Insurance News Archive

Spanish housing market slows down?

Despite experiencing rapid price growth over the past five years, homes in Spain only saw a modest increase in value in the second quarter of this year.

Property price figures reported by consultancy Knight Frank showed a price rise of just 5.7 per cent between April and June, compared to 10.8 per cent in the same period last year.

This may suggest that the Spanish property boom is showing signs of waning and investors may want to consider selling off their assets in order to find greater gains elsewhere.

However, Mark Stucklin, of housing advisory website Spanishpropertyinsight.com, said that he remained confident in the strength of the market as "the British love affair with Spain is still strong".

Nevertheless, the property market analyst admitted that there had been a shift in Spanish investment patterns and that some buyers were delaying their purchases as they waited for indications of a return to more substantial growth.

26 Sep 2007