The price of housing rose by 5.1% in the whole of 2023, regardless of whether they were new or used homes, according to data collected by the appraiser Tinsa. In the case of metropolitan areas, the increase is even greater, reaching 6.5% in a year marked by successive increases in interest rates.
The price of housing on the islands grew by 5.8%, while in the capitals and large cities it grew by 4.8%. As for the Mediterranean coast, the increase was 4.5%, while in the rest of the municipalities it stood at 3.7%.
In the specific case of December, housing revalued by 3.7% year-on-year, with the islands showing the largest increase, 7.5%. The price of housing in the Canary Islands and the Balearic Islands is only 3.5% below the maximums recorded between 2007 and 2008, coinciding with the bottom of the real estate sector.
For its part, on the Mediterranean coast the price rose by 4.4% in December, in metropolitan areas by 4%, in capitals and large cities by 3% and in the rest of the municipalities by 2.4%.
If the inter-month variation is taken into account, with respect to the month of November, the increase in housing prices moderated to 0.1% in general. In this case, the largest increases are observed on the Mediterranean coast (0.6%) and the only decrease is recorded in the capitals and large cities, with 0.1% less.
Second-hand homes are skyrocketing
On the other hand, second-hand homes in Spain closed the year with an annual increase of 7.4%, up to 2,203 euros per square meter, according to data from the ‘Home for sale in 2023’ report prepared by Fotocasa. This increase is the fourth most pronounced in the last 17 years and the fourth chain increase since prices fell by 1.3% in 2019.
María Matos, Director of Studies and spokesperson for Fotocasa, has indicated that a part of the market “has decreased” as the excess demand that arose after the pandemic has been lost, but interest in buying “remains at intense levels” thanks to a significant volume of buyers. who seek the safe haven value of brick to invest and prevent their savings from losing value.
In addition, he has indicated that the plaintiffs are vigilant in case prices fall. “However, the lack of sufficient supply is responsible for prices remaining at high levels,” she added.
The Canary Islands also lead the increase in prices of used housing, with an annual increase of 22.5%, followed by the Balearic Islands (+16.9%), the Valencian Community (+11.6%), Madrid (+11.4% ), Navarra (+9.8%), Murcia (+9.4%) and La Rioja and Andalucía (+8.5% in both cases).
The most moderate increases occur in Cantabria (+6.7%), Basque Country (+6.1%), Aragon (+5.7%), Catalonia (+4.4%), Castilla-La Mancha (+ 3.9%), Asturias (+3.9). %), Galicia (+2.6%) and Castilla y León (+2.5%).
Balearic Islands, the most expensive home in Spain
The Balearic Islands, which has exceeded 3,000 euros per square meter since June 2022, is the community with the highest prices, with 3,847 euros per square meter. Madrid follows, with an average price of 3,767 euros per square meter; Basque Country (3,091 euros/m2) and Catalonia (2,760 euros/m2). These four regions have been leading the price ranking since 2014.
Margin compared to 2008
Since the lows set after the burst of the real estate bubble, housing has appreciated more than 39%. Where it has grown the most since then has been in the capitals and large cities (47%) and the least in the rest of the municipalities (23.4%).
The price is 18.2% below the highs of 2007 and 2008. The smallest difference since those years is recorded in the islands (-3.5%), followed by the capitals and large cities with 14% and the largest distance is observed on the Mediterranean coast (28%).
By community, Extremadura is the one that has cut prices the most since it recorded the maximum price in March 2007, specifically 46%, followed by Castilla-La Mancha (-45%), Murcia (-41%), Castilla y León (-33%), Asturias (-25%), La Rioja (-24%), Galicia (-22%), Aragón (-21%), Valencian Community (-20%), Cantabria (-13%) , Andalusia (-9%) and Navarra (-6%).
for the province
At the end of 2023, the price of used housing increased in 46 provinces, with Santa Cruz de Tenerife leading the way (+27.7%). They are followed by Málaga (+18.8%), Balearic Islands (+16.9%), Las Palmas (+14.4%), Lleida (+14.2%), Soria (+13.8%), Teruel ( +13.6%), Alicante (+13.2%). ), Madrid (+11.4%), Tarragona (+11%), Segovia (+10.5%) and Guipúzcoa (+10.4%).
In 2023, the price of second-hand housing only fell in four provinces: Badajoz (-3.2%), Jaén (-2%), Zamora (-1.4%) and Ciudad Real (-0.8%) .