Spain - Spanish property prices fall 3.9% over 12 months to end of July

Average Spanish property prices have fallen by 3.9% over 12 months to the end of July, according to the latest Spanish property price index published by Tinsa, one of Spain’s largest appraisal companies. Spanish property prices tracked by Tinsa have now fallen for 5 consecutive months.

Homes on the Mediterranean coast were the hardest hit by price declines, with average prices in coastal areas falling by 6.2%. The Canaries and the Balearics did better than coastal areas on the mainland, with prices down by just 2.8%.

Property prices in Spain’s provincial capitals fell by 4%, and by 4.7% in other urban areas.

Tinsa’s figures are based on its own valuations, rather than actual transaction prices, so it is not a true guide to market prices. That said, Tinsa’s figures do a better job of reflecting reality than the Ministry of Housing’s, which still show Spanish property prices rising. In reality, prices in coastal areas are probably down by around 20% compared to last year.

spanishpropertyinsight.com, 13.08.08