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Second Hand Housing Prices Rise in February

Second Hand Housing Prices Rise in February
Second Hand Housing Prices Rise in February

Ibiza is the most expensive municipality

The average price of second-hand housing in Spain stood at €1,887 p/m² in February. This represents an increase of 0.6% when compared to January. The slight monthly increase continues the tone seen throughout last year. The sharpest increase of the last 12 months was from April to May 2018, when prices increased 1.3%.

Looking at the interannual variation, in February 2019 the price of used housing rose by 8%. This marks 29 months of consecutive year-on-year increases. In fact, according to data from fotocasa, the last seven months have seen interannual variations above 7%.

“The price of second-hand housing continues to register strong increases as a result of renewed interest in housing in Spain, although monthly data indicates a tendency towards moderation in the growth of prices. Madrid, Catalonia, the Islands and the Valencian community continue to show the largest increases,” explains Beatriz Toribio, director of studies at Fotocasa.

Despite continuing rises, the average price of second-hand housing for sale in Spain remains 36.1% below the historical maximum recorded in April 2007 (€2,952 p/m²).

Increases in 16 Autonomous Communities

Of the 17 communities in Spain, in February the average price of used housing increased in all but one. The most marked monthly increase was seen in Aragón and Murcia, which both saw an increase of 1.6%. The Canary Islands saw prices rise 1.4%, while in La Rioja prices went up by 1.3%, and by 1.2% in the Balearic Islands. Cantabria was the only community to see a price fall with prices dropping by 0.1%.

Looking at price ranking, Madrid is the most expensive community for second-hand housing in Spain, with an average price of €2,941 p/m². This is followed by the Basque Country (€2,802 p/m²), the Balearic Islands (€2,593 p/m²) and Catalonia (€2.532 p/m²). At the other end of the spectrum, we find Extremadura (€1,110 p/m²), Castilla-La Mancha (€1,125 p/m²) and Murcia (€1,158 p/m²) are the communities with the most affordable second-hand housing prices.

In Andalucia, the average price in February stood at €1,628 p/m², representing a monthly increase of 1%. On a year-on-year basis the increase in Andalucia was 5.5%.

40 Provinces See Rises

Looking at the provinces, 40 of them saw second-hand housing prices increase in February. The increases ranged from 3.7% in Teruel to 0.1% in Alicante, Barcelona, Vizcaya and Granada. At the other end, five provinces saw prices fall in February. The drops ranged from -0.5% in Almeria to -0.1% in Huesca and Cantabria.

518 municipalities in Spain saw house prices rise, 51 saw prices remain stable, while 290 saw prices fall.

The municipality with the highest second-hand housing prices is Ibiza (€5,071 p/m²), making it the only municipality in Spain to exceed €5,000 per square metre. Pozuelo de Calatrava, in Ciudad Real, is the cheapest Spanish city, with an average price of €612 p/m².