Home Sales Grew by 16.2% in April, Say Notaries

According to the latest statistics published by the General Council of Notaries, sales of homes in Spain registered an increase of 16.2% in April, compared to the same month in 2015, reaching a total of 39,461 transactions, although in seasonally adjusted terms this increase rises to 18.9%. In contrast, house prices registered a decline of 5.1% on average, to stand at 1,241 euros per square metre.

The year-on-year increase in home sales was due to the strong increase registered in apartment sales, of 15.6% year-on-year (17.5% in seasonally adjusted terms) and free price apartments rising by 15.9%. This increase in transactions of free price apartments is due solely to the increase in sales of second hand apartments (+19.1%), since sales of new apartments registered a decline of 9.7% year-on-year. Moreover, sales of individual family homes also showed strong growth, of 18.6% year-on-year.

In average price terms, El Economista reported that the price per square metre of the homes purchased in April stood at 1,241 euros, reflecting a decline of 5.1% year-on-year. This reduction is due to the drop in the price per square metre of both individual family homes (-1.6%) as well as apartment type dwellings (-5.9%).

The price per square metre of free price apartments dropped by 6.1%. Within this group, the price per square metre of second hand apartments stood at 1,366 euros (+2.5%), while the price of new apartments stood at 1,665 euros (-23.4%).

In April, the mortgage sector recorded a rise in the number of new mortgages granted, with the number of mortgages for the purchase of a home rising by 38.3% year-on-year. The average capital loaned for a home purchase stood at 120,125 euros, representing a year-on-year reduction of 4.9%.

Moreover, the number of mortgage loans for construction grew by 45.3% in April, with a total of 539 loans granted, and an average loan amount of 353,926 euros, up 15.5% year-on-year.

Finally, according to the Notaries’ data, the percentage of home purchases carried out in April with mortgage financing stood at 47.5% and, in those purchases, the percentage of the value of the property mortgaged was 78.2% on average.