Property prices (new-build and resale) went up by 4% in November compared to the previous month, 0.3% less than in October. Prices are still 38.9% below their 2007 peak, according to the latest Tinsa IMIE Property Index.
Between January and November property prices rose by 4.1%, compared to the 1.8% increase over the same period in 2016.
The highest year-on-year increases registered in November were in the Balearics and Canaries (up 6.8%) and in provincial capitals and large cities, up 5.9% compared to November 2016.
“The property market continues on a positive note with the main trend being moderate price growth,” said Jorge Ripoll, director of Tinsa Research Services. He also highlighted the fact that price rises in Catalonia came to a halt in November because of the political situation and in anticipation of the elections on 21st December.
The data shows a marked slow-down in property price increases in Catalonia. While they went up by 6.5% to October, the accumulated increase had dropped by November to half (3.3%). Analysts believe that what happens over the next few weeks in Catalonia will determine whether this is a trend or merely a one-off occurrence.
As well as going up in provincial capitals, large cities and in the Balearics and Canaries, prices also went up year-on-year in smaller towns and cities (2.6% in November), in urban areas (1.3%) and on the Mediterranean coast (1.1%).
Spanish house prices peak-to-present
According to the Tinsa report, average prices in Spain in November were 38.9% below their 2007 peak. Adjustment is higher than the national average on the Mediterranean coast (47.6% below), in urban areas (43.4% below) and in provincial capitals and large cities (40.8% below).
In contrast, the least difference between current prices and those in 2007 can be seen in small cities where adjustment comes to 35.8% and in the Balearics and Canaries with a 25.8% difference.