided to change their jobs to have the chance to live in France. Javier and Rosa opened their new company through social networks and online consultations. They affirm that "we always had the project of coming to live here, as a goal or dream". They live in a house built in 2019 and initially intended to be their second home, but the pandemic accelerated the process and they were forced to stay due to loss of income. Currently, thanks to the internet, their company works very well and they can now live in France without any problem, although they go down to work one day a week in Barcelona. Javier says that "it was a very thoughtful choice, because leaving Barcelona meant moving away from our family and friends, but I think it was the right decision."