Real estate in the Canary Islands fairs better than mainland Spain

September 19, 2011 – 9:34 am

Tenerife and the Canary islands fairing better in the property stakes than mainland Spain

Real estate in  the Canary and Balearic Islands has experienced much lower price drops than in other parts of Spain, it has been noted.

Managing director of Spanish-Living Adrian Warriner pointed out that the two archipelagos – which include destinations such as Tenerife, Ibiza and Mallorca – have fared better than their mainland counterparts, recording just a 2.5 per cent fall in values over the last year.

“This is good if you already own a property there, but not so good if you are an investor looking for a bargain,” he stated.

Mr Warriner went on to suggest that those hoping to buy a home in Spain while the market is low may want to consider the Costa del Sol, which has seen average prices decline by more than ten per cent in the past 12 months.

Source: PropertyShowrooms

By Angela | Posted in Economy, General, Health, Holiday, Inspirational, Property, Tenerife, Things to Do | Tagged , , , , , , , , , | Comments (0)

Spanish house prices fall again,though prime areas fair better

September 12, 2011 – 9:07 am

Property prices in Tenerife,Balearics and Costa Brava fair better than the rest of Spain

Average Spanish house prices fell 4.1pc over 12 months to the end of Q1, according to the latest house price index published by Spain’s National Institute of Statistics (INE).

That represents a turn for the worse after prices clawed their way back towards stability in the second half of last year.

New build prices fell 1.9pc, whilst resales were down 6.3pc, the worst result since Q3 2009.

This ties in with other data such as falling transactions to paint a picture of a housing market still far from out of the woods.

Not all market segments are suffering equally. Prime segments in upmarket destinations like the Costa Brava,Tenerife, and the Balearics are doing better.

By Angela | Posted in Economy, General, Health, Holiday, Inspirational, Property, Tenerife, Things to Do | Tagged , , , , , , , , | Comments (0)

Average prices have declined say TINSA

August 29, 2011 – 10:26 am

Average house prices have declined 6.6pc over 12 months to the end of June,according to the house price index published by Tinsa – one of Spain’s leading appraisal companies.

Holiday homes have led the fall, with prices on the coast down 8.7pc in 12 months. The market on the coast is struggling to digest a large helping of second homes, made more indigestible by the disappearance of British buyers.

After the latest falls, prices are now back to where they were 6 years in 2005, but even that means that prices might still be too high.

Peak-to-present, house prices on the coast have fallen the most (-28.8pc), followed by cities (-23.4pc), suburbs (-22.9pc), and the islands (-20pc). On average prices are down 20pc since their peak at the end of 2007

 Tinsa state a fall of -7%  for the Canaries and Balearics, however the market appears to be improving again in Tenerife.

By Angela | Posted in Economy, General, Health, Holiday, Miscellaneous Articles, Property, Tenerife, Things to Do, Weather | Tagged , , , , , , , , , , , , , , | Comments (0)

House price index for Spain

May 9, 2011 – 8:35 am

The Official House Price Index published by the National Institute of Statistics (INE) would have us believe that Spanish house prices fell a mere 1.9pc in 2010

New build (vivienda nueva) prices fell -2.1pc, and resales (segunda mano) fell -1.6pc

The suggestion that Spanish property prices only fell 1.9pc last year, against a background of 20pc unemployment, tightening mortgage credit, and a monumental property glut is difficult to fathom.

These figures tend to distort price signals from the market and put off potential buyers. We might be better off if the INE did not publish house price figures. Not all official figures are so unreliable. According to figures from the Department of Housing, prices fell -3.5pc last year, and 6.5pc in real terms (after adjusting for inflation). That sounds closer to the truth, even if maybe still a touch  too optimistic.

Meanwhile, whilst mainland  Spain struggles in the property sector, the  islands, particularly the Balearics continue to improve, Tenerife being the best performer from the Canary Islands at the moment, mainly in the area of prime coastal property.

By Angela | Posted in Economy, General, Health, Inspirational, Miscellaneous Articles, Property, Tenerife, Things to Do, Weather | Tagged , , , , , , , , , , , , | Comments (0)

New figures on Spain’s house repossessions released

May 6, 2011 – 10:28 am

Spanish repossessions indicate that Tenerife and the Balearics are fairing well

There were 93,622 home repossession processes started last year, according to figures from Spain’s official judicial body (Consejo General del Poder Judicial).

That represents an all-time high, slightly above the previous record high in 2009, and 4 times higher than at the start of the crisis.

The body also warned that the figures might understate the true number of foreclosures thanks to the way the data is gathered.

There have been a total of 271,570 repossessions since the start of the crisis in 2007, when there were just 25,943 foreclosures, rising to 58,686 in 2008, 93,319 in 2009, and 93,622 last year.

Last year repossessions rose the most in Extremadura (+32pc), followed by Valencia (+11pc) and Murcia (+8pc). Repossessions fell by 14pc in The Balearics.

By Angela | Posted in Economy, General, Health, Holiday, Inspirational, Miscellaneous Articles, Property, Tenerife, Things to Do, Weather | Tagged , , , , , , | Comments (0)

Mainland Spain house prices to continue decline whilst islands prices improve?

