The December report of real estate portal Idealista on housing prices in Spanish municipalities gives an idea of the cheapest regions in the country. Especially if you link this to the data for the first half of 2022, which will be discussed below.
To begin with, we will indicate the cheapest municipalities in Spain from the "Top 30" according to Idealista. We are talking about cities where the price per square meter did not exceed €500 at the end of the last year.
Among regions, the first place is taken by the province of Toledo, where the leader of the municipalities list, Alcaude de la Jara, is located. The average price per square meter was about €349 here. This región is followed by:
- Fuente Ovejuna (Province of Cordoba, €352);
- El Carpio de Tajo (Province of Toledo, €357);
- Zuhar (Province of Granada, €386);
- Belmes (Province of Cordoba, €392);
- Almaden (Province of Ciudad Real, €398).
All of the municipalities listed above have not exceeded the threshold of €400 per square meter. Localities such as Mota del Cuervo (Cuenca), Peñarroya Pueblonuevo (Cordoba), Sebolla (Toledo), Jorcajo de Santiago (Cuenca), and Santa Amalia (Badajoz) did not show prices above €500 per square meter.
Now we can add observations on the market as a whole to these figures. First of all, it is worth noting the dizzying pace of growth in housing prices due to several reasons, such as an imbalance in supply and demand with a shortage of the latter, an increase in interest rates on loans, inflation, an increase in construction costs, and a drop in the average income of a mass buyer. In the 1st quarter of 2022 alone, there was an increase of 8.5% compared to the same period in 2021: the highest annual price jump since September 2007.
The largest increase in prices was recorded for new residential real estate (10.4%). Housing units of the secondary market has risen in price by 8.2%. Growth of this magnitude has not been seen for 15 years.