Spanish property sales fall 1.1% in February year-on-year

MADRID: The number of properties sold in Spain in February dropped 1.1% year-on-year and 5% compared to the previous month, the National Statistics Institute said on Monday.


In last data to be collected before native transmissions of the coronavirus hit Spain, the residential sector fared worse month-on-month, down 6%, though year-on-year it gained 0.1%.



Spain's property market has had a rollercoaster two decades, with a slow but steady recovery in the past eight years as it emerged from a near six-year recession provoked by the explosion of a real estate bubble in 2007.


The autonomous regions of Catalonia and Madrid, both real estate powerhouses, saw their property sales stumble 4.4% and 3.2% respectively year-on-year for February.


The two regions registering the steepest annual drop in property sales for the month were La Rioja at 36.4% and the Basque Country at 20.7%.


However, sales ballooned between 8% and 12.7% year-on-year in the Balearic Islands, Andalucia, and Aragon.


The nationwide rate of property transfers, for its part, slackened by 1.1% compared to the same month last year, representing a compound annual fall of 2.9%.


Meanwhile, Madrid and Catalonia saw property transfer rates tumble 8.2% and 6.2% respectively relative to February 2019.


"A great deal of (real estate) transactions were paralysed during 2019 due to the introduction of the Mortgage Law," said Ismael Kardoudi, research director at property portal Fotocasa, referring to a 2019 law which imposed more stringent controls on lenders and the mortgage process.


"The February data shows we have left this law's consequences behind us."


Spain's GDP could suffer a hit of 4.7% in the first quarter of 2020, theBank of Spain said on Monday. Real estate represents one tenth of GDP, according to the statistics body.


Source: https://realty.economictimes.indiatimes.com/news/industry/spanish-property-sales-fall-1-1-in-february-year-on-year/75289057

April 22, 2020

8 views
Mindcept-Logo.png

© MINDCEPT CONSULTING

  • Black LinkedIn Icon

DISCLAIMER: The information contained in this website is offered for illustration purposes only and is general information. We make no representations or warranties of any kind (express or implied) with respect to the information, products, services, statements, figures, calculations, plans, images, logos, related graphics and are purely indicative in nature only. Whilst all reasonable care has been taking in providing all information, however, We or / and our related companies or/ and our representatives, consultants or / and our agents accept no responsibility for its completeness, accuracy, reliability, suitability or availability of any information contained herein for any action taken in reliance thereon by any party. Any reliance on information as contained in this website does not constitute an offer, inducement, representation, warranty or contract and may be relied upon at one’s risk and consequences.