May 3, 2011 – 8:59 am

Tenerife, the Canary and Balearics Islands property prices show signs of improvement

House prices in Spain are expected to continue to their decline for the coming three years, a new poll by Reuters has found.

According to the news provider, the fall is a result of an overhang from the burst property bubble and banks dump unwanted housing stock.

In a poll of 13 analysts, who widely believe that the market has been overvalued even after a 17 per cent fall since 2007, prices were forecast to fall by a further five per cent this year.

Next year, prices are expected to fall by a further three per cent, followed by a drop of a little over one per cent in 2013.  Of course areas such as Tenerife in the Canary Isles and the Balearics are bucking this trend and showing signs of  improvement

Source: IB Times

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Tinsa price index latest results

March 23, 2011 – 9:41 am

Tinsa index now shows positive signs for the property market in Tenerife

The Tinsa Spanish House Price Index for February (change over 12 months) is  as follows:

National average -4.5pc
Big cities – 5.2pc
Mediterranean Coast -6.7pc
The Balearics & Canaries -0.8pc

Peak-to-present:

Mediterranean Coast -27.2pc
Capitals -20.6pc
The Balearics & Canaries -17.5pc

By Angela | Posted in Economy, General, Holiday, Property, Tenerife, Things to Do | Tagged , , , , , , , , | Comments (0)

Property enquiries to Tenerife and Canary Islands increase.

February 28, 2011 – 10:10 am

Interest in Tenerife and Canarian property continues to increase.

The number of searches for Spanish property in January this year was 37.05% higher than last year according to overseas property portal Homesgofast.

According to the portal the trend that has been noted since the Spanish property market imploded; namely the dominance of the Balearics and Canary Islands, not only continued in January but became even more pronounced. One third of all enquiries into Spanish properties were for those islands according to the portal.

“It’s interesting to see how Spain despite the bad press is still very attractive to overseas buyers considering retiring or buying a second home abroad,” said Nick Marr, director of the portal.

“The change towards the Canary and Balearic Islands may be a result of the bad press that the Spanish property market has received,” he continued. “People looking to get away from the UK winters still see Spain as a great place to holiday. The Canary Islands offer winter sun and a housing market that has not received the negative press that mainland Spain has endured.”

“House values in Spain are at an all time low and the increase searches may be a result of both buyers and sellers researching the market.”  According to the Association of British Travel Agents, Spain is still the number one holiday destination for Brits, with over 11 million British visitors gracing the shores every year.

Source: Homes Go Fast

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Rental prices in Spain, Tenerife and Canary Islands

December 8, 2010 – 1:17 pm

October rental values up and down in Spain, Tenerife and Canary Isles

Average rental prices rose 1.1pc in October, according to data.Rents are going up at half the level of inflation, leaving landlords out of pocket in real terms 

That was half the level of consumer price inflation, which was 2.3pc in October. As a result the real price of renting a home in Spain fell by an annualised 1.2pc in October.

Rental prices rose the most in the Balearics (+1.6pc), followed by Cantabria (+1.4pc) Galicia (+1.4pc), Andalucia and the Canary Islands (1.2pc). Prices rose the least in Murcia (+0.6pc), La Rioja (+0.5pc), Extremadura (+0.1pc) and Navarre (-0.3pc).

By Angela | Posted in Economy, General, Holiday, Miscellaneous Articles, Property, Tenerife, Things to Do | Tagged , , , , , , , | Comments (0)

Canaries property prices fair better

November 26, 2010 – 12:31 pm

Canarian property fairs better than that on the Spanish mainland

Residential property prices in Spain have fallen between 3.7% and 5% over the 12 months to the end of September with the popular coastal regions taking the worst hit.

The latest figures from the Ministry of Housing show prices down 3.7% while the Tinsa index is down 5% year on year.

The average price of property is €1,832 per square meter, down from €1,903 per square meter a year ago, according to the figures from the Ministry of Housing.

The Tinsa index fell 5% in September, compared to declines of 4.6% in August, and 4% in July. Up until then prices had been trending towards smaller declines, suggesting they might even make it into positive territory on an annualised basis before the end of the year

Prices on the coast, where most holiday homes are located, saw the steepest declines, down 8.7% in September compared with a fall of 4.9% in August. The Balearics and Canaries fared slightly better, down 4.2% compared with a drop of 5.3% in August.

It means that prices on the coast are now down 25.7% at €1,924 per square meter compared to their December 2007 peak of €2,590 per square meter.

Prices falls have accelerated in each of the last three months but these latest figures are a set back to recovery. A lot will depend on what happens in the last three months of the year, according to Mark Stucklin  ‘The big question is why are price declines accelerating again, especially when the latest property sales figures show a strong rebound in transactions?’ he said.

‘We have to keep in mind that it might be just a temporary anomaly lasting a few months after which prices return to an improving trend. You can never be sure with just three months of data. But more likely it shows that average Spanish property prices have still not fallen enough, and vendors are having to give more ground to find buyers,’ he added.

The poor price figures come as the number of repossessions in Spain are on the rise. The credit crunch and rising unemployment have driven home repossessions to a record level.

There were 27,561 repossessions procedures in the first quarter of this year alone, an all time record for Spain, following on from an increase of 126% in 2008 and 59% in 2009. Spanish banks now have €20.5 billion of repossessed property on their books

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