An over-supply of new-build Spanish property has resulted in bargain prices for people seeking the perfect holiday investment, it has been claimed.

A backlog of over one million homes are available in some of the country’s most popular regions, including brand new Spanish property in the Alicante area of the Costa Blanca, Valencia and Malaga on the Costa del Sol, kyero.com reports.

Rhona Hutchinson of Integrated Relocation Spain tells the website: "Refine the search to established developments that are mature and run well.

"Prices may be 30 per cent to 40 per cent lower than last year, and further negotiation is possible."

Further locations recommended for those seeking Spanish property at knock-down prices include famous party city Barcelona and Mallorca for those seeking a taste of island living, according to the website.

Paul Bradley, spokesman for the Spanish Property Owners Guild, recently advised second-home hunters that falling prices in the country will not last long, making now the perfect time to invest in a Spanish property.

Visit Rightmove Overseas for the best selection of Spanish property. Stop dreaming, start searching!