Newly published statistics, provided by INE (The National Institute of Statistics), have indicated that the free-falling value of resale property in Spain is showing a slow decline.
For the first time since the INE began publishing the index, resale real estate’s prices seem to have rebuked the downward spiral as prices fell less in the second quarter of this year in comparison with the first.
The data shows prices for new builds fell by approximately 3.9% in the second part of the year, having dropped by 7.7% over the past 12 months.
The hardest hit areas are places such as the Basque Country, Madrid and Catalonia, which have previously seen the biggest rises in property prices. Surprisingly, the index indicated that investment spots popular with international investors like the Costa del Sol and the Costa Blanca were not affected as badly as the areas previously mentioned in the North of the country.
According to some sources however, these figures should not be taken as gospel, “The official figures are hard to stomach. They would have us believe that new build property prices have only fallen by 6% since the crisis began. Even the developers say prices are down by 20% or more.” a Spanish property expert was quoted to say.
Though statistics are often helpful to paint a picture in an attempt to predict more accurately how the market is performing, they often lack comprehensive correlations taking in all aspects of the situation as a whole.