Spanish Property Prices Increase

02:48 PM · Comments Off on Spanish Property Prices Increase · Categories: News · Tags: , , , ,

Property prices across Spain have increase during the first two months of the year by 2.7%.

The increase comes after a climb in prices through Q4 of 2015 and the property market has a positive outcome for 2016.

In the first few months of 2015 prices fell to their lowest level since the end of the crisis so the recent increase is being hailed as the end of the recovery and the beginning of an upward trend.

Prices increase across Spain and especially on the Costa del Sol where the increase was 6.1%.

Despite the increases prices are still some way below pre-crisis levels. Prices on the Mediterranean Coast are still 48.1% lower than pre-2007. In Metropolitan Areas the difference is -44.7%.

Across the board increases are good news for property owners but not so for buyers. There is also an ever-growing gap between prices around the country with Northern Spain continuing to be the most expensive area to buy property in Spain.

Property Purchases

Take for example a property of 80m². The Spanish average is 131,040 Euros. In the Northern town of San Sebastian you would be looking at 328,000 Euros, a massive 150.37% above the national average.

In Barcelona the cost for a similar apartment is more than double the cost of the average with an average price of 269,520 Euros. In Bilbao, also on the Northern Coast, the average price of an 80m² apartment is 241,360 Euros which, while considerably lower than San Sebastian and Barcelona, is still 84.19% above average for Spain.

The lowest prices are to be found in Jaen and Lleida where the same property will see you paying a paltry 89,600 Euros and 91,440 Euros respectively.

Rental Costs

The North is also the most expensive when looking at rental costs. Again, based on a rental property of 80m² the national average is 561.60 Euros per month. Once again, move North and you will see highewr costs. Barcelona records the highest prices and you should expect to pay 970.40 Euros per month, 72.79% above average. Back in San Sebastian and you will need to pay 940 Euros per month, 67.38% above average.

The cheapest towns in Spain for rental properties are Lugo and Ourence. There you should expect to pay around 332 Euros and 351.2 Euros respectively.

Spain leads fall in new housing prices

11:15 AM · Comments Off on Spain leads fall in new housing prices · Categories: News from Marbella Costa del Sol · Tags: , , ,

Although the price of housing in Spain has reduced its rate of decline, the fact is that Spain continues to lead the global slump, according to the global property guide the value of homes in Spain fell 9.46 % in the third quarter of 2013 compared to the same period last year. This figure is the largest decline in major real estate markets in the world.

Spain wins gold again by having the sharpest drop in housing prices worldwide, specifically country houses depreciated 9.46% between July and September last year compared with the same period in 2012.

According to figures from the global property guide specializing in the analysis of real estate portals worldwide web, Spain is again the country where the housing market showed the worse performance, ahead of others like Greece ( -8.85 %), Russia ( -8.18 %) and Romania ( -7.15 %).

Even countries that have suffered catastrophes show a significant change in trend, this is the example of Ireland where house prices rose 3.45% in the third quarter of 2013.

In particular if one looks at the rate of federal management agency housing ( FHA ) the price of U.S. houses rose by 6.72 % over that period, while the S&P/Case-Shiller home price Indices showed a rise of 9.43%.

Dubai is leading in price rises

Dubai ‘s residential market is the opposite of the Spanish, here the housing prices climbed 21.37 % between June and September last, year on year. The Dubai government has announced it is studying measures to curb property speculation and prevent it from another property bubble occurring again.

In general terms the housing sector worldwide is moving at very different speeds, although house prices rose in the third quarter of 2013 in 28 of the 41 countries surveyed by the global property guide, for many of them the value of the property is already moving in levels seen back in 2006-2007

On the other hand it was recorded that the 32 best-performing housing markets were between July and September last year over the same period of 2012 and only nine worsened.

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Figures supplied by the Global Property Guide (c)

Outlook for property prices in Spain for 2014

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

Property prices in Spain to stabilise in 2014 according to the CCI

01:25 PM · Comments Off on Property prices in Spain to stabilise in 2014 according to the CCI · Categories: News from Marbella Costa del Sol · Tags: , , , ,

The understanding that the housing sector is actually approaching the bottom of its correction is definitely increasing in popularity. In accordance with the Consumer Confidence Indicator (CCI) for November, made by the Centre for Sociological Research, 46.4% of the people that were surveyed believe that property selling prices will probably stabilise within the the coming year.

That is almost 10 percentage points more than that recorded last year when, in December 2012, just 37.1% had been of the viewpoint regarding real estate selling prices. Furthermore, during that time, up to 52.7% of the people asked anticipated even more declines in the price of properties, even though at present only 36.6% are convinced this kind of decline in selling prices will keep going. 7.4% even foresee that selling prices will rise, that is 2.5 points more than in 2012.

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Spanish house prices could be nearing the end of their fall

This kind of overall feeling that real estate prices might be approaching the end of the drop coincides with a few statistics from recent weeks. On the other hand, the Ministry of Development documented that throughout the third quarter of 2013, properties reported their lowest decrease since 2010 – even progressing to being higher in price in a number of areas – the Notaries are now starting to speak of increases in real estate prices.

