Spanish property prices at ten-year high

Spanish property prices rose more in 2018 than they did at any time in the last ten years, new figure show.

According to figures from real estate research firm Fotocasa.es, the average Spanish property price rose by 7.8 per cent last year – up from the 5.1 per cent jump recorded in 2017. This is the highest annual jump since the Spanish property market crashed so spectacularly in late 2007.

Madrid recorded by far the largest price rises last year, with property values in the capital rising by a hefty 19.5 per cent.Andalusian architecture

The Canary and Balearic Islands, followed by Catalonia and Valencia, were the markets that recorded the next strongest price growth, the Fotocasa figures show.

However, the market is still uneven, with some regions still seeing price falls. This includes Murcia on the Mediterranean coast, where property prices dropped by 3.3 per cent in 2018.

However, while on the whole the average Spanish property price has been rising steadily in recent years, median values are still down almost 40 per cent from their peak recorded in April 2007.

“The awakening of the latent demand, the appetite from investors and the profitability from rentals in a low interest rates environment explain this return of interest in housing, and that’s had a direct impact on prices,” said Beatriz Toribio, head of research at Fotocasa.

Article published 28th January 2019