The price of housing in Spain has experienced in recent years an “important recovery” to reach 83% of its maximum value prior to the crisis, according to the latest publication of the real estate market edited by Funcas.
The study analyzes the data of the sector until the third quarter of 2019 and highlights the “important territorial differences” in terms of the recovery of housing prices.
Thus, he details that there are still 22 provinces where the price is still less than 65% of the maximum pre-crisis, while in 9 provinces the price has behaved above that 83%, which is the average for all of Spain.
Prices already reach the maximum levels of 2008 in the Balearic Islands, while in the province of Malaga they are 90%.
Madrid, Lugo and Santa Cruz de Tenerife have “high recoveries” of the price of housing, around 86%.
In Barcelona, the price recovery reaches only 75%, the study points out, which emphasizes that the population and employment are currently the “determining” factors in the price of housing.
As with prices and according to the publication, transactions have been recovered but to a lesser extent, to be still far from pre-crisis levels.
In Spain as a whole, the number of sales has risen to 62% of the maximum level of 2006, although in Madrid, the Balearic Islands and Malaga the recovery has been above average.
There are still more than 400,000 homes in stock for sale in Spain, the study said.
He adds that the sales made in recent years have been mainly used homes.
From 2014 to 2018, only one in ten homes purchased was new construction, compared to four in the years before the crisis.