Notaries: 48,695 Homes Were Sold In March, Up By 19.5% YoY

23 May 2017 –

According to the notaries, March was a great month for the real estate sector. Despite the scare in February, sales of flats and houses rose by 19.5% in March, to reach 48,695 operations. But, since it can’t be all good news, it is worth noting the statistics published by the General Council of Notaries last Monday, which reveal that the average price of operations decreased by 1.3%.

Our analysis of the data published by the notaries shows that by type of home, flat sales recorded a YoY rise of 20.5% and sales of private (unsubsidised) properties rose by 21.9%. But, as has been happening for years, this increase in the number of private flat transactions was due, exclusively, to an increase in sales of second-hand flats, which rose by 26%, given that sales of new build homes continued their downwards trend, decreasing by 11.5%. Meanwhile, sales of houses and chalets saw a YoY increase of 15.6%.

If we look at the prices achieved, we see that the average price per square metre of the homes purchased in March stood at €1,277, which represents a decrease of 1.3% with respect to the same month last year. According to the notaries’ statistics, the decrease in the price per square metre of homes is due to a reduction in the price per square metre of houses and chalets (-6.2%), given that the price of flats did not vary in March.

Meanwhile, there was a slight increase in the average price per square metre of private (unsubsidised) flats, which rose by 0.3%, split between an increase of 0.8% in the price of second-hand flats and a decrease of -0.6% in the price of new build homes.

The sale of other types of properties saw 11,753 operations closed, which represents an increase of 15.2% compared to the same month last year. 39.7% of those transactions corresponded to plots of land. And despite the rumours of an increase in the price of land, that trend must be happening in specific areas only, given that the average price per square metre amounted to €155, representing a decrease of 10.4% YoY.

Finally, if we look at mortgages, during the month of March, they experienced YoY growth of 5.1%, to reach 32,070 operations, for an average amount of €156,229, in other words, a decrease of 3.4%. Meanwhile, mortgage loans granted for the acquisition of a property increased by 16.8% YoY, to a total of 23,542 contracts. Other mortgages included those used to build a home or to finance business activities.

Original story:

Translation: Carmel Drake