House prices have been steadily rising for quite some time now. But this has mainly been down to the popularity of second-hand properties, while the interest in new builds continued to fall.
However, the latest statistics for the second quarter of 2016 have revealed that the value of new-build properties have shot up, taking it to maximums registered at the end of 2007.
The average price of property in Spain went up annually by 3.9% at the end of the second quarter of this year (June), although when compared to the first three months of the year, they actually fell 2.5%, according to figures from the National Statistics Institute (INE).
Looking purely at figures for new builds, however, their value increased 8.4% from the same period last year.
Due to the fact that house prices have gone up 3.9% in the last year, this now means that we have registered nine consecutive quarters of positive annual increases in prices. That’s just over two years.
Nevertheless, when comparing these figures to those of the previous quarter, when property prices rose 6.3%, the figure was reduced by more than 3% due to the drop in re-sale property prices, taking it to sit at 3.2%.
On the other hand, the value of new-build property shot up 8.4% annually, which is an increase that we haven’t seen in many years.
Between the first and second quarter of this year, the price of new builds went up 3.7%. The price of re-sale property rose 1.5% during this time.
In every autonomous region, house prices fell annually at the end of the second quarter of this year, except for in the Basque Country where they remained at an increase of 2.8%.
The largest drops were recorded in the Canary and Balearic Islands, while prices were reduced the least in Extremadura and Aragón.