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Price developments housing market Q3-2019

Posted by Annebeth Vis on 23rd October 2019
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Property prices in Spain are still on the rise, as show the indices of various institutions over the third quarter. But growth is decreasing compared to last year. The decrease could be explained by the fact that fewer houses were sold.

House prices are expected to rise by 5.5% this year, but this growth will gradually decline to 3.3% in 2022. Experts expect that the demand will stay strong in the coming years.

An overview of different growth indices (growth compared to 2018):

  • The Ministry of Public Works sets the growth at 3.1% for the second quarter
  • The National Institute of Statistics sets the growth at 5.3% for the second quarter
  • The Spanish Land Registrars’ Association sets growth at 8.3% for the second quarter
  • The Association of Spanish Notaries sets the growth at -1.1% for the month of July
  • Tinsa calculates a growth of 2.8% for the month of August
  • sets the growth in resale prices at 4.2% for the month of September

Local market

As the figures show, prices fall according to data from the Association of Spanish Notaries. Moreover, these figures don’t tell us anything about the various local markets, because the situation can vary enormously per city and region. The housing market is pre-eminently a local affair.

An explanation for the slowdown in growth could be the fact that fewer houses were sold. According to the Association of Spanish Notaries, the decrease was 18.6% in the month of June and 20.8% in the month of July.

Source: Spanish Property Insight


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