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Average Spanish Home Costs 200,000 Euro

2014 house price change by province: Rising prices in red, falling prices in green. Source: Euroval
2014 house price change by province: Rising prices in red, falling prices in green. Source: Euroval

The average Spanish home costs €200,000, reveals the annual Spanish housing market report from Euroval, an appraisal company.

In Barcelona, 54% of homes for sale costs less than €254,000, whilst in Madrid 61% of homes for sale cost less than €247,000, the two most expensive cities in Spain.

In cities like Alicante, on the Costa Blanca, 58% of homes have a price below €143,000.

The 10 main conclusions of the report are as follows (original English version of report used):

1.In the years 2013 and 2014, minimum prices have experienced a significant drop going from 748€ m2 to 2.898 €/m2. This indicates that in 2014 the prices will not stabilize, not even the minimums, which were not expected to go down anymore.

2. It is observed in the prices by provincial capitals that the operations in which suppliers and purchasers have respectively lower or higher local prices in expensive or cheap housing, the overall data is decreasing prices. In twelve provincial capitals the minimum prices rise in 2014 compared to 2013; the average results for Spain are a slight decrease in both minimum and maximum prices.

3. The breadth or average difference between maximums and minimums has evolved as follows: 2,566 € / m2 in 2010, 2,223 € / m2 in 2013 and 2,257 € / m2 in 2014. Between 2012 and 2014 the maximum average prices go from 893 € / m2 to 641 € / m2 and the maximums from 3,458 € / m2 to 2,898 € / m2.

4. The variation in prices per square meter in provincial capitals highlights for its decrease below 5%, between 2013 and 2014, in 25 capitals; between 1% and 5% drop in 8; price growth between 1% and 5% in another 8 capitals; and more than 5% also in 8.

5. As for minimum and maximum absolute prices in provincial capitals, divided into 10 tranches, we see that a lower section appears with housing at very low prices. The sections up to 200,000 still represent a very high percentage of housing on the market.

6. Purchases and sales rise by 21.63% in Spain between 2013 and 2014; decrease of new housing and increase of the second hand housing. This recovery is due to the current level at which the market is located. The largest numbers of transactions are still taking place in Andalusia, which represents 19.2% of the total.

7. Observing the minimum and maximum prices and the number of transactions and sales transactions by autonomous communities, the general trend is a rise in prices as well as in the appraisals; another trend is that prices stand or drop and transactions are extremely reduced; and the current situation in which prices return to the baseline levels of 2004, but with very low transactions.

8. The dispersion of the minimum and maximum prices of autonomous communities on the national average is an indicator of how prices equal or difference on the market. In the minimum prices there is usually more territorial inequality that in the maximums, especially from 2004 to 2006. During 2007 and 2014 the market becomes more egalitarian. The prices of the Spanish past 10 years.

9. The index of real estate economic activity indicates that the activity has practically stagnated in 2014 compared to 2013, with slight increases in some autonomous communities.

10. The valuation activity reflects the dynamics of the housing market. In 2014 there is an 11.5% increase over the previous year, after eight consecutive years of declines. But still today only 30% of the appraisals of 2005 are taking place.

+ Read all 13 conclusions and the full report from Euroval (pdf in English and Spanish)

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