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House Prices See Slight Fall in July

Madrid is the priciest housing
Madrid is the priciest housing

Madrid has the priciest housing at €3,069 p/m²

The price of second-hand housing in Spain fell by -0.7% year-on-year in July. This places the average cost per square metre at 1,888 euros. The national average is a massive 38% lower than the average in Madrid!

Thirteen autonomous communities presented positive monthly data in July. The community with the highest increase in second-hand house prices was Valencia (1.5%), followed by Navarra (1.4%), Catalonia (0.9%), Extremadura (0.9 %), the Balearic Islands (0.7%), the Canary Islands (0.7%), Madrid (0.6%), Basque Country (0.5%), Andalusia (0.5%), Aragon (0.3% ), Castilla y León (0.2%), Castilla-La Mancha (0.2%) and Región de Murcia (0.03%).

Meanwhile, the communities that with the largest decreases in second-hand housing costs in July were Asturias (-0.4%), Galicia (-0.2%), La Rioja (-0.1%) and Cantabria (-0, 02%).

Autonomous Communities

Looking at second-hand housing price ranking for the country’s Autonomous Communities, the most expensive are Madrid and the Basque Country, with prices of 3,069 euros p/m² and 2,854 euros p/m², respectively. They are followed by the Balearic Islands at 2,784 euros p/m², Catalonia at 2,493 euros p/m², the Canary Islands at 1,787 euros p/m², Navarra at 1,746 euros p/m², Cantabria at 1,716 euros p/m², Andalusia at 1,659 euros p/m², Aragon at 1,580 euros p/m². m2, Asturias at 1,575 euros p/m², Galicia at 1,572 euros p/m², Castilla y León at 1,443 euros p/m², Valencian Community at 1,439 euros p/m², La Rioja at 1,416 euros p/m², Region of Murcia at 1,168 euros p/m², Castilla-La Mancha at 1,141 euros p/m² and Extremadura at 1,125 euros p/m².

The data for the month of July is very much in line with that registered during the first seven months of 2020. This slight drop in price, of -0.7% year-on-year, is within the year-on-year decreases that we began to detect at the end of 2019. The data does not show that the owners of homes for sale are lowering prices due to the coronavirus situation and that offer prices are being maintained. It is possible that at the end of the summer we will begin to see somewhat more bulky price drops, although they will not be big drops in the price of second-hand housing“, explains Anaïs López, Communication Director at fotocasa.

Prices by Province

In 35 (70%) of the 50 provinces the price of second-hand homes increased in the month of July. The provinces with the top ten increases in price are: Huesca (3.8%), Cuenca (3.3%), Valencia (2.1%), Santa Cruz de Tenerife (1.9%), Ourense (1.7%), Granada (1.6%), Cáceres (1.5%), Jaén (1.4%), Navarra (1.4%) and Soria (1.4%).

Meanwhile, the ten largest monthly decreases were seen in Guadalajara (-2.2%), Lugo (-2%), Ávila (-1%), A Coruña (-0.6%), Las Palmas (-0.6%), Ciudad Real (-0.5%), Córdoba (-0.5%), Seville (-0.4%), Almería (-0.4%) and Asturias (-0.4%).

Regarding price ranking, Gipuzkoa is the most expensive province with 3,080 euros p/m², followed by Madrid (3,069 euros p/m²) and Barcelona (2,995 euros p/m²), among others. On the other hand, the two provinces with a price per square meter below 1,000 euros are: Ciudad Real with 986 euros p/m² and Toledo with 989 euros p/m².

Provincial Capitals

In 25 of the 50 provincial capitals (50%) second-hand house prices grew in July compared to the previous month. The ten largest monthly increases correspond to the following cities: Santa Cruz de Tenerife Capital (3.9%), Cuenca Capital (2.6%), Pontevedra Capital (1.7%), Ourense Capital (1.3%), Valladolid Capital (1.2%), Cáceres Capital (1.2%), Pamplona / Iruña (1.2%), Castellón de la Plana / Castelló de la Plana (1.1%), León Capital (1.1 %) and Huelva Capital (1.1%). On the other hand, the three capitals with the greatest decreases are: Girona Capital (-2%), Alicante / Alacant (-1.6%) and Ciudad Real Capital (-1.4%).

Regarding price ranking, the most expensive provincial capital is Donostia – San Sebastián with 5,418 euros p/m², followed by Barcelona Capital (4,480 euros p/m²), Madrid Capital (3,855 euros p/m²), Bilbao (3,390 euros p/m²), Palma de Mallorca (2,986 euros p/m²), Vitoria – Gasteiz (2,531 euros p/m²), Cádiz Capital (2,498 euros p/m²) and Pamplona / Iruña (2,404 euros p/m²).