Demand for property in Spain may be collapsing, but the supply of new homes just keeps on rising, with construction completions increasing by 2.8% to 269,954 in the first 5 months of the year, according to figures from the Ministry of Development.
Construction completions are likely to carry on increasing for at least another quarter, perhaps more, as new developments started at the peak of the boom are finished off.
With the property market at a standstill, the increasing number of new homes is just inflating the property glut, and putting prices under more pressure.
But whilst the number of new homes completed continues to increase, the number of new homes started has collapsed by around 60% in the first 5 months of the year.
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