Almost all autonomous communities in Spain have recorded an impressive increase in prices for new housing in 2022. The only exceptions were the Spanish enclaves of Ceuta and Melilla, located on the Mediterranean coast of Africa. The average price increase in the country for new residential real estate ranged from 3.9%, which were recorded in La Rioja, to 9.1%, recorded in the Balearic Islands. In 17 autonomous communities of the country, prices have increased, on average, by more than 4%.
The most expensive new real estate became in the Balearic Archipelago and this region was the only one in the country that overcame the mark of 9%. However, Madrid follows it with only a slight 0.6% lag. In 2022, the metropolitan community increased in price for new housing by 8.5%. Prices grew the slowest in the already mentioned community of La Rioja, as well as Castilla-La Mancha and Extremadura. The price increase for them was about 4%. In the rest of Spain, prices for new housing increased from 5.4%, an example is Galicia, to 7.2%, which were set in Navarre.
Barcelona recorded the highest price per square meter
Barcelona continues to be the city with the highest cost of housing, including new, in Spain. In Barcelona, the price per square meter of a new facility is about 4,920 euros. This is the first place in the country and almost 800 euros more than in the capital Madrid. The latter ranks second among the major cities of Spain in terms of the high cost of housing. A square meter in Madrid will cost the buyer about 4,125 euros.
The third place in the ranking of leaders is rightfully occupied by San Sebastian. One of the largest cities in Baskonia offers new housing at an average price of 4,000 euros per square meter. San Sebastian closes the top three leading cities in the country, which showed significantly higher prices for new construction than was recorded on average in Spain.
Confidence in the Spanish real estate market is declining
It is also worth noting that in the current economic situation, consumers have become more cautious in their spending and are less willing to purchase housing. The general consumer demand, especially emerging within the country, and not from abroad, is experiencing less and less confidence in the market.
According to the report of the real estate appraisal company Sociedad de Tasación, only in seven autonomous communities of Spain, the market confidence index remained in the «optimistic zone». The inhabitants of the Balearic Islands have the greatest confidence. According to the company's rating, confidence in the market was 54 points out of 100. One of the lowest ratings was given to the region of Castile and Leon 44.8 points out of 100.