Euroresiuk

Property prices in Spain still falling

Spanish property prices fall by 9.7% in March

According to the index of Spanish Property Prices compiled by the property evaluators TINSA, the price of private housing in Spain fell by 9.7% in March compared to the same period for 2008. This means that properties are now valued at prices similar to those for 2006. If prices today are compared to the peak of the property boom in 2007 they have fallen even further by 11.5%.

Prices have fallen the most in Mediterranean coastal areas where the average fall in prices is estimated to be around 11.5%.

Prices have also suffered in large cities where the value of property fell by 10.2% in the first quarter of 2008. This means that prices have fallen by more than 10% since they started to fall in February 2008.

Below average falls in property prices have been registered in metropolitan areas (9.6%) followed by the fall of 8.9% in all other smaller municipalities and the fall of 8.3% in the Balearic and Canary Islands.

The highest falls in prices which have been registered since prices peaked in 2007 are in Mediterranean areas (16%), 12.6% in metropolitan areas and in the capitals of provinces and 12.3% in bigger cities.