Spanish Property Rise Larger Than Thought

Overseas property investors will be interested to know that the rise in Spanish property last year may be larger than previously reported, increasing the strength of the recovery.

Recent data from property evaluation company Tinsa has reported a modest 0.9 per cent rise on average for Spanish property in 2016

However, the latest figures from the property registrars in their bulletin for the fourth quarter of 2016 shows a far healthier rise in both sales and prices.

The bulletin confirmed a total of 403,743 Spanish residential property sales in 2016. This is the highest figure since 2011, offering further proof that the Spanish property recovery is moving full speed ahead.

In fact the level of property sales seems to be gathering momentum, as sales increased during the fourth quarter in 14 of the 17 Spanish regions.

The popular Balearic Islands were confirmed to be leading the way with sales up by a massive 30 per cent, followed by Barcelona district Catalunya up 21.1 per cent.

The bulletin found prices to have risen more than previously thought as well. The figures show that the average square metre price of Spanish residential property price rose by 5.67 per cent over 2016. A huge leap from the previously reported 0.9 per cent.

The market was dominated by resale properties with transactions for these up 18.5 per cent. New build sales dropped slightly 3.2 per cent, which may well indicate the beginning of a shortage in new builds available. This should lead to a much needed boost in construction for Spanish builders and developers.

All in all it appears to be further evidence of increasing strength in the residential property market in Spain, so now may be the time to get in while it is still affordable to get that investment property or place in the sun that you were looking for.