The growth of real estate prices in Spain is slowing down

Property prices in Spain continue to rise but show signs of slowing down. Experts believe that a period of stability will come, and it will last until the economic uncertainty, aggravated by the war in Ukraine, disappears. According to the latest data published by Tinsa, primary and secondary housing prices have risen by 6.8% since March 2021. But they have increased by only 0.3% since last month.

This trend is typical for the whole of Spain. Annual growth ranged from 5.9 to 8% in all areas, from large cities to coastal provinces. However, the monthly growth rates were no longer so decisive, reaching negative indicators in the Balearic and Canary Islands.

According to Christina Arias, director of the Tinsa research department, there was a more moderate monthly growth in March. "Despite this, the growth compared to March of the previous year is steady, but there was no activity at that time, which manifested itself in the following months of 2021," she adds.

In capitals, metropolitan areas and large cities, monthly price growth slowed to 0.5%, on the Mediterranean coast – to 0.6%, and in rural areas – to 0.3%. The only monthly decrease was on the islands – by 0.4%.

On an annual basis, the highest growth rates in March were in megacities (with an increase of 8%) and small inland settlements (7.7%). The Mediterranean coast (7.5% year-on-year) resumed growth after a slowdown in January. In the capitals, large cities and islands, this indicator is 5.9%.