If other countries are any guide, the Spanish housing market should be near a turning point, argues a report from the US investment bank Goldman Sachs.
US house price touched bottom out once the unemployment rate peaked, confirming a basic economic reality that people need jobs to pay for houses. The same happened in Ireland, where house prices have risen 4pc since unemployment peaked in March.
The data suggests that Spanish unemployment has bottomed out, with annualised unemployment falling in October for the first time since May 2007. If the US and other countries are any guide, the Spanish housing market is that bit closer to turning a corner, say Goldman, who recently spent €200 million on a portfolio of rental properties in Madrid.