Spanish property prices are still falling, but by less with every passing month, according to the house price index published monthly by Tinsa, one of Spain’s leading property valuation companies. Average Spanish property prices fell by 4.6% over 12 months to the end of April, show the latest figures. On a monthly basis, prices even rose a fraction. Should Tinsa figures be believed, the rate of decline has been slowing since June 2009, when it peaked at -10.1%. Should this continue, average property prices will be stable, or even growing slightly within about 6 months.
Tenerife,Canarian and Spanish property prices bottomed out?
Prices fell by 5.2% on the Coast, and by 3.8% in The Canaries and The Balearics – areas that interest holiday home and expat buyers the most. On a peak to present basis (since prices peaked in December 2007), prices are down 16.1% nationally, 21.5% on the Mediterranean coast, and 13% in the Canaries and Balearics according to Tinsa’s figures, prices have bottomed out and are beginning to recover.
Tinsa’s figures are based on their own valuations, not actual transaction prices. They are interesting in what they reveal about trends, and the valuations used by banks for mortgage lending purposes.
National: 1,916 €/m2
Mediterranean coast: 2,033 €/m2
Balearics & Canaries: 1,636 €/m2
Peak prices (December 2007)
National: 2,284 €/m2
Mediterranean coast: 2,590 €/m2
Balearics & Canaries: 1,881 €/m2 .
