Q3 saw a 4.5% surge in property prices

MiMove on 2023-12-12

The price of housing in Spain has experienced a significant rise, with a 4.5% increase in the third quarter of 2023 compared to the same period in 2022. This growth has been mainly driven by new housing, which has recorded an 11% price increase, marking its highest surge in 16 years, according to the Índice de Precios de Vivienda (IPV) from the National Institute of Statistics (INE).This upturn in the third quarter is 0.9% higher than the previous quarter, leading the price of housing to accumulate 38 consecutive quarters of year-on-year increases. In the same period, the price of used housing also rose by 3.2%, slightly surpassing the previous quarter’s increase and reaching its highest level since the fourth quarter of 2022.
Navarra leads the annual increase in housing prices, with a rise of 7.6%. It is followed by the Canary Islands with 6.6%, Cantabria with 5.9%, and Andalusia with 5.8%. The autonomous cities of Ceuta and Melilla also recorded significant increases, at 5.8% and 5.9%, respectively.
This growth has been primarily driven by new housing, which has seen an 11% price increase, marking its highest surge in 16 years. In contrast, more moderate increases were observed in Castilla-La Mancha and Extremadura, with rises of 1% and 1.1%, respectively, compared to the same period of the previous year.In quarterly terms, the price of housing experienced a 2.5% increase between July and September 2023, marking the highest quarterly increase since the first quarter of 2022. During this period, the price of new housing rose by 4.1%, the largest increase since the third quarter of 2020, while the price of used housing grew by 2.2%, maintaining the same rate as the previous quarter.All autonomous communities reported increases in housing prices between July and September compared to the previous quarter. The highest increases were seen in Navarra and the Balearic Islands, with rises of 3.1%, and in the Basque Country and the Canary Islands, with 3%, while Castilla-La Mancha and Extremadura experienced the lowest increases, both with a rise of 0.6%.

Source: INE