During the first six months of 2023, second-hand property for sale in Spain has seen a year-on-year increase in price, closing the second quarter with a 10.8% change. The quarterly increase was 2.1%. This brings the average cost per square metre to 2,146 euros.
“The increase in the price of second-hand housing at the year-on-year level continues to climb, showing the highest variation since the financial crisis of 2008. This increase places us at levels similar to 2006, in the warm-up period prior to the housing bubble. Even so, the price at the national level is still 27% below its historical maximum value“, explained María Matos from Fotocasa.
“This acceleration is produced by the change in monetary policy and the increase in interest rates by the ECB, which has caused the demand for purchases to resurface and put pressure on prices due to the shortage of supply. It is a matter of time before the price begins to show signs of moderation and returns to a stable path, taking into account the rate of mortgage increase caused by the Euribor“.
Prices by Autonomous Community
In the Autonomous Communities, the second quarter of 2023 saw 15 quarterly increases and 17 year-on-year increases. The community with the highest quarterly increase is Navarra (7.5%), followed by the Canary Islands (6.9%), the Balearic Islands (5.3%), the Region of Murcia (4.7%), the Valencian Community (4.3%), Aragon (3.1%), La Rioja (2.5%), Cantabria (2.3%), Catalonia (2.2%), Castilla-La Mancha (2.1%), Asturias (1.3%), Galicia (1.1%) , the Basque Country (1.0%), Madrid (0.9%) and Andalusia (0.7%). On the other hand, the two regions with quarterly decreases in June are Castilla y León (-0.1%) and Extremadura (-0.7%).
Regarding the ranking of prices of second-hand property by communities, the Balearic Islands and Madrid occupy the top positions, and exceed the barrier of 3,000 euros, specifically 3,806 euros p/m² in the Balearic Islands and 3,477 euros p/m² in Madrid. They are followed by the communities of the Basque Country (2,988 euros p/m²), Catalonia (2,769 euros p/m²), the Canary Islands (2,190 euros p/m²), Navarra (2,044 euros p/m²), Andalusia (1,897 euros p/m²), Cantabria (1,881 euros p/m²), Aragón (1,701 euros p/m²), Galicia (1,690 euros p/m²), Comunitat Valencia with (1,677 euros p/m²), Asturias (1,624 euros p/m²), La Rioja (1,606 euros p/m²), Castilla y León (1,462 euros p/m²), Region of Murcia (1,264 euros p/m²), Extremadura (1,222 euros p/m²) and Castilla-La Mancha (1,177 euros p/m²).
In the provinces, the price of homes for sale in Spain during the second quarter of 2023 showed 39 quarterly increases and 49 year-on-year increases. The ten provinces with the highest quarterly increases are Soria (9.4%), Lleida (7.7%), Santa Cruz de Tenerife (7.6%), Navarra (7.5%), Alicante (6.2%), Teruel (5.7%), Las Palmas (5.4%), the Balearic Islands (5.3%), Malaga (4.9%) and Murcia (4.7%). On the other hand, the provinces that present quarterly decreases are Huelva (-0.03%), Salamanca (-0.2%), Zamora (-0.5%), Badajoz (-0.6%), Jaén (-0.7%), Cáceres (-0.8%), Valladolid (-0.9%), Araba – Álava (-0.9%), Cuenca (-1.1%), Seville (-1.4%) and Segovia (-10.9%).
Regarding the ranking of prices for second-hand property by provinces, the Balearic Islands, Madrid, Gipuzkoa, Barcelona and Málaga are the only ones that exceed the barrier of 3,000 euros. The order of the provinces with the highest house prices is the Balearic Islands (3,806 euros p/m²), Madrid (3,477 euros p/m²), Gipuzkoa (3,328 euros p/m²), Barcelona (3,085 euros p/m²) and Malaga (3,040 euros p/m²). On the other hand, the province that did not exceed 1,000 euros was Ciudad Real (998 euros p/m²).