The acquisition of a property is reserved these days to buyers with cash.

 The acquisition of a property can only be achieved these days by very solvent buyers. According to the last figures of the General Council of Notaries Public, only 29,2% of those acquiring a property in May required financing. A percentage that establishes a historic minimum. Also, the financed percentage on the value of the property is reduced to 75,9%.

The number of mortgages destined to the acquisition of a property registered a fall of 30,3% in May and a reduction in its average amount of 10,1% (down to 105.233 Euros), according to the figures of the notaries. In general, the number of mortgages (113.918) decreased by 27,6% annually and the average amount decreased by 11,8% (107.035 Euros).

A contraction in the financing has its effect in the number of purchases of properties (28659 operations) that returned to the red in May (-1,2%) after the increase in April (+12,8%). Although, as indicated by notaries, there is a softening in the pace of contraction that had accelerated last year.

There is also a very diverse behavior between the new properties (-45%) and the second hand ones (+21,7%). The sale of one family houses registered an annual increase of 3,3%

In reference to prices, they seem to moderate their decrease in May with an annual reduction of 7,9%, down to 1218 Euros per square meter. The adjustment of the first five months of the year is of 12,6% in reference to the same period in 2012 and below the 15,2% registered in the last quarter of 2012.

In the case of flats, the price reached 1345 Euros per square meter, experiencing an adjustment of 8%. Those with free prices showed a reduction of 7,9% in the cost per square meter, down to 1364 Euros – the second hand ones decreased by 9,9% while the new ones increased their prices by 11,2%.

Source: Expansión

37