Marbella Property news Costa Del Sol Spain
Source: Spanish Property Insight
Spanish resale property prices up 16% by end of 3rd quarter According to valuations carried out by Tinsa - one of Spain's leading appraisal companies - average Spanish resale property prices rose by 16.6% over the 12 months to the end of September 2005.
The province with the highest growth in resale prices was Valencia with 27%, followed by Cadiz in Andalusia (26%) and Tarragona in Catalonia (24%). The provinces with the lowest rate of growth in resale prices over the last 12 months were Santa Cruz de Tenerife in the Canaries (8%), Ourense in Galicia (9%), and Palencia in Castilla y Leon (11%).
Price changes in provincial capitals were more marked than for provinces as a whole. Resale property prices increased by 31% in the city of Valencia, once again due to the impact of the Americas Cup. Prices were up by 29% in the city of Tarragona, and 27% in Malaga city - the capital of the Costa del Sol.
Despite the generally robust rate of property price increases over the last 12 months, the underlying trend appears to be one of slowing or stagnating growth rates.
According to Tinsa's valuations, property inflation remained unchanged or fell in all but 2 of Spain's autonomous regions over the last 12 months. The 2 exceptions were Extremadura, were 12-month property inflation rose from 16.2% in the 2nd quarter to 17.3% in the 3rd, and Asturias, where property inflation rose from 10% to 13.8%. On a national level property inflation dropped from 17.2% in the 2nd quarter to 16.6% in the 3rd. Compared to a year ago, national property inflation is down from 19.1%, the equivalent of a 13% drop in the rate of property price inflation.
After the latest increases the average price of resale property in Spain stands at 1,773 Euros/m2. The average price for provincial capitals is 2,305 Euros/m2, and 1,484 Euros/m2 for resale property outside of Spain's provincial capitals.
Quoted in the Spanish daily "La Vanguardia", Ildefonso Ortega - president of Tinsa - said of Spanish property prices that trend was "gradual falling". Commenting on property sales times he said "The time it takes to sale a property has doubled from between 2 - 3 months up to 4 - 5 months".