According to the latest market reports, the property market in Spain continues to show signs of steady and gradual growth. The Spanish property market has now expanded in every quarter over the last four consecutive years, and not only continues to show signs of steady and gradual growth, but evidence that it is also gaining momentum at a sustainable rate.
Aided by significant international demand, affordable prices, a rise in support from a variety of financial institutions and a flourishing construction industry, statistics from the last quarter reveals an opportune moment to invest in Spanish property today.
Here is a breakdown of the latest statistics and trends:
Expanding Spanish Economy
Spain’s economy grew by 0.9% in the second quarter of 2017, surpassing its pre-crash peak and exceeding most of its European counterparts. The Spanish government also forecasts a 3% growth in the economy by the end of 2017.
Rising Property Prices
The median asking price in Spain has now reached €230,000, according to Kyero’s June 2017 data, representing a year on year growth of 3.3%.
“Spanish property’s affordability is at its most appealing in 2017, as bottomed-out prices mean that capital growth is possible for investors,” commented.
Regional variations are still very noticeable, with prices being pushed up by demand for property in urban areas such as Madrid and Barcelona and coastal regions like Andalucia. Madrid, Andalucia, Cataluña, the Balearic Islands and the Canaries all reported property price increases of over 2%.
The average property price increase for regional capitals is 4.2 % – above the general average – and 2.4 % for properties near to the Mediterranean coastline. Prices also vary from area to area within regions. Prices in Mijas Costa shot up by 21.6% and Benahavis is currently enjoying an asking price increase of 23.6%.
Spanish property price data from valuation firm Tinsa reveals that the average selling price in June this year was 2.3% higher than in the same month last year, representing the tenth month of continuous house price increases.
Spanish bank, BBVA expects an average national price rise of 3% by the end of 2017, stating in their latest report that 2017’s typical price-per-square-metre will reach €1,570.