The latest index prepared by Tinsa, Spains’s largest valuation company, estimates that in September 2013 the average property price continued getting cheaper at a rate of 9.2%. Thus, since reaching their peak values, houses in Spain have suffered an adjustment of 39.1% overall. However, as we have stated in previous posts, the reality is very varied if data are analysed per region and/or per market segment, and Mallorca and Ibiza’s high-end properties continue to behave significantly better than average, proving to be somewhat immune to the general Spanish market.
Spain’s “Bad Bank” or SAREB (sociedad de gestión de activos procedentes de la reestructuración bancaria) is selling some of its properties at prices which are higher than they were before these same properties were passed on to this nationalised entity.
Investors looking out for bargains have been disappointed to find that prices have not gone down significantly and, in many cases, have even gone up. Often, the price advertised is the one the property fetched in 2008.
A SAREB’s spokesman said that the entity is looking to get the highest price possible for its assets.
Link to article in Spanish: