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Weekender Alicante South Issue 106

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24 FRIDAY 30TH AUGUST 2019<br />

www.weekender.news<br />

Slowdown in<br />

house price<br />

growth<br />

HOUSE prices in Spain rose<br />

by three per cent on average<br />

in the second quarter<br />

of 2019, new figures have<br />

revealed.<br />

That compares to four per<br />

cent in the previous quarter<br />

and an increase of 5.8 per<br />

cent in the final quarter of<br />

2018 – figures which highlight<br />

a continuing slowdown<br />

in house price growth.<br />

The figures come from the<br />

latest local market report<br />

published by Tinsa, one of<br />

the largest independent property<br />

valuation companies in<br />

Spain. Its quarterly figures<br />

are much anticipated by market<br />

watchers and investors.<br />

According to the report, the<br />

by Alex Trelinski<br />

by Simon Russell<br />

slowdown is most noticeable<br />

in the city of Barcelona where<br />

“after years of significant<br />

rises” housing is now only 1.6<br />

per cent more expensive than<br />

it was 12 months ago.<br />

The Spanish housing mar-<br />

ket had been in decline from<br />

2008 to 2015 before its return<br />

to growth in the first quarter<br />

of 2016.<br />

It ended last year strongly<br />

with a 10 per cent increase in<br />

sales compared to 2017.<br />

Average prices in Spain<br />

have increased over 11 consecutive<br />

quarters, although<br />

Tinsa experts describe the<br />

latest rise as “practically insignificant.”<br />

According to the report:<br />

“Prices have accumulated<br />

a rise of 12.8 per cent since<br />

their post-crisis minimum,<br />

and now stand at 34.1 per<br />

cent below the highest<br />

reached in 2007”.<br />

Among the largest provincial<br />

capitals, only Valencia<br />

saw average price rises of<br />

more than 10 per cent in the<br />

last quarter, although Palma<br />

de Mallorca, Zaragoza and<br />

Seville saw hikes of more<br />

than eight per cent.<br />

And just three regions –<br />

Navarra, Aragon and Comunidad<br />

de Madrid – showed<br />

price rises in excess of five per<br />

cent in annual terms.<br />

The average time taken<br />

to sell a property in Spain,<br />

which relates the supply of<br />

property on the market to<br />

the rate of sales, stood at 8.2<br />

months.<br />

Another set of figures, this<br />

time from the government’s<br />

central statistics unit, also<br />

reported a nine per cent fall<br />

in registered housing sales in<br />

June, compared to the same<br />

month in 2018.<br />

The figures follow an earlier<br />

report by international<br />

property experts Knight<br />

Frank, which looking forward<br />

to the rest of 2019, concluded:<br />

“There is expected to be a stabilisation<br />

in demand and in<br />

house prices.”<br />

Analysts at Caixabank<br />

take the same stance. They<br />

believe the Spanish housing<br />

market is now entering a<br />

“more mature phase” which<br />

is highlighted by a weakening<br />

in growth in both demand<br />

and prices.<br />

In a recent report it said:<br />

“The factors which support<br />

the expansion of the housing<br />

market continue evolving<br />

positively but are losing dynamism.”<br />

Its experts added that the<br />

supply of new housing continues<br />

to “grow vigorously”,<br />

especially in areas of Spain<br />

with the highest demand.<br />

And they added: “Moderation<br />

should not be interpreted<br />

as a sign of weakness<br />

in the sector, but rather as a<br />

normalisation towards more<br />

sustainable growth rates following<br />

the strong growth<br />

experienced during the recovery.”<br />

LIFE IN A CASTLE<br />

by Alex Trelinski<br />

Spain as a country has a magnificent selection<br />

of strange yet beautiful buildings<br />

that you can’t find anywhere else in the<br />

world.<br />

From masías in Catalunya and palaces<br />

in Andalucia to pazo mansions in Asturias,<br />

these houses also have such extraordinary<br />

features as castle towers with battlements<br />

on them, or Moorish arches and decorations.<br />

Of course you have to pay, and many such<br />

special properties tend to be on private estates<br />

with lots of land, several buildings and<br />

plenty of luxury extras, so they all cost well<br />

over a million euros.<br />

In fact you don´t have to got too far to<br />

check a castle-style property, with one of the<br />

market right now in the Marina Baixa area<br />

of <strong>Alicante</strong> Province at Relleu.<br />

This five-bedroom detached home comes in<br />

at over two point five million euros, with 430<br />

thousand square metres of land thrown into<br />

the package.<br />

The views are great, as you can be your<br />

own king or queen of the castle.

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