The SPI House Price Index Tracker plots the six most-watched Spanish house price indices on one chart (above).
All the indices have now been updated to include the third quarter of last year, or later.
Despite their different methodologies they all show Spanish house prices declining after the start of the coronavirus pandemic in 2020, and then recovering strongly in 2021.
In detail, annualised Spanish house prices changes by index in the third quarter of last year were as follows:
- The Spanish government (MITMA) based on valuations +2.6%
- The National Institute of Statistics (INE) based on data from the Land Registry +4.2%
- The Spanish Land Registrars’ Association using their ‘repeat sale’ methodology +7.4%
- The Association of Spanish Notaries based on sales witnessed by its members +10.9%
- The Idealista.com (property portal) resale asking price index +4%
- The Tinsa index based on property valuations carried out by the company +8.3%
The notaries also publish a regional index showing house price changes in each of Spain’s autonomous regions. Prices rise by 15% in the Canaries and Madrid, but just by 2% in Murcia, as illustrated in the chart below. Tinsa for its part provides data for the Mediterranean coast (+12%) and the Balearic and Canary Islands (+10.1%) suggesting that house prices are firm in areas that attract foreign investors.
The latest data shows prices starting to cool a bit towards the end of last year, but year-end data will not be available for a month or two. It is likely that 2021 will end with significant house price gains that nobody predicted at the start of the year.