According to a study by the appraiser Tinsa, real estate prices in Spain continue to fall, and they may reach their bottom in the coming months. Tinsa provides these "sobering" data despite the currently widespread information that the Spanish real estate market is experiencing an inevitable recovery. This is told by the professional weekly Property Investor Europe.
And even when the recovery occurs, prices will "pull back", Tinsa experts say. Since the peak in 2007, prices have generally fallen by 42.6%. In February 2015, the value of real estate in Spain decreased by an average of 3.67% over 12 months. Especially affected real estate on the Mediterranean coast: prices fell by 4.7% here, continuing the established trend. Since 2007, residential property prices have decreased by more than 51% and by 46.5% in the main cities of Spain. In February 2015, only prices in the Balearic and Canary Islands increased slightly by 0.7%. During the crisis, the real estate market experienced the smallest decline here, which amounted to 32.4%.
Looking into the future, Tinsa sees the light at the end of the tunnel. Price stabilization began in 2013, but it was more about slowing the rate of decline. "If the optimistic forecasts about economic growth and an increase in employment, which are expressed by officials, come true, then average prices may reach the bottom in the next few months," Tinsa reports. But the recovery will not be able to happen all over the country at once. Regions with increased supply and reduced demand are likely to continue to experience falling prices.HomesOverseas.ru
