House price figures this week from Tinsa and the real estate consultants Aguirre Newman show prices stable at a national level, but rising fast for new homes in Madrid.
The Tinsa monthly house price index (table above), based on the company’s own valuations, show that the average house price in Spain was stable with a fractional annualised decline of just 0.4%, leaving Spanish house prices 41.9% below the peak price.
House prices on the Mediterranean coast, where foreign demand is concentrated, fell 3.1% over twelve months to the end of September, down 48.9% from the peak.
This is how the latest Tinsa national figure fits into the SPI House Price Index Tracker:
NEW BUILD IN MADRID
Also released this week were the results of a study by real estate consultants Aguirre Newman showing that new home prices in Madrid have risen by 8.9% in a year. Despite the rise, prices in the capital are still 37% below their peak of 4,657 €/m2 in 2007.
The average new home in Madrid has 109m2 and costs €320,000 (2,937 €/m2) reveals the study.
Prices have risen in prime areas such as Almagro (Chamberí), El Viso (Chamartín), La Piovera (Hortaleza), Goya y Castellana (Salamanca) and Justicia (Centro), where new developments now sell for between 6,500 and 7,000 €/m2. In other areas prices have remained stable.
SPAIN #3 IN EUROPE ON A QUARTERLY BASIS
Spanish house prices rose third fastest in Europe (on a quarterly basis), according to the latest report from Eurostat. Spain posted a rise of 4.1% between March and June, behind only Cyprus (+7.4%) and Austria (6.4%).
On an annualised basis Spain was up 4%, a long way from Sweden +13%, +11.9% in Hungary, and +10.7% in Ireland. The EU average was +2.3%, and +1.1% in the eurozone.