Luxury Property Prices Rise in Six Autonomous Regions

9/04/2014 – Expansion

The latestreport by Sociedad de Tasación, titled ´The Real Estate Sector Tendencies´ reveals that the top-end dwelling prices have climbed in six autonomous communities. In detail, the appreciation marked 9.1% in the Basque Country (compared to the same period a year before), 7.4% in Murcia, 4.8% in Castille and Leon, 4.1% in Castille-La Mancha, 3.1% in Galicia and 0.1% in Andalusia.

Looking closely at particular cities, one may observe that prices go up in Seville (+3%) and Barcelona (+0.5%), while in cities of more than 500.000 residents the price per square meter tapered down by 23.1%. Now, this tendency turned and the slump screeched to 2.7% in year-on-year terms.

 The report does not indicate any significant difference in price slump in the whole of the country that in general terms shows a 6.3% decline (juxtaposed with the 8.7% drop-off registered in the last quarter of 2013), whereas the overall depression accumulated since the recession outburst reaches 47.1%. (…).

The Expectations Index advanced by 30.6 bps (above 100) in the last quarter of 2012 up to 38.1 in the second quarter of this year. Compared to the first quarter, the rate rose by 1.8 bps (from 36.3).

The positive figures impact the current economic situation in the country (…) and several regions, such as La Rioja, the Valencian Community and the Balearic Islands already appreciate on average by 40 bps. On the other hand, the inflated number of unsellable houses starts to distress. The Valencian Community is the worst affected by them of all but it has decreased their number by 53.9 bps. (…).

 

 

Original article: Expansión (by P. Cerezal)

Translation: AURA REE

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