Posted on May 3, 2016 in Property

Licence applications for the construction of new housing in Spain soared by 39.2% during the first two months of the year, compared with the same period of 2015, to a total of 10,606 applications, according to official data from the Ministry of Public Works.

Thus, the permit requests for authorisation to build new housing in Spain maintains the upward trend that ended last year with an increase of 42.5%, marking their third consecutive year of increases and reaching their highest level in five years.

Despite the significant increase in permits registered in the first two months of this year, the figure is still far from the total of 132,260 building permits issued during January and February of 2006, the year prior to the crisis when the housing sector was still in its ‘boom’, and when more building permits were requested in a single month than are currently being requested in a whole year.

With regard to the data so far for 2016, El Economista reported that of the total number of building licences applied for, some 74.5% relate to the construction of new apartments in blocks, with a total of 7,905 units and an increase of 42%.

The remaining permits requested between January and February were for individual family homes, with 2,700 permits, which is 31% more than in the same period of the previous year.

Moreover, the number of building licences requested for reforms or home extensions also remained positive at the start of 2016, albeit at a more moderate level than those for new developments. In the first two months of the year, a total of 3,867 applications were made for the reform or restoration of dwellings, representing an increase of 5.5% over a year earlier, while the licence applications for home extensions remained stable, at around 223 units.