Increase in home sales in Spain in 2016
Bankinter, one of the largest banks in Spain, predicts that sales of homes in 2016 will rise as much as 14%. A logical consequence, and that is one of the predictions of this bank, would be that home prices will also raise by 3%. In prime locations such as costa’s and the major cities, prices can increase by 5% rise.
In total, it is expected that about 420,000 transactions in real estate, apartments, houses and villas, will take place. A difference of up to 53,000 objects relative to 2015. In addition, it is assumed that will be sold as many as 450,000 homes in 2017, or 7% year-on-year. More space on the labor market more jobs, better funding and attractiveness of real estate relative to other assets: all this plays on the Spanish housing market.
According to the report,from Bankinter prices will rise rapidly in 2016, especially in major cities. This plays because of the combination of high demand and low supply. On the other hand, there is still more room for new construction projects. In 2015 there was a huge increase in planning applications and approvals. This means that 2016 will be a year in which it begins again at last for years to build complexes, homes and houses. So while this hardly happened during the Crisis years.
But this only means that the real estate business again will attract all? Certainly not. Peak years need to be absolutely not expected due to the high number of unemployment, particularly in Spain, and the decline of the Spanish people. It is therefore true for the Spanish themselves also the most favorable as other Europeans take their chances to buy holiday homes or second homes. Exactly foreign investors benefit from lower prices, but also the Spanish market sees himself in the great demand mostly comes from them. Modest growth in terms of home sales so but favorable prices and possible new construction.