With all this probable outlook, the need to buy a property is starting to increase, although very slightly. El Mundo documented that, based on the November Consumer Confidence Indicator, 3.8% of participants advised they “intend to purchase a residence within the next 12 months”, that is a substantial improvement throughout the last month of 2012, while merely 2.1% said they might possibly be prepared to take that step.

Deutsche bank says property prices in Spain in 2014 will have hit lowest levels

12:10 PM · Comments Off on Deutsche bank says property prices in Spain in 2014 will have hit lowest levels · Categories: Marbella apartments, News from Marbella Costa del Sol · Tags: , ,

The fall of the housing market could touch down in 2014 if the Spanish economy continues to recover writes the German bank Deutsche Bank, in 2014 we will see an end to declines in both Spain and in Holland, this review adds to the BBVA and Goldman Sachs conclusion, they estimate that housing prices will further drop.

The number of experts who foresee the end of the adjustment of housing in Spain in the coming months is increasing, from the BBVA Javier Sainz, director of the developer of the bank Anida, he said in an interview recently that ” the price of home sales that are closing is the lowest we’ll see “, the reasons given were the reforms that have been made in Spain in recent years. For its part the bank Goldman Sachs in its latest report asserted that the stabilization of the unemployment rate in Spain would suggest that the bottoming out of the price of housing is close.

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Deutsche bank says prices in Spain have bottomed out

But not everyone is so optimistic, for example the U.S. bank Morgan Stanley said in its latest report on Spain that housing should drop by a further 30% to match families income, his conclusion is that the bursting of the housing bubble will still carry on.

Deutsche Bank catalogues Spain in the group of countries with a weak economy and falling house prices, included in this group is Holland, Ireland and Greece, according to the report drawn up on the housing markets in major countries of the eurozone, in recent years housing prices in these four countries have fallen and have become more affordable again, ie affordability ratios have fallen.

The price of housing in Spain rose 1% in third quarter

11:55 AM · Comments Off on The price of housing in Spain rose 1% in third quarter · Categories: News from Marbella Costa del Sol · Tags: , , ,

The price of housing goes up for the first time in five years, between July and September the average house price rose almost 1%, according to the Association of Registrars, while over the same period last year, prices fell 5.35%. Registrars data suggest that the coming quarters will show whether this incipient ” turnaround ” is fact or merely a temporary situation.

The average house price rose 0.91 % in the third quarter compared to the previous three months, which is the first quarterly increase in five years, according to the statistical property of the College Registrar.

The report finds that the prices of apartments may have touched a minimum and be showing ” a turnaround. ”

For the third quarter of this year, the average cost of buying a flat resulted in a drop of 5.35% compared to the same period in 2012, ” a much milder decline than that achieved in previous quarters, where we saw annual double-digit declines “, says the study.

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Property prices in Spain are 1% up in the last quarter

The slight upturn in prices recorded after they have contracted by 31.07% from the highs that were reached in the upward cycle, before the crisis, which has led to today are placed in ” mid- levels seen around 2003. ”

However, registrars estimate that ” it seems clear that something is changing in the pricing of housing. ”

Also the institution estimates that ” a positive sign of quarterly results, despite its small claims, is undoubtedly an additional sign to indicate that possibly the current housing prices, on average, are close to their lowest levels. ”

Increased demand from foreign buyers

Regarding the reasons for this eventual turnaround in the price, the report points to increased housing demand by foreigners, but in any case its deemed ” insufficient to justify a price recovery. ”

However, registrars estimate that the current economic situation does not seem to have ” sufficient strength to create change “, and that the demand for housing ” has not yet recovered. ”

” Possibly the current price levels may already be proving attractive to those with purchasing power, leading to a slowdown in the intensity of price adjustment, being able to even slightly overall increases quarterly, ” argues the College Registrar. ”

As for sales data, statistical records reveal that foreigners were responsible for 12.16% of the total 76,818 transactions recorded between the months of July and September property transactions.

This figure, although yields an increase of 2.06 % compared to a year earlier, shows a decrease of 2.76 % from the previous quarter and is the second lowest quarterly volume purchases of the last nine years.

Of the total volume of transactions, more than half ( 55.3 %) were resale properties and new homes 44.6%, while the latter experienced an increase of 4.35% from the previous quarter.

As for foreign demand, the British maintained the first position with 14.75% of the total, followed by French (11.45% ), Russians ( 9.35% ), Belgium (7.25 %), German ( 6.94% ), Sweden ( 5.87% ), Norway (5.15 %) and Italian (3.64 %).

Marbella is weathering the storm better than than the rest of Spain

01:34 PM · Comments Off on Marbella is weathering the storm better than than the rest of Spain · Categories: News from Marbella Costa del Sol · Tags: , , ,

Not one, not two …but Spain takes four quarters to lead the ranking of declines in housing prices in the euro zone.

From the second half of 2012 has caught the national brick over from Ireland in the fall, one of the victims of the housing boom, to star in the biggest slump in house prices in all euro countries last year ( -13.7 %).

