Housing price in Spain continues increasing
According to the Index of Prices (IPV), created by INE (Instituto Nacional de Estadística), the average price of housing in Spain rose by 5.6% year-on-year in the second quarter of the year. This data means that prices have been up 13 consecutive quarters since the second quarter of 2014, establishing a breaking point and leaving behind almost six consecutive years of declines since prices began to fall in the middle of the year 2008.
An interesting figure provided by INE is that by type of housing, the average price of re-sale homes rose 5.8% year-on-year in the second quarter, its second highest since the economic recovery after the first quarter of 2016 (6.4%). On other hand, new homes rebounded by 4.4% year-on-year between April and June. This shows that the re-sale segments still including great opportunities for particulars and investors.
5.6% is the highest recorded figure since the first quarter of 2016, when it reached an amazing rise of 6.3% at the start of that year. Many experts talk openly about the normalization of prices and the start of a new phase in the sector. In any case, it seems that authorities will be controlling the rises as the common opinion is that all the actors of the economy and real estate sector should be conscious about the importance of not repeat the mistakes of the past. So, it seems quite difficult that prices reach the extremely high levels of a decade ago.
Source: INE (Instituto Nacional de Estadística).