It’s Official: Med Property Prices are Rising Faster than Spanish Average

It’s Official: Med Property Prices are Rising Faster than Spanish Average

The Mediterranean property prices in Spain have risen by an average of 4.4% over the past year. This is higher than the average for the nation overall.

An analysis of Spain’s property market performed by Tinsa, a real estate appraisal firm, has discovered that the value of homes in and around the Mediterranean resorts was rising faster than the average for the rest of the country.

Buying property in Costa del Sol is clearly on the up.

During the first quarter of the year property prices increased by around 4.4% on average in the Mediterranean when compared to the same period of time from last year.

This is over double the national average for the rest of the country. On average property prices have risen by 1.9%. In the more metropolitan regions there has actually been negligible change over the past year. The price trend is usually quite positive though. Prices seem to be rising month by month. They rose 0.8% between March and April after a rise of 2.1% between February and March.

Property prices on the Mediterranean also increased by 2.7% during the first quarter of 2016, compared to the last quarter of 2015. This is further evidence that the Spanish property market is stabilising while keeping property prices affordable.

The data from Tinsa also compared the property prices of today to the peak from 2007 and showed that property on the Costa del Sol is around 46% cheaper on average now compared to 2007. This represents an incredible “correction” of the market and is the most that prices of fallen over this period of time in any region.

As properties in the Costa del Sol are currently valued at higher than the national average this data would also seem to confirm suggestions that many of the properties on the market during the boom of 2007 were overpriced to some degree.

The market is far more sensible today, especially on the Costa del Sol. All of the things that made the area so appealing in the first place, such as the variety of properties for sale, the excellent infrastructure and location of the region, the climate, the healthy amount of expat-friendly locals with their rich culture, and the overall landscape of the area, are still there. Only this time the property is priced fairer and much steadier.

Any Brit looking to find an affordable property in Spain should take a look at the southern tip of the country to the areas with more affordable property prices. Take a look at areas such as Marbella and Málaga and see how property should be fairly priced.