Increase in home sales for Spain in August 2018
Increase in Home Sales in Spain for August
In their recently published document, the Spanish Association of Notaries stated that the annual increase in house sales throughout the country is nearly 10% in August alone.
This year has seen 31,046 houses being sold this August compared to 28,251 which were sold last year during the same month.
This is a very big figure and we have seen a rise in the lucrative Spanish property market in the past few months. Buyers want to take advantage of the real estate prices before the four-month price hikes. The prices may increase as there is high demand for housing for both foreign and domestic investors in their quest for a second home in Spain.
Information worth noting is how the report states that in every in case there is an increase per square meter in the value of homes. According to the report, the average selling price is more than 1,265 euro per square meter which is equal to an annual growth of 3.3% in the eighth month of the year.
August is the month of fruits as well known in Spain. There is a high demand for fruits in summer and the terms “En Agosto, Sandia o Melon, buen refresco son” (“watermelon and melon are good refreshments in August”) is commonly used during this month. In Spain, August becomes the less productive month. Most employees usually take their annual life during this month which ranges from one to four weeks. It is also the time where the Spanish resident starts looking at properties in the more popular regions such as the Costa del Sol.
This is in line with Tinsa’s “Year-on-year” valuation for normal residential house rate hikes and it indicates that the market is on the rise across Spain, Costa del Sol topping the list. The areas according to Tinsa are divided into five sections; the “regional capitals and big cities”, “metropolitan areas”, the Mediterranean coast”, the Balearic and Canary Islands”, “all other towns”.
The first category is where the prices are competitive especially in August. The growth value of property in regional capitals and large cities close to 10% as compared to twelve months earlier, Balearic and Canary Islands had a 9.2% rise in prices. If the sales were high in August- the month where most people take holidays and spend wholesomely when they are not working. This boldly indicates how powerful the purchasing activity is likely to be in control for this year.
The survey shows that 19.3% of people would buy their second or holiday homes in Spain as compared to other places like Portugal and France. The survey states that 44% of all the second homes belong to foreigners. There are UK buyers who own 19% of the 44%, The Germans with (12%) and the Dutch with (4%). The UK and Holland citizens embrace the idea of having second homes away from their motherland where the weather is often less glorious compared to the fine weather the Costa del Sol has to offer.