Mon. Feb 24th, 2020

The sale of homes falls in Spain after five years of increases

The buy and sell from households fell 3.3% in 2019 compared to the previous year, up to 501,085 operations, due to the decline in operations on housing of second hand, since those made with new homes They increased 1.2%, as reported on Wednesday by the National Institute of Statistics (INE).

With this annual fall, the sale of homes breaks with five years of consecutive increases after it rose 2% in 2014, 11.5% in 2015, 14% in 2016, 15.4% in 2017 and 10 , 8% in 2018. In the crisis period, the worst years for housing transactions were 2009 and 2008, in which these operations collapsed 25.1% and 28.8%, respectively.

If the focus is set in December, the sale increased 1.8% year-on-year, to 34,767 units.


Second-hand floors fall 4.2%

The setback of home buying and selling In 2019, there is a contraction in second-hand apartments, which fell 4.2%, to 408,241 transactions. In contrast, operations on new homes increased 1.2% last year, to 92,844, which has already accumulated three consecutive years of progress. However, that of 2019 has been the most moderate growth in that period.

“This result is striking not only because it fell for the first time after five years of upward evolution, but because the last four years the growth rate was over 10%,” says Ferran Font, director of Floor Studies .com. The expert points between the factors the enforcement of mortgage law and “others such as the economic slowdown, the political situation in Spain or Brexit have clearly affected a sector that needs stability.”

Posters for rent and sales of apartments in a block of Madrid

Posters for rent and sales of apartments in a block of Madrid
(Dani Duch)

90.5% of the homes transmitted by sale during the past year were free homes and 9.5% were protected. In total, the sale of free homes decreased 3.1% in 2019, to 453,572 operations, while the sale of protected homes decreased 4.9%, to 47,513 transactions.

In 2019, the largest number of home sales for every 100,000 inhabitants occurred in Comunidad Valenciana (1,890), Andalucía (1,511) and La Rioja (1,503). In absolute terms, Andalusia was the region that carried out the most operations, with 100,339, followed by Catalunya (79,751), Comunidad Valenciana (74,910) and Madrid (70,835). On the opposite side are La Rioja (3,712), Navarra (5,508 operations) and Cantabria (6,263).

For the head of studies of idealist, Fernando Encinar, 2019 was worse than expected twelve months ago, although “it does not seem that the fall was as strong as expected this summer.” He also notes that double-digit growth is already a “thing of the past.”

2.4% in Catalonia

Falls are widespread among the autonomies

In relative values, the sale of homes rose in six communities and fell in eleven. The regions where these operations increased the most were Castilla-La Mancha (+ 7.5%), Extremadura (+ 5.7%) and La Rioja (+ 3.1%), while the largest setbacks occurred in the Canary Islands ( -14%), Balearic Islands (-10.9%) and Navarra (-9.7%). In Catalonia it fell 2.4% and in Madrid 7.5%.

The director of training and studies at Fotocasa, Ismael Kardoudi, emphasizes on his part that the new work “may have a long way in the coming years.”

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