Spain property price decline slows

The Spain property price trend appears to be improving, after the Tinsa price index for November revealed that the average price of a property in Spain fell by 6.6% over the last 12 months, down from 7.4% in October.

Tinsa’s property price index shows that the Spain property market appeared to have bottomed out in the first half of the year, when the year-on-year drop was around 10%. The market drop has been shrinking annually since July.

“On present trends prices will be rising again within a few months”, says Mark Stucklin of Spanish Property Insight.

The trend shows that the price of Spanish real estate, even those located along the coast, is now falling at a slower rate, with coastal property price falls having narrowed to -8.9% in November, slightly higher than the -8.5% recorded in November 2008.

Property values along the coast have been worst affected by the Spain property downturn, due the oversupply of homes in those regions.

One of the greatest improvements in the index was for homes in Balearics and properties in Canaries, where prices fell just 3.2% year-on-year.