The housing price rise by 3.5% in a year due to the increase in demand: these are the autonomous communities in which it has become more expensive.
The price of housing is also rising in Spain. Specifically, the average cost of second-hand housing has experienced a year-on-year increase of 3.5% in the month of July, according to data from the Fotocasa Real Estate Index.
This is the twenty-first chain increase, as the price has been rising since November 2020. In addition, it is the largest increase recorded in this period.
As for the average monthly price of second-hand housing, the increase compared to June is 1.2%, standing at 1,960 euros / m2 in July.
Housing price rise
“The demand to buy housing continues, at the moment very strong and the supply has been gradually reducing after the great year in sales that 2021 meant. This strong demand for housing coupled with the reduction in stock is pushing prices to take 21 consecutive months with year-on-year increases, " says María Matos, Director of Studies and Spokesperson for Fotocasa.
Of course, the increase is not the same in all autonomous communities, as in some there have been year-on-year increases even above 5%.
It should also be noted that in certain regions the price of second-hand housing has decreased in the last 21 months, although there are exceptions.
The Fotocasa report shows in which autonomous communities there have been increases and decreases in the cost of housing.
Housing price rise average
As you can see, Madrid leads the ranking of autonomous communities with the highest increase in housing. In this region the cost has risen by 8.7%, more than double the Spanish average (3.5%).
Aragon, Catalonia, Cantabria, Andalusia and the Balearic Islands are also above average, although well below the level of Madrid.
The year-on-year cost has been reduced in Galicia, Castilla-La Mancha, Extremadura, Asturias and Castilla y León, although only in the latter case the reduction has exceeded 1.5%.
According to Fotocasa, the price could stop growing in the coming months, since "the demand for housing to buy may begin to be reduced after the recent rise in interest rates and the consequent increase in mortgage prices".
It should be remembered that the price of housing in Europe is experiencing historical records, although Spain is still below the Eurozone average, according to Eurostat data.
Housing price rise summary
- The price of housing has risen by 3.5% in a year due to increased demand and reduced supply. This is the largest increase in the last 21 months.
- There are 12 autonomous communities that have year-on-year increases, with Madrid being the region in which the price has grown the most.