Spain is having difficulty digesting the adjustment housing prices more than other countries in the euro zone, in the last twelve months the country has led in the declines in the value of homes on-year, only once during this period Spain was relegated, however little to second place, this occurred in the fourth quarter of last year when the price of houses in Greece fell by 13% compared to 12.8 % in Spain.

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The leadership of the Spanish residential market in lower prices in the euro area occurs after the falling value of homes in Ireland has moderated, the so -called Celtic Tiger was in the first half of 2012 the country  with the biggest fall in the price of housing, in particular it fell 17.2% in the first quarter and 15.4 % in the second last.

In those months the value of houses in Spain depreciated by 12.6% and 14.4 %, respectively, however unlike the Irish case, in Spain fall rates have not been moderate but have even increased, for example between July and September 2012 , this figure fell by 15.2 %.

Marbella property prices (Malaga)

Marbella seems to be weathering the storm better than than the rest of Spain with its micro-climate where property prices have fell over the last few years, could it be the right time to start looking for that place in the sun?

Average house prices – Marbella
Q1 Q2 Q3 Q4
2005 No data No data € 572K € 570K
2006 € 530K € 535K € 541K € 578K
2007 € 545K € 510K € 512K € 513K
2008 € 562K € 603K € 675K € 653K
2009 € 653K € 676K € 688K € 688K
2010 € 696K € 658K € 654K € 673K
2011 € 654K € 639K € 650K € 648K
2012 € 650K € 635K € 598K € 608K
2013 € 637K € 596K € 613K No data

BBVA Bank announce the property prices in Spain now are the lowest we will see

12:51 PM · Comments Off on BBVA Bank announce the property prices in Spain now are the lowest we will see · Categories: News from Marbella Costa del Sol · Tags: , ,

The property arm of BBVA bank Anida has become the developer of the moment, in the past two years it has completed more than 3,000 housing units and by the end of 2014 will have provided over 5,000. In an interview Xavier Sainz, the director of Anida, says the housing market has bottomed and that “what we see coming from now on is the start to a slow recovery in prices and demand “.

Question : How do you see the real estate sector currently? And what about prices?

Answer : I see real estate sector having starting a strong recovery since the beginning of 2013 and especially before summer there has been a feeling that we have bottomed out and that starting from now it will not go further downwards, but stabilize and we will see a start of a slow recovery in prices and also in demand.

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BBVA Banks property arm Anida says prices in Spain have bottomed out

Question : So what factors lead him to believe that the market is recovering?

Answer : Mainly from all the reforms that have been made in Spain in recent years, these have now begun to have the desired effect, there is a great demand both from foreign and the domestic market, having liquidity available to start investing for both home ownership and as an investment and the thinking is that the time to invest is now because we will not see a lot more price decreases as has happened in recent years.

Question : How do you think things will evolve for housing prices for the remainder of the year and in 2014?

Answer : There are areas with higher demand that are already producing a recovery of the prices and also we are seeing prices starting to climb month to month in general. Estimates that the prices have bottomed out, what we are seeing is that the price of sales transactions currently being closed is the lowest that we will see and from now on a plateau and then a recovery closely linked to the arrival of foreign investment and also the slowdown in job losses will follow.

Question : What factors have pushed you to build housing developments ?

Answer : Clearly demand  in areas where we see an unmet demand for housing, that is where we invest. In the last two years we have completed more than 3,000 homes a year and from now until the end of 2014 we will sell more than 5,000 newly built houses.

Question : What is the type of houses being sold?

Answer : We are committed to build a home that has better value than the rest, that is what is helping us to sell, when in areas where housing is needed and where the property is located in an area of demand and at the right price. We have housing at all levels and for all tastes, what are most in demand are homes with 3 bedrooms.

Question : What do you think about renting property?

Answer : Renting is a way to meet the housing needs of any citizen and the decision between buying and selling is influenced by the current interest rates, the prospect of appreciation in housing and labour geographical mobility buyer / tenant. BBVA does also have rental housing developments available.

Have property prices in Marbella stabilized?

02:13 PM · Comments Off on Have property prices in Marbella stabilized? · Categories: News from Marbella Costa del Sol · Tags: , ,

After a price drop of up to 40% since the start of the crisis, the housing market could begin to stabilise and even rebound, with the arrival of international investors keen to buy property in Spain, according to information provided by the private wealth management Inverbanca, the company said, “this is the beginning of a slow economic recovery and on a European level and in particular on a Spanish level” which could mark the turning point that would start the new path to higher priced housing.

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Have property prices stabilized in Marbella?

Inverbanca data points out that although in many areas of Spain the value of the property is falling there are places where the price per square meter has stabilized, as is the case of Marbella on the Costa del Sol, with a price of 5,250 euros per square metre, in fact in some of these areas prices have even begun to rise slowly, as in Burgos and Soria with increases of 4.1% and 5%, respectively.

In addition, the company added that in recent months it has seen an increase of foreign investors interested in investing in equity income, ” which predicts an improvement for the Spanish real estate sector and gradually begins to see signs of appreciation in the housing market in certain areas”

 

House Prices Decline Moderates

05:38 PM · Comments Off on House Prices Decline Moderates · Categories: News from Marbella Costa del Sol · Tags: , , ,

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 moderates

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