Panic selling of Spanish real estate stocks this week sent shudders through property markets worldwide. As investors bet that Spain’s 10-year construction boom is finally over, we take a look at global property hotspots to see who will be the next casualty. Spain For Brits fantasising about sipping sangria while watching the value of their Spanish holiday-home soar, the dream is over. After five years of double-digit growth, house prices rose by a relatively modest 9 per cent in 2006 and are expected to slow dramatically this year. A constant stream of bad news has shaken foreign buyer confidence in Spanish property, while relatively high prices and competition from cheaper destinations such as Morocco and Bulgaria has drained demand. Corruption scandals linked to property deals have been rife – in Marbella, several municipal councillors are in jail awaiting trial for allegedly taking kick-backs. Mark Stucklin, who runs the Spanish Property Insight consultancy, believes house prices in many parts of Spain will stagnate this year, and stagnate or fall next year. ‘I think attractive properties in good areas and on the best developments will hold their value in the short-term, and deliver solid returns in the long-term. […]