Property prices in Spain the lowest level

Monday, 16 December 2013

MADRID – Six years after the collapse of the housing market and the start of the crisis, rising for the first time housing prices slightly on a quarterly basis. On an annual basis prices still fall if they do it at a slower pace.

According to new data from the third quarter published by the statistical office INE. Prices rose in the quarter on average by 0.7% compared to the second quarter of this year. If a distinction between new and second-hand housing prices then rose respectively by 2.3% and 0.1%.

For 11 regions, the figures were positive, especially in the Balearic Islands with a general rise in prices of 2% and the Valencia region with 1.8%. On the other hand, the prices are still falling hardest by 1.3% in Navarra and by 1.2% in Asturias. On an annual basis, the prices continue to fall everywhere but especially in Murcia with 15% and 14% in Extremadura.

Compared to September last year iss a home now 7.9% cheaper. The improvement in this respect is mainly reflected in a less rapid decline in prices.

Preliminary falling prices
Experts suspect that prices will continue to fall until the stock of about 600,000 homes decreases. Generally The fact that banks have tightened their purse strings to keep some providing mortgages, not helping.
According to analysts at Standard & Poor’s, the prices continue to fall until 2016. This year, they provided a decrease of 8% for 2014 is 5% and in 2015 only 1%.

INSpanje.nl/Else Beekman

« back