According to the latest IMIE Index prepared by real estate appraiser, Tinsa, the price of housing continues to decline, but to a lesser extent. During the third quarter of 2013, the annual adjustment amounted to -9.3% (more than one point lower than the decline registered in the second quarter, which was -10.5%, and nearly three points lower than the first quarter, of -12.1%). Tinsa noted that only the Balearic Islands registered a price increase in this quarter (+0.4%), and stressed that “although it is not very large, it is still significant at the present time”.
La Rioja, Madrid and Castilla-La Mancha were the regions where housing prices dropped most between July and September compared with the same period in 2012, with declines of 17.8%, 14.3% and 12.5%, respectively. In the regions of Galicia, Aragon, Cantabria, Castilla y León, Murcia, Catalonia, Valencia and Andalusia the declines registered were between 10% and 12%.
The regions registering declines more in line with the national average were Asturias (-9.9%) and Extremadura (-8.4%). The smallest drop in value was registered in Navarre, where the decline was only 1.4%, followed by the Canary Islands with a drop of 4.3% and the autonomous city of Melilla, with 6.9%.
La Rioja (-17.8%), Guadalajara (-17.5%), Valencia (-14.5%) and Madrid (-14.3%) are the provinces which cut their price per square metre most, year-on-year, in the third quarter. The most moderate declines were recorded for Navarre (-1.4%), Zamora (-2.3%) and Teruel (-3%).
Since the last quarter of 2007, the period when the maximum housing values were reached, El Mundo reported that the accumulated decline in this indicator has now reached 38.1%, making present values similar to those registered in the last quarter of 2003.
The most pronounced decreases (of over 45%) accumulated since the peak values were reached, were the regions of Castilla-La Mancha (-48.6%), Catalonia (-48.2%), Aragon (-47.4%) and La Rioja (-47.2%). In contrast, Melilla recorded an accumulated decline of only 12.8%, and registering drops in housing values below 30% were: Asturias (-27.2%), the Balearic Islands (-29.1%), Galicia (-29.6%) and Extremadura (-29.7%).
The provinces which registered the biggest accumulated declines since maximum values were reached, were Guadalajara and Toledo (both with cuts of over 50%), followed closely by Zaragoza (-49.9%) and Barcelona (-49.8%).
Article source: Kyero.com