{"id":33344,"date":"2022-02-09T08:51:00","date_gmt":"2022-02-09T07:51:00","guid":{"rendered":"https:\/\/www.estateone.biz\/blog\/?p=33344"},"modified":"2022-02-09T08:52:50","modified_gmt":"2022-02-09T07:52:50","slug":"how-will-housing-prices-behave","status":"publish","type":"post","link":"https:\/\/www.estateone.biz\/blog\/how-will-housing-prices-behave\/?lang=en","title":{"rendered":"How will housing prices behave?"},"content":{"rendered":"\n

It is generally believed that second-hand housing prices will continue to rise until 2023<\/strong> when this price increase is expected to stop. This is the point of view of real estate experts who have assigned 2023 as a turning point regarding the escalation of second-hand housing prices<\/strong>. As for new housing, experts believe that prices may continue to rise due to the lack of this kind of property<\/strong>, especially in large and very demanded cities like Madrid and Barcelona. Recently, in this blog we wrote an article about the great challenges that our real estate system must face<\/a><\/strong>. In that article, we mentioned that the lack of land for building<\/strong> was one of the main problems that had to be solved. While a solution is being sought it seems unlikely, at present, that new housing prices will stop increasing in the short and medium term. It is very revealing that during the second half of 2021, new housing prices increased 3%<\/strong>. This product is very highly demanded and the lack of stock causes a rise in prices, a fact which initially does not seem to slacken. However, second-hand housing is a different matter: last month of October we wrote an article about <\/a>the rise in the price of housing<\/a><\/strong>. In that article we stated that during 29 consecutive quarters a year-on-year growth had taken place, and thus making it clear that housing in Spain had been undergoing an upward trend for some time. In spite of this, experts consider that this trend is coming to an end as the escalation of prices is expected to stop in 2023<\/strong>.<\/p>\n\n\n\n

\"How
It is generally believed that the price of housing will continue to rise until 2023<\/figcaption><\/figure>\n\n\n\n

THE MEDITERRANEAN COAST AND THE ISLANDS, AT THE HEAD.<\/h2>\n\n\n\n

In Spain, the number of sale and purchase transactions of second-hand housing rather exceeds that of new housing<\/strong>. This seems logical if we take into account that, currently, new housing is in short supply, especially in large cities as we have already mentioned. When new housing comes on to the market in cities like Madrid or Barcelona it is usually sold very quickly, and sometimes does not even hit the market. The Society of Appraisers Tinsa<\/a> made public, some weeks ago, a report that revealed that in December 2021 housing prices dropped 1% and closed the year with a year-on-year increase of 7,5%<\/strong>. This report especially highlighted the Mediterranean Coast and the Islands with an increase of 12,5% and 8,2% respectively<\/strong>. On the other hand, the large cities<\/strong> had an increase of around 7%<\/strong>. This rise is directly related to the high demand that currently exists: nowadays, buying property in our country is still considered a safe value <\/strong>and this causes that part of the capital invested in Spain is destined to the real estate market. It is calculated that since February 2015, housing has become an average of 24% more expensive<\/strong>. During seven consecutive years prices have risen and many experts coincide on the fact that this trend will end in 2023.<\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

NEW HOUSING: A RISE OF UP TO 10%<\/h2>\n\n\n\n

In 2022, the price of new housing could rise up to 10%<\/strong> due to the increase in production costs<\/strong> which, in turn, has caused a rise in inflation. This increase will probably not stop until the problem of the lack of building land is solved. Nonetheless, the volume of new housing sales in Spain is much lower than that of second-hand property. It is estimated that nearly 80% of the deals currently carried out in Spain correspond to second-hand housing<\/strong>.<\/p>\n\n\n\n

Pictures:<\/strong> freepik<\/a> <\/p>\n","protected":false},"excerpt":{"rendered":"

It is generally believed that second-hand housing prices will continue to rise until 2023 when this price increase is expected to stop. This is the point of view of real estate experts who have assigned 2023 as a turning point regarding the escalation of second-hand housing prices. 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