In August, the average price of second hand property in Spain fell by 0.5% when compared to the previous month. Year-on-year the price increased by 3%, bringing the average price to €1,891 p/m², according to data from the fotocasa price index. With this annual increase, this is the third August in a row to see a year-on-year increase.
However, the prices vary greatly across the country with the national average being 37% below the average seen in Madrid, which in August reached €3,015 p/m².
“The housing market is normalizing, although it is true that in the second half of the year the slowdown in price growth has intensified. If at the beginning of 2019 they grew at an interannual rate of 8%, now they do so at 3% on average, although in certain areas close to the big cities it continues to grow more strongly”, explained Beatriz Toribio, director of studies at fotocasa.
Looking at the prices in other communities, as previously mentioned, Madrid is most expensive, followed by the Basque Country with an average price of €2,798 p/m². In the Baleaic Islands the average price is €2,640 p/m², and in Catalonia it is €2,473 p/m². In Andalusia the average price of second hand property has reached €1,636 p/m², an annual increase of 4%.
Price Drops in 36 Provinces
36 of the 50 provinces saw prices fall in August. The biggest fall was seen in Segovia where prices fell 2.2%, followed by Santa Cruz de Tenerife (-1.9%), Navarra (1.5%), A Coruña (-1.5%), Guadalajara (-1.3%), Albacete (-1.2%), Lleida (-1.2%), Las Palmas (-1.2%), Castellón (-1.2%), Badajoz (1.2%), Toledo (-1.1%), Murcia (-1.1%), Granada (-1%) and Córdoba (-1%).
As for the price per square meter in August, we see that only two provinces exceed the €3,000 p/m² mark: Gipuzkoa (€3,050 p/m²) and Madrid (€3,015 p/m²).
Price Rises in 54% of the Municipalities
The average price of second-hand housing fell in 54% of the municipalities analyzed (954 municipalities) by Fotocasa. The five municipalities with double digit declines are the municipalities of Yepes (-17.8%) and Mora (-15.6%), followed by the Fraga (-14.1%). The most pronounced increase was seen in Camarena (23.1%) in Toledo, followed by Molina in Málaga (17.5%).
As for the price per square meter in August, we see that two municipalities exceed the €5,000 p/m² barrier and are Eivissa (€5,252 p/m²) and Donostia – San Sebastián (€5,135 p/m²).