Posted on April 27, 2016 in Property

Data for the end of 2015 confirm that the housing sector in Spain is continuing on the path of stabilisation and normalisation after the hard years of the economic crisis, reports idealista.com.

Mortgage loans for the purchase of a home increased by 24.3% year-on-year at the end of 2015, accumulating two consecutive years of increases, following a three-year period when access to bank funding had been severely restricted. All of Spain’s regions registered double digit increases, especially the Balearic Islands (+41.8%) and Cantabria (+33.0%), while below the national average stood Navarra (+13.5%) and Madrid (+20.1%). Moreover, the average mortgage value increased by 7.9%, year-on-year, to 126,950 euros.

Home sales in Spain achieved an average increase of 9.2% year-on-year in 2015, although this rate varied over the regions, according to a report published by the General Council of Notaries. All regions registered increases, except for Castilla-La Mancha, which recorded a decline of 1%. The regions which registered the greatest increases in housing transactions were the Basque Country (+17%), the Balearic Islands (+16.5%), Valencia and Catalonia (both +10.4%), while Madrid did not exceed the national average and registered an increase of just 6.4%.

Ending a seven year negative streak prices climbed by 1.8% on average, to stand at 1,278 euros/m2. The greatest increases were registered in the Balearic Islands (+4.8%), the Canary Islands (+3.9%), La Rioja and Valencia (both +3.6%), while declines were registered in six regions, lead by Navarra (-16.2%), Castilla-La Mancha (-8.1%) and Aragón (-7.5%).

With average prices higher than the national average were the Basque Country (2,126 euros/m2), the Balearic Islands (2,076 euros), Madrid (1,812 euros) and Catalonia (1,516 euros). These regions together represent 37% of the total sales.