02:58 PM · Comments Off on Outlook for property prices in Spain for 2014 · Categories: News from Marbella Costa del Sol · Tags: , ,

There is now more movement in the residential property sector, albeit timidly. Next year 2014 will be a better year than 2013 but still the housing market will remain weak and home sales will stabilize and some even rebound, falling prices will be at a slower rate but mortgage lending will continue to be very low.

The experts predict that the coming year will be not as bad as 2013, expecting property sales to stabilize or even rise, 2014 will not be a recovery of the housing market but nuanced, the experts consulted by us claim that 2014 could be the year in which residential business bottoms out although note that the construction sector will not even get close to rebounding.

One of the great burdens that continues to stop the housing market growing is the high unemployment dragging down the economy and which affects the population mainly between the ages of 20-35 years, which is ultimately the ones who should be able to buy new homes and get on the property ladder, in this sense, recent associated data from the LFS ( epa ) reports in the third quarter 2013 when the number of households decreased by 80,000 families on year, therefore it´s estimated that the creation of homes in Spain is practically non-existent in the next two years, expecting to start growing in 2016.

This figure must be added to the decline suffered by the purchasing power of families with higher taxes and falling wages, another negative is the high stock of homes for sale.

2014

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