February 2016 proved to be a great month for property sales as the number of property transfers increased 5.3% over the same month in the previous year to a total of 154,386 properties.
Sales of housing increased a whopping 15.8% with 34,771 deed transfers registered, according to data released by the National Statistics Institute.
When looking at the type of housing sold, 84.9% was in relation to urban properties, with 15.1% of properties being rural. In the case of the urban properties, 56.7% were residential properties.
Rural properties showing an increase in the annual rate of 4.2%, while for urban properties the increase was 13.9%.
According to the data, 22.5% of the homes sold in February were new properties while resale (second-hand) properties accounted for 77.5% of purchases. This represents a fall of 0.2% on new property while resale properties seem to be responsible for the positive figures after registering a 21.4% increase in February.
Per 100,000 residents, the communities with the highest increases in property transfers during February were Extremadura and the Balearic Islands, with increases of 29.6% and 26.4%, respectively.
The only two communities to register a negative monthly variation were Andalucia which saw a fall of 10.6% and Galicia where property sales fell 1%, when compared to the same period in 2015. Despite this overall decline, Andalucia recorded the highest number of home sales in February with 6,476 homes sold. They were followed by Cataluña with 5,304 and Madrid with 5,275 home sales.
When looking at sales of residential property, the communities with the highest annual increase were the Basque Country with a massive 50.3% increase, closely followed by Asturias with a 40% increase and Cantabria where home sales increased 38.9%.
Type of Housing
The data suggests that 89.2% of the properties sold in February were free housing while 10.8% was protected. This represents an increase of 16% for free housing while protected housing increased 14.3%.
The data further suggests that when comparing February to January, 2016, sales of residential property increased by 7.3%, representing the first positive February for five years.