The price of new used homes in Spain have risen by 3.7% year-on-year in November according to leading real estate valuation company TINSA.
The Balearic and Canary Islands registered the biggest rise with prices up 11.3% compared to the same time last year.
In other parts of the country, the average price of homes in regional capitals saw an increase of 4.6% with bigger cities seeing a rise of 2.5% respectively over the past 12 months.
Coastal property prices experienced only a small increase in prices, just 0.3% higher year-on-year.
When compared to the data published at the end of 2018, average prices across Spain have one up by 2.4% on average. Only the Spanish Islands, regional capitals and large cities saw above average increases with prices rising 6.2% and 3.6% respectively.
The increase now means that since the financial crisis and the lowest point of 2015, prices in the country have grown by an average of 16.8%.
The Balearic and Canary Islands have seen an increase of 29.1%, regional capitals and big cities 26.8%, Mediterranean coast 15.8% and metropolitan areas 13.6%. Other areas recorded a smaller rise of around 5.5%.
However, prices have a long way to go before they surpass the decline of 33% since the property market highs of 2007.
The report also indicates as to what may determine future house price movements in the country. These include the current Euribor interest rate of -0.272%, a sharp drop of 11.2% in the number of house sales in September 2019, a 1.68% reduction in unemployment figures and a 30.7% decrease in the number of mortgages issued.
You can read the latest report from TINSA here https://www.tinsa.es/servicio-de-estudios/imie/general/noviembre-2019/
Image courtesy of TINSA
January 17, 2020