This is a website for buyers, owners, and sellers of property in Spain, offering reliable information and resources to help you get things done with confidence. It is run by Mark Stücklin, author of the Spanish Property Doctor Column in The Sunday Times (2005-2008), and the book ‘Need to Know: Buying Property in Spain’ published by Collins.
Euroconstruct have dramatically revised down their forecasts for the Spanish building industry.
Euroconstruct, the European network of nineteen research institutes, have since June dramatically revised down their forecasts for Spanish building activity, as you can see from the table above.
The Spanish building industry is forecast to contract 30.8pc this year, and 23pc next year, compared to forecasts they made in June of -21.1pc this year and -8.1pc next year.
Euroconstruct provide building industry forecasts for most European countries, and the comparison with other countries makes clear how badly the industry in Spain is suffering. The average decline in Europe this year is forecast to be -4.7pc, compared to 3-0.8pc in Spain, and -1.6pc next year, compared to -23pc in Spain.
In the year to end October residential planning approvals were down 44pc on last year and Jan-Sept the number of houses finished was down 43pc, according to the latest figures from the Housing Department in the Ministry of Public Works (Fomento).
When it comes to building industry crashes, Spain is the undisputed European leader.
Barry Humphreys says:
I feel the industry will contract further. Witnessing the number of motor-homes driving through Spain this week many European residents seem to be taking the view that Spain is welcome to its nonsensical building ‘novelties’ and regulations.
Better to enjoy Spain without getting tied up in the housing bureaucracy and all it entails. It could lead to a severe loss of hard earned capital!