House prices rose 3% in 2021 with the Balearic Islands leading the way
The cost of construction of new construction has registered an increase of 15.6% in the last year, up to 2,551 euros per square meter. Despite the price boom, the Real Estate Confidence Index grew to 53.1 points out of a hundred. Housing does not escape inflation. The average house price registered an increase of 3% in 2021, up to 2,551 euros per square meter per month, according to the Real Estate Sector Trends Report published by the Appraisal Society. In turn, it has registered a semi-annual variation of 2.8%. By autonomous communities, all regions have recorded annual increases, the most pronounced has been that of the Balearic Islands, where the price of new housing has risen 4.1%. On the other side of the scale is Extremadura, where housing has registered a price increase of 4%. The price boom in the Balearic Islands was joined by Madrid and Barcelona, which registered annual increases of over 3%. In the rest of the Autonomous Communities, the increases have been between 2% and 3% year-on-year. By province capital, Barcelona ranks as the most expensive city with 4,630 euros per square meter, followed by Madrid, with a price per square meter for new homes of 3,802 euros, and San Sebastián, with 3,757 euros per square meter per month . The study also highlights the increase in real estate transactions that have registered an increase of 42.2% in the new first months of 2021 with respect to the values registered in the same period of 2020 and of 21.6% with respect to the same period 2019, prior to the pandemic. For its part, home mortgage concessions have increased during the same period by 15.1% compared to 2019 and 23.3% compared to 2020. In an inflationary context, the cost of construction of new construction has risen by 15 , 6% in the last year, up to 1,155 euros per square meter. Despite the rise in prices, the Real Estate Confidence Index of the appraiser has reached 53.1 points out of one hundred during the fourth quarter of 2021, the second consecutive quarter being that this indicator exceeds fifty points, in addition to accumulating five periods of rises after registering its lowest value in 2020, with 40.8 points. “It is true that the pandemic has been able to alter the length of the cycle, due to the impact on numerous macro and micro variables that are key to the demand and supply of housing, but let's be cautious, cycles exist, and when historically we have questioned their existence, the consequences almost take the financial system ahead ", says Juan Fernández-Aceytuno, CEO of Sociedad de Valuation. The study calculates that, currently, Spaniards would have to allocate 7.8 years of their full salary to buy a home. The indicator has registered various increases throughout 2021, ranging between 7.4 years during the first quarter and 7.8 at the end of the year.
The brutal demand for housing in Palma: 50 families compete for each rental advertisement
According to Francisco Iñareta, spokesperson for idealista, “the number of families competing for each rental home does not stop growing, which shows the effects of the destruction of supply that all the political measures adopted in the last 6 years are causing. With hardly any housing on the market, the possibilities of accessing a rental are drastically reduced, making it...
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The neighborhoods of Nou Levante and La Soledat will be able to energetically rehabilitate their homes with European subsidies
The neighborhoods of Nou Llevant and La Soledat in Palma will be able to improve the energy efficiency of their homes with European subsidies from the ARV project, funded by the Next Generation EU funds. The grants will cover up to 80% of the renovation costs and focus on enhancing building energy efficiency. On September 26, an informative session will be held to explain the details of the...
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One out of every three homes in the Balearic Islands is either vacant or only used for a few days a year.
In the midst of a housing emergency in the Balearic Islands, where real estate listings show barely twenty apartments available for rent under 1,000 euros in Palma, and with the highest property prices in all of Spain, there is a paradox: one out of every three homes is either vacant or a second residence that is only used for a few days a year.
Data from the 2021 Housing...
This is the cheapest municipality on the Balearic coast to buy a home
The price of housing is through the roof in the Balearic Islands, especially in coastal areas, according to reports from the real estate portal Pisos.com. Based on a study recently released, five coastal towns on the Islands are among the ten most expensive in Spain. However, the aforementioned document also specifies which municipality on the Balearic coast is the most economical to...
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Reasons why collaborating between agencies benefits everyone and reduces the risk of scams.
**Collaboration Between Real Estate Agencies: Benefits for All and Fraud Reduction**
Collaboration between real estate agencies is not only a beneficial practice for everyone involved in the buying and selling process, but it is also an effective strategy to reduce the risk of fraud. This collaboration allows the pooling of resources, experiences, and knowledge, resulting in...
Loving Networking Can Make Your Life as an Entrepreneurial Agent Easier
Ah, networking! That magical art of making friends at conferences and business parties that, in theory, will help you conquer the real estate world. If you love networking, congratulations! Not only will you look incredibly busy with business cards and LinkedIn contacts, but your life as an entrepreneurial agent could turn into a truly epic adventure. And if you haven’t jumped...
Discover Vicky Vich
Who is Vicky Vich?
Today we are getting to know one of the key personalities of our REU family better, the REU Club Events Ambassador, who energizes REU meetings by perfectly combining the unique qualities that make her personality that of a true Empress by nature.
José Manuel Puga interview
Patricial Pal, de REU Ambassadors Sections, entrevista a josé Manuel Puga, CEO & Socio Fundador de la Asesoría Puga & Alarcón.
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Networking Event 25 of May
We already have a date for the next REU meeting. Make a hole in your agenda and come meet new people and generate new opportunities!
Now is the time to strengthen strategic relationships within the sector. Come share with us on Thursday, May 25, 2023 from 7:00 p.m. to 9:30 p.m.