It’s claimed in Expansion today that house prices in desirable areas of Madrid, Barcelona and Santander have hit their floor, and that now is a good time to invest in those places. I wonder if Chopera or GaryBCN can add to, or rebutt the article?
Difficult to comment too much on prime areas of Madrid since they tend to be a specialised market, and I’m not that familiar with it. However as I mentioned on another thread I see large flats for sale in prime areas for around half a million euros and I consider that to be relatively cheap. I can’t see how they can go down much more than that (it would imply bog standard 3 bed flats would be worth something like €150k – i.e. prices from 20 years ago!). I get the feeling owners of those big old flats in places like Chamberi and Salamanca can afford to drop the price because there is little (if any) outstanding mortgage, some of them might be inheritances, while others just retiress trying to downsize. Either way they are “priced to sell” (while the rest are “priced to hang around the market for years on end” 🙄 )
However even if prices for those properties have reached the bottom (how many times have I heard an agent say that to me? 😆 ) it doesn’t necessarily mean they are about to go up again. There must be plenty of slack to be taken up before prices start moving upwards