Specifically, the ratings agency forecasts that house prices will rise by no more than 4.2% in 2020, i.e. by 0.3% less than in 2019, and that the increase in 2021 will amount to 3.6%. The agency bases its predictions on the fact that the cycle is reaching its peak in the European market, and also that people are facing difficulties accessing housing in Spain after the price increases of recent years.
According to figures from Solvia in its III Solvia Market View Report 2019, a slight decrease in prices was reported during the third quarter of last year with house prices growing by 1% compared to 3 months earlier to reach an average of €1,580 per square metre.
Translation/Summary: Carmel Drake