The number of home sales inscribed in the Spanish property register in October rose 7% compared to last year, according to the National Institute of Statistics (INE). Brexit was partly responsible for below average grown in some markets.
There were 26,414 homes sales inscribed in October (not including subsidised housing), an increase of 7% on last year, but one of the lowest levels of annualised growth in any month this year. It looks like Brexit has taken some wind out of the market’s sails, given how much of recent market growth has come from the coast.
The chart above shows this year’s monthly sales in red, compared to sales for the last nine years. It illustrates how sales volumes have bounced back, but nowhere near boomtime figures.
Resales were up 9% and new homes sales unchanged compared to last year. The next chart shows how the big declines in new home sales have largely come to an end.
The following chart shows year-to-date sales growth by selected regions (areas where foreigners tend to buy). Growth is strongest in Almeria (a small market), followed by the Balearics, and Barcelona.
Sales growth is below the national average in Malaga (Costa del Sol), Murcia, and Alicante (Costa Blanca) – all regions where the British have long been the biggest group of buyers. Relatively low levels of growth in these areas are almost certainly due to Brexit. In Murcia, a small market the British dominate, sales fell 27% in October, largely thanks to Brexit reducing British demand.
SUMMARY TABLE MONTHLY SPANISH PROPERTY SALES – ALL YEARS