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”.
According to the latest IMIE Index house price decline is slowing
